[Federal Register Volume 85, Number 219 (Thursday, November 12, 2020)]
[Notices]
[Pages 71992-71995]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-25012]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service


Proposed Collection; Comment Request for Exempt Organization 
Forms: 990, 990-BL, 990-EZ, 990-N, 990-PF, 990-T, 990-W, 990 SCH E, 990 
SCH I, 990 SCH M, 990 SCH D, 990 SCH F, 990 SCH H, 990 SCH J, 990 SCH 
K, 990 SCH R, 990/990-EZ SCH A, 990/990-EZ SCH C, 990/990-EZ SCH G, 
990/990-EZ SCH L, 990/990-EZ SCH N, 990/990-EZ SCH O, 990/990-EZ/990-PF 
SCH B, 1023, 1023-EZ, 1023-Interactive, 1024, 1024-A, 1028, 1120-POL, 
4720, 5578, 5884-C, 6069, 6497, 8038, 8038-B, 8038-CP, 8038-G, 8038-GC, 
8038-R, 8038-T, 8038-TC, 8282, 8328, 8330, 8453-E.O., 8453-X, 8718, 
8868, 8870, 8871, 8872, 8879-E.O., 8886-T, 8899, and Related 
Attachments

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Notice and request for comments.

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SUMMARY: The Internal Revenue Service, 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 continuing information collections, as required by the 
Paperwork Reduction Act of 1995 (PRA). This notice requests comments on 
all forms used by tax-exempt organizations: Forms 990, 990-BL, 990-EZ, 
990-N, 990-PF, 990-T, 990-W, 990 SCH E, 990 SCH I, 990 SCH M, 990 SCH 
D, 990 SCH F, 990 SCH H, 990 SCH J, 990 SCH K, 990 SCH R, 990/990-EZ 
SCH A, 990/990-EZ SCH C, 990/990-EZ SCH G, 990/990-EZ SCH L, 990/990-EZ 
SCH N, 990/990-EZ SCH O, 990/990-EZ/990-PF SCH B, 1023, 1023-EZ, 1023-
Interactive, 1024, 1024-A, 1028, 1120-POL, 4720, 5578, 5884-C, 6069, 
6497, 8038, 8038-B, 8038-CP, 8038-G, 8038-GC, 8038-R, 8038-T, 8038-TC, 
8282, 8328, 8330, 8453-E.O., 8453-X, 8718, 8868, 8870, 8871, 8872, 
8879-E.O., 8886-T, 8899 related and all attachments to these forms (see 
the Appendix-A to this notice). With this notice, the IRS is also 
announcing significant changes to (1) the manner in which tax forms 
used by tax-exempt organizations will be approved under the PRA and (2) 
its method of estimating the paperwork burden imposed on all tax-exempt 
organizations.

DATES: Written comments should be received on or before January 11, 
2021 to be assured of consideration.

ADDRESSES: Direct all written comments to Kinna Brewington, Internal 
Revenue Service, Room 6526, 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 
Brinson, at (202) 317-5753, Internal Revenue Service, Room 6526, 1111 
Constitution Avenue NW, Washington, DC 20224, or through the internet, 
at [email protected].

SUPPLEMENTARY INFORMATION: Related Internal Revenue Service and the 
Department of Treasury Guidance:

Pub 1075, EE-111-80 (TD 8019--Final) Public Inspection of Exempt 
Organization Return
TD 8033 (TEMP) Tax Exempt Entity Leasing (REG-209274-85)
Revenue Procedure 98-19, Exceptions to the notice and reporting 
requirements of section 6033(e)(1) and the tax imposed by section 
6033(e)(2)
REG-246256-96 (Final TD 8978) Excise Taxes on Excess Benefit 
Transactions
T.D. 8861, Private Foundation Disclosure Rules

[[Page 71993]]

