[Federal Register Volume 75, Number 1 (Monday, January 4, 2010)]
[Proposed Rules]
[Pages 94-95]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E9-31114]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 301

[REG-131028-09]
RIN 1545-BI85


Amendments to the Section 7216 Regulations--Disclosure or Use of 
Information by Preparers of Returns

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 that provide 
updated guidance affecting tax return preparers regarding the use of 
information related to lists for solicitation of tax return business; 
the disclosure or use of statistical compilations of data under section 
7216 of the Internal Revenue Code (Code) by a tax return preparer in 
connection with, or in support of, a tax return preparer's tax return 
preparation business, including identification of additional limited 
circumstances when a tax return preparer who compiles statistical 
information may disclose the compilation without taxpayer consent, and 
the placement of additional restrictions on the content of the 
compilation that may be disclosed under those circumstances without 
taxpayer consent; and the disclosure or use of information for the 
purpose of performing conflict reviews. The text of those temporary 
regulations also serves as the text of these proposed regulations. This 
document invites comments from the public on these regulations.

DATES: Written or electronic comments and requests for a public hearing 
must be received by March 5, 2010.

ADDRESSES: Send submissions to: CC:PA:LPD:PR (REG-131028-09), room 
5203, Internal Revenue Service, PO Box 7604, Ben Franklin Station, 
Washington, DC 20044. 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-
131028-09), Courier's Desk, Internal Revenue Service, 1111 Constitution 
Avenue, NW., Washington, DC, or sent electronically, via the Federal 
eRulemaking Portal at http://www.regulations.gov (IRS REG-131028-09).

FOR FURTHER INFORMATION CONTACT: Concerning the proposed regulations, 
Molly K. Donnelly, (202) 622-4940; concerning the submissions of 
comments and requests for hearing, Richard Hurst, (202) 622-7180 (not 
toll-free numbers).

SUPPLEMENTARY INFORMATION:

Background and Explanation of Provisions

    This document contains proposed amendments to 26 CFR part 301 under 
section 7216 to provide modified rules relating to the ability of a tax 
return preparer to use tax return information, without taxpayer 
consent, for the purposes of compiling, maintaining, and using lists 
for solicitation of tax return business under Sec.  301.7216-2(n); 
disclose and use statistical compilations of data described in Sec.  
301.7216-1(b)(3)(i)(B) under Sec.  301.7216-2(o), and disclose and use 
tax return information for the purpose of performing conflict reviews 
under Sec.  301.7216-2(p). Temporary regulations in the Procedure and 
Administration section of this issue of the Federal Register amend 26 
CFR part 301. The text of those regulations also serves as the text of 
these regulations. The preamble to the temporary regulations explains 
the temporary regulations and these proposed regulations.

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 assessment is not required. It has also 
been determined that section 553(b) of the Administrative Procedure Act 
(5 U.S.C. chapter 5) does not apply to these regulations, and because 
the regulation does not impose a collection of information on small 
entities, the Regulatory Flexibility Act (5 U.S.C. chapter 6) does not 
apply. Pursuant to section 7805(f) of the Code, this regulation has 
been 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 (a signed original and eight 
(8) copies) or electronic comments that are submitted timely to the 
IRS. The IRS and the Treasury Department request comments on the 
clarity of the proposed rules, how they can be made easier to 
understand, and the administrability of the rules in the proposed 
regulations. All comments will be made available for public inspection 
and copying. A public

[[Page 95]]

hearing will 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 public hearing will be 
published in the Federal Register.

Drafting Information

    The principal author of these regulations is Molly K. Donnelly, 
Office of the Associate Chief Counsel (Procedure and Administration).

List of Subjects in 26 CFR Part 301

    Employment taxes, Estate taxes, Excise taxes, Gift taxes, Income 
taxes, Penalties, Reporting and recordkeeping requirements.

Proposed Amendments to the Regulations

    Accordingly, 26 CFR part 301 is proposed to be amended as follows:

PART 301--PROCEDURE AND ADMINISTRATION

    Paragraph 1. The authority citation for part 301 continues to read 
in part as follows:

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

    Par. 2. Section 301.7216-2 is amended by revising paragraphs (n), 
(o), and (p) to read as follows:


Sec.  301.7216-2  Permissible disclosures or uses without consent of 
the taxpayer.

* * * * *
    (n) [The text of proposed amendments to Sec.  301.7216-2(n) is the 
same as the text for Sec.  301.7216-2T(n) published elsewhere in this 
issue of the Federal Register].
    (o) [The text of proposed amendments to Sec.  301.7216-2(o) is the 
same as the text for Sec.  301.7216-2T(o) published elsewhere in this 
issue of the Federal Register].
    (p) [The text of proposed amendments to Sec.  301.7216-2(p) is the 
same as the text for Sec.  301.7216-2T(p) published elsewhere in this 
issue of the Federal Register].
* * * * *

 Steven T. Miller,
Deputy Commissioner for Services and Enforcement.
[FR Doc. E9-31114 Filed 12-29-09; 4:15 pm]
BILLING CODE 4830-01-P