[Federal Register Volume 69, Number 146 (Friday, July 30, 2004)]
[Proposed Rules]
[Pages 45631-45632]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-17450]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 48

[REG-120616-03]
RIN 1545-BC08


Entry of Taxable Fuel

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 tax on the entry of taxable fuel into the United States. The text 
of those regulations also serves as the text of these proposed 
regulations. The regulations affect enterers of taxable fuel, certain 
other importers, and certain sureties.

DATES: Written and electronic comments and requests for a public 
hearing must be received by October 28, 2004.

ADDRESSES: Send submissions to: CC:PA:LPD:PR (REG-120616-03), room 
5203, Internal Revenue Service, POB 7604, Ben Franklin Station, 
Washington, DC 20044. Alternatively, 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-120616-03), Courier's Desk, Internal Revenue Service, 
1111 Constitution Avenue, NW., Washington, DC, or sent electronically, 
via the IRS Internet site at http://www.irs.gov/regs or via the Federal 
eRulemaking portal at http://www.regulations.gov (IRS and REG-120616-
03).

FOR FURTHER INFORMATION CONTACT: Concerning submissions, LaNita VanDyke 
(202) 622-7180; concerning the regulations, Celia Gabrysh (202) 622-
3130 (not toll-free numbers).

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(d)). 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, SE:W:CAR:MP:T:T:SP, 
Washington, DC 20224. Comments on the collection of information should 
be received by September 28, 2004. Comments are specifically requested 
concerning:
    Whether the proposed collection of information is necessary for the 
proper performance of the functions of the IRS, including whether the 
information will have practical utility;
    The accuracy of the estimated burden associated with the proposed 
collection of information (see below);
    How the quality, utility, and clarity of the information to be 
collected may be enhanced;
    How the burden of complying with the proposed collection of 
information may be minimized, including through the application of 
automated collection techniques or other forms of information 
technology; and
    Estimates of capital or start-up costs and costs of operation, 
maintenance, and purchase of services to provide information.
    The collections of information in this proposed regulation are in 
Sec.  48.4081-3T(c)(2)(iii) and (iv). Section 48.4081-3T(c)(2)(iii) 
generally provides that an importer of record may avoid tax liability 
if the importer of record obtains from the enterer a notification 
certificate, described in 48.4081-5, which contains the enterer's 
registration number. Section 48.4081-3T(c)(2)(iv) generally provides 
that a surety bond will not be charged for the tax imposed on the entry 
of the fuel covered by the bond, if at the time of entry, the surety 
has a notification certificate, described in 48.4081-5, which contains 
the enterer's registration number. These collections of information are 
required to obtain a tax benefit. The likely respondents are 
businesses.
    Estimated total annual reporting and/or recordkeeping burden: 281 
hours.
    Estimated average annual burden hours per respondent and/or 
recordkeeper varies from .25 hour to 2.25 hours, depending on 
individual circumstances, with an estimated average of 1.25 hours.
    Estimated number respondents and/or recordkeepers: 225.
    An agency may not conduct or sponsor, and a person is not required 
to respond to, a collection of information unless it displays a valid 
control number assigned by the Office of Management and Budget.
    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.

Background

    Temporary regulations in the Rules and Regulations section of this 
issue of the Federal Register amend the Manufacturers and Retailers 
Excise Taxes Regulations (26 CFR part 48) relating to the tax on the 
entry of taxable fuel imposed by section 4081. The text of those 
regulations also serves as the text of these proposed regulations. The 
preamble to the temporary regulations explains the amendments.

Special Analyses

    It has been determined that this notice of proposed rulemaking is 
not a significant regulatory action as defined in Executive Order 
12866. Therefore, a regulatory flexibility assessment is not required. 
It also has been determined that section 553(b) of the Administrative 
Procedure Act (5 U.S.C. chapter 5) does not apply to these regulations. 
It is hereby certified that the collection of information in these 
regulations will not have a significant economic impact on a 
substantial number of small entities. This certification is based on 
the fact that the time required to request and to furnish a 
notification certificate is minimal and will not have a significant 
impact on those small entities. Therefore, a Regulatory Flexibility 
Analysis under the Regulatory Flexibility Act (5 U.S.C. chapter 6) is 
not required. Pursuant to section 7805(f) of the Internal Revenue Code, 
this

[[Page 45632]]

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) or electronic comments that are submitted timely 
to the IRS. Comments are requested on all aspects of the proposed 
regulations. In addition, the IRS and Treasury Department specifically 
request comments on the clarity of the proposed regulations and how 
they may be made easier to understand. All comments will be available 
for public inspection and copying. A public hearing may be scheduled if 
requested in writing by any 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 these regulations is Celia Gabrysh, Office 
of Associate Chief Counsel (Passthroughs and Special Industries). 
However, other personnel from the IRS, the Treasury Department, and the 
Bureau of Customs and Border Protection, Department of Homeland 
Security, participated in their development.

List of Subjects in 26 CFR Part 48

    Excise taxes, Reporting and recordkeeping requirements.

Proposed Amendments to the Regulations

    Accordingly, 26 CFR part 48 is proposed to be amended as follows:

PART 48--MANUFACTURERS AND RETAILERS EXCISE TAXES

    Paragraph 1. The authority citation for part 48 continues to read 
in part as follows:

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

    Par. 2. In Sec.  48.4081-1, paragraph (b), the definition of 
Enterer is revised to read as follows:


Sec.  48.4081-1  Taxable fuel; definitions.

(The text of the proposed amendment to Sec.  48.4081-1(b) is the same 
as the text of Sec.  48.4081-1T(b), definition of enterer, published 
elsewhere in this issue of the Federal Register.)

    Par. 3. Section 48.4081-3 is amended by adding paragraphs 
(c)(2)(ii) through (c)(2)(iv) to read as follows:


Sec.  48.4081-3  Taxable fuel; taxable events other than removal at the 
terminal rack.

(The text of the proposed amendment to Sec.  48.4081-3(c)(2)(ii) 
through (iv) is the same as the text of Sec.  48.4081-3T(c)(2)(ii) 
through (iv) published elsewhere in this issue of the Federal 
Register.)

Mark E. Matthews,
Deputy Commissioner for Services and Enforcement.
[FR Doc. 04-17450 Filed 7-29-04; 8:45 am]
BILLING CODE 4830-01-P