Notice 2006-109--Interim Guidance Regarding Supporting Organizations 
and Donor Advised Funds
Disclosure by taxable party to the tax-exempt entity
Reinstatement and Retroactive Reinstatement for Reasonable Cause (Rev. 
Proc. 2014-11) and Transitional Relief for Small Organizations (Notice 
2011-43) under IRC Sec.  6033(j)
TD 8086--Election for $10 Million Limitation on Exempt Small Issues of 
Industrial Development Bonds; Supplemental Capital Expenditure 
Statements (LR-185-84 Final)
Arbitrage Restrictions and Guidance on Issue Price Definition for Tax 
Exempt Bonds
TD 8712 (Final), Definition of Private Activity Bonds; TD 9741, General 
Allocation and Accounting Regulations Under Section 141; Remedial 
Actions for Tax-Exempt Bonds
FI-28-96 (Final) Arbitrage Restrictions on Tax-Exempt Bonds
REG-121475-03 (TD 9495-Final) Qualified Zone Academy Bonds: Obligations 
of States and Political Subdivisions
Notice 2009-26, Build America Bonds and Direct Payment Subsidy 
Implementation
Notice 2012-48: Tribal Economic Development Bonds
TD 7925 7952--Indian Tribal Governments Treated As States For Certain 
Purposes
Revenue Procedure 97-15, Section 103--Remedial Payment Closing 
Agreement Program
T.D. 8802--Certain Asset Transfers to a Tax-Exempt Entity
TD 7852--Registration Requirements with Respect to Debt Obligations 
(NPRM, LR-255-82)
Notice 2007-70--Charitable Contributions of Certain Motor Vehicles, 
Boats, and Airplanes. Reporting requirements under Sec. 170(f)(12)(D)
TD 8124--Time and Manner of Making Certain Elections Under the Tax 
Reform Act of 1986
Publication 1075 Tax Information Security Guidelines for Federal, State 
and Local Agencies
    Today, over 70 percent of all tax-exempt organization returns other 
than Form 990-N and all Forms 990-N are prepared using software by the 
taxpayer or with preparer assistance.
    These are forms used by tax-exempt organizations taxpayers. These 
include Forms 990, 990-PF, 990-N, and 990-T, and related schedules tax-
exempt organizations attach to their tax returns (see Appendix-A to 
this notice). In addition, there are numerous regulations, notices and 
Treasury Decisions that are covered by the burden estimate provided in 
this notice. (See Appendix B for a list).

Taxpayer Compliance Burden

    Tax compliance burden is defined as the time and money taxpayers 
spend to comply with their tax filing responsibilities. Time-related 
activities include recordkeeping, tax planning, gathering tax 
materials, learning about the law and what you need to do, and 
completing and submitting the return. Out-of-pocket costs include 
expenses such as purchasing tax software, paying a third-party 
preparer, and printing and postage. Tax compliance burden does not 
include a taxpayer's tax liability, economic inefficiencies caused by 
sub-optimal choices related to tax deductions or credits, or 
psychological costs.

Proposed PRA Submission to OMB

    Title: Returns of Organization Exempt from Income Tax Under Section 
501(c), 527, or 4947(a)(1) of the Internal Revenue Code.
    OMB Number: 1545-0047.
    Form Numbers: Forms 990, 990-EZ, 990-PF, 990-N, 990-T and all 
attachments to these forms and related forms (see the Appendix-A to 
this notice).
    Abstract: OMB number 1545-0047 reports the estimated burden 
incurred by tax-exempt organizations to meet their tax-compliance-
related reporting requirements. The estimate is preliminary and 
reflects only the change in burden related to technical adjustments 
related to updating the number of affected taxpayers to reflect the 
FY2020 forecast.
    Current Actions: There have been changes in regulatory guidance 
related to various forms approved under this approval package during 
the past year. There has been additions and removals of forms included 
in this approval package. It is anticipated that these changes will 
have an impact on the overall burden and cost estimates requested for 
this approval package, however these estimates were not finalized at 
the time of release of this notice. These estimated figures are 
expected to be available by the release of the 30-comment notice from 
Treasury. This approval package is being submitted for renewal purposes 
only.
    Affected Public: Tax-Exempt Organizations.
    Estimated Number of Respondents: 1,606,200.
    Total Estimated Time: 52.45 million hours.
    Estimated Time per Respondent: 32.7 hours.
    Total Estimated Out-of-Pocket Costs: $1.50 billion.
    Estimated Out-of-Pocket Cost per Respondent: $932.
    Total Estimated Monetized Burden: $4.17 billion.
    Estimated Total Monetized Burden per Respondent: $2,595.
    Note: Amounts below are for FY2021. Reported time and cost burdens 
are national averages and do not necessarily reflect a ``typical'' 
case. Most taxpayers experience lower than average burden, with 
taxpayer burden varying considerably by taxpayer type. Detail may not 
add due to rounding.

          Fiscal Year 2021 ICB Estimates for Form 990 Series of Returns and Related Forms and Schedules
----------------------------------------------------------------------------------------------------------------
                                                                       FY 20                           FY 21
----------------------------------------------------------------------------------------------------------------
Number of Taxpayers.............................................       1,413,200         193,000       1,606,200
Burden in Hours.................................................      50,450,000       2,000,000      52,450,000
Burden in Dollars...............................................   1,297,300,000     199,200,000   1,496,500,000
Monetized Total Burden..........................................   3,594,400,000     422,600,000   4,017,000,000
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Note: FY: 21 is most recent approved burden estimates for OMB number--1545-0047.


