[Federal Register Volume 70, Number 92 (Friday, May 13, 2005)]
[Notices]
[Pages 25649-25650]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E5-2397]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service

[FI-28-96]


Proposed Collection; Comment Request for Regulation Project

AGENCY: Internal Revenue Service (IRS), Treasury.

[[Page 25650]]


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 an 
existing final regulation, FI-28-96 (TD 8801), Arbitrage Restrictions 
on Tax-Exempt Bonds (Sec.  1.148-5).

DATES: Written comments should be received on or before July 12, 2005 
to be assured of consideration.

ADDRESSES: Direct all written comments to Glenn Kirkland, Internal 
Revenue Service, room 6516, 1111 Constitution Avenue NW., Washington, 
DC 20224.

FOR FURTHER INFORMATION CONTACT: Requests for additional information or 
copies of the regulation should be directed to R. Joseph Durbala, (202) 
622-3634, Internal Revenue Service, room 6516, 1111 Constitution Avenue 
NW., Washington, DC 20224, or through the Internet at 
[email protected].

SUPPLEMENTARY INFORMATION:
    Title: Arbitrage Restrictions on Tax-Exempt Bonds.
    OMB Number: 1545-1490.
    Regulation Project Number: FI-28-96.
    Abstract: This regulation provides guidance concerning the 
arbitrage restrictions applicable to tax-exempt bonds issued by state 
and local governments and contains rules regarding the use of proceeds 
of state and local bonds to acquire higher yielding investments. The 
regulation provides safe harbors for establishing the fair market value 
of all investments purchased for yield restricted defeasance escrows. 
Further, the regulation requires that issuers must retain certain 
records and information with the bond documents. The recordkeeping 
requirements are necessary for the IRS to determine that an issuer of 
tax-exempt bonds has not paid more than fair market value for 
nonpurpose investments under section 148 of the Internal Revenue Code.
    Current Actions: There is no change to this existing regulation.
    Type of Review: Extension of currently approved collection.
    Affected Public: State, local, or tribal governments, and not-for-
profit institutions.
    Estimated Number of Respondents: 1,400.
    Estimated Time Per Respondent: 1 hour.
    Estimated Total Annual Burden Hours: 1,425.
    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: May 4, 2005.
Glenn Kirkland,
IRS Reports Clearance Officer.
[FR Doc. E5-2397 Filed 5-12-05; 8:45 am]
BILLING CODE 4830-01-P