[Federal Register Volume 84, Number 153 (Thursday, August 8, 2019)]
[Rules and Regulations]
[Page 38866]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-16630]
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DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 1
[TD 9865]
RIN 1545-BO64
Limitation on Deduction for Dividends Received From Certain
Foreign Corporations and Amounts Eligible for Section 954 Look-Through
Exception; Correcting Amendment
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Correcting amendments.
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SUMMARY: This document contains corrections to Treasury Decision 9865,
which was published in the Federal Register for Tuesday, June 18, 2019.
Treasury Decision 9865 contained temporary regulations under section
245A of the Internal Revenue Code (the ``Code) that limit the dividends
received deduction available for certain dividends received from
current or former controlled foreign corporations.
DATES: Effective date. These corrections are effective on August 8,
2019 and applicable June 18, 2019.
FOR FURTHER INFORMATION CONTACT: Logan M. Kincheloe at (202) 317-6937
(not a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
The temporary regulations (TD 9865) that are the subject of this
correction are under sections 245A, 954(c)(6), and 6038 of the Internal
Revenue Code.
Need for Correction
As published June 18, 2019 (84 FR 28398), the temporary regulations
(TD 9865; FR 2019-12442) contained errors that may prove misleading and
therefore need to be corrected.
List of Subjects in 26 CFR Part 1
Income taxes, Reporting and recordkeeping requirements.
Correction of Publication
Accordingly, 26 CFR part 1 is corrected by making the following
correcting amendments:
PART 1--INCOME TAXES
0
Paragraph 1. The authority citation continues to read in part as
follows:
Authority: 26 U.S.C. 7805 * * *
* * * * *
Sec. Sec. 1.245A-1T through 1.245A-4T [Reserved]
0
Par. 2. Reserved Sec. Sec. 1.245A-1 through 1.245A-4 are revised to
read Sec. Sec. 1.245A-1T through 1.245A-4T [Reserved].
0
Par. 3. Section 1.245A-5T is amended by:
0
1. In the first sentence of paragraph (c)(3)(i)(B), removing ``a SFC''
and adding in its place ``an SFC''.
0
2. Adding two sentences at the end of paragraph (c)(3)(iv).
0
3. In paragraphs (e)(3)(i)(C)(1) and (2), removing ``required by
paragraph (e)(3)(iv)'' and adding in its place ``described in paragraph
(e)(3)(i)(D)''.
0
4. In paragraph (e)(3)(i)(D), removing ``(e)(3)(iii)'' and adding in
its place ``(e)(3)(i)(C)''.
0
5. In paragraph (e)(3)(ii), removing ``amount with'' and adding in its
place ``amount (or, with respect to a lower-tier CFC, a tiered
extraordinary reduction amount under paragraph (f) of this section)
with''.
The additions read as follows:
Sec. 1.245A-5T Limitation of section 245A deduction and section
954(c)(6) exception (temporary).
* * * * *
(c) * * *
(3) * * *
(iv) * * * Specified property is also property with respect to
which a loss was recognized during the disqualified period if the loss
is properly allocable to income not described in section
951A(c)(2)(A)(i)(I) through (V) under the principles of section
954(b)(5) (specified loss). If only a portion of the loss recognized
with respect to property during the disqualified period is specified
loss, then a portion of the property is treated as specified property
in an amount that bears the same ratio to the value of the property as
the amount of specified loss bears to the total amount of loss
recognized with respect to such property during the disqualified
period.
* * * * *
Martin V. Franks,
Chief, Publications and Regulations Branch, Legal Processing Division,
Associate Chief Counsel (Procedure and Administration).
[FR Doc. 2019-16630 Filed 8-7-19; 8:45 am]
BILLING CODE 4830-01-P