                         Fiscal Year 2020 Form 990 Series Tax Compliance Cost Estimates
----------------------------------------------------------------------------------------------------------------
                                     Form 990       Form 990-EZ     Form 990-PF     Form 990-T      Form 990-N
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Projections of the Number of             315,762         232,345         118,192         198,798         741,133
 Returns to be Filed with IRS...
Estimated Average Total Time                  85              45              47              40               2
 (Hours)........................

[[Page 71994]]

 
Estimated Average Total Out-of-           $2,600            $500          $2,000          $1,500             $10
 Pocket Costs...................
Estimated Average Total                   $8,000          $1,200          $3,900          $4,400             $30
 Monetized Burden...............
Estimated Total Time (Hours)....      26,760,000      10,500,000       5,510,000       8,040,000       1,630,000
Estimated Total Out-of-Pocket       $835,700,000    $127,500,000    $236,200,000    $290,300,000      $6,800,000
 Costs (Note. Totals may not add
 due to rounding.)..............
----------------------------------------------------------------------------------------------------------------
Note. Amounts above are for FY2020. Reported time and cost burdens are national averages and don't necessarily
  reflect a ``typical'' case. Most taxpayers experience lower than average burden, with taxpayer burden varying
  considerably by taxpayer type. Detail may not add due to rounding.

    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 will 
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: November 6, 2020.
Martha R. Brinson,
IRS Tax Analyst.

Appendix-A

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             Number                                  Title                                 Description
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990............................  .............................................  Return of Organization Exempt
                                                                                 From Income Tax.
990............................  BL...........................................  Information and Initial Excise
                                                                                 Tax Return for Black Lung
                                                                                 Benefit Trusts and Certain
                                                                                 Related Persons.
990............................  EZ...........................................  Short Form Return of
                                                                                 Organization Exempt From Income
                                                                                 Tax.
990............................  N............................................  Electronic Notice (e-Postcard)
                                                                                 for Tax-Exempt Organizations
                                                                                 Not Required to File Form 990
                                                                                 or Form 990EZ.
990............................  PF...........................................  Return of Private Foundation or
                                                                                 Section 4947(a)(1) Trust
                                                                                 Treated as Private Foundation.
990............................  T............................................  Exempt Organization Business
                                                                                 Income Tax Return and Proxy
                                                                                 Tax.
990............................  W............................................  Estimated Tax on Unrelated
                                                                                 Business Taxable Income for Tax-
                                                                                 Exempt Organizations.
990............................  990-EZ, 990-PF SCH B.........................  Schedule of Contributors.
990............................  OR 990-EZ SCH A..............................  Public Charity Status and Public
                                                                                 Support.
990............................  OR 990-EZ SCH C..............................  Political Campaign and Lobbying
                                                                                 Activities.
990............................  OR 990-EZ SCH E..............................  Schools.
990............................  OR 990-EZ SCH G..............................  Supplemental Information
                                                                                 Regarding Fundraising or Gaming
                                                                                 Activities.
990............................  OR 990-EZ SCH L..............................  Transactions With Interested
                                                                                 Persons.
990............................  OR 990-EZ SCH N..............................  Liquidation, Termination,
                                                                                 Dissolution, or Significant
                                                                                 Disposition of Assets.
990............................  OR 990-EZ SCH O..............................  Supplemental Information to Form
                                                                                 990 or 990-EZ.
990............................  SCH D........................................  Supplemental Financial
                                                                                 Statements.
990............................  SCH F........................................  Statement of Activities Outside
                                                                                 the United States.
990............................  SCH H........................................  Hospitals.
990............................  SCH I........................................  Grants and Other Assistance to
                                                                                 Organizations, Governments, and
                                                                                 Individuals in the United
                                                                                 States.
990............................  SCH J........................................  Compensation Information.
990............................  SCH K........................................  Supplemental Information on Tax-
                                                                                 Exempt Bonds.
990............................  SCH M........................................  Noncash Contributions.
990............................  SCH R........................................  Related Organizations and
                                                                                 Unrelated Partnerships.
1023...........................  .............................................  Application for Recognition of
                                                                                 Exemption Under Section
                                                                                 501(c)(3) of the Internal
                                                                                 Revenue Code.
1023...........................  EZ...........................................  Streamlined Application for
                                                                                 Recognition of Exemption Under
                                                                                 Section 501(c)(3) of the
                                                                                 Internal Revenue Code.
1023...........................  I............................................  Application for Recognition of
                                                                                 Exemption Under Section
                                                                                 501(c)(3) of the Internal
                                                                                 Revenue Code.
1024...........................  .............................................  Application for Recognition of
                                                                                 Exemption Under Section 501(a).
1024...........................  A............................................  Application for Recognition of
                                                                                 Exemption Under Section
                                                                                 501(c)(4) of the Internal
                                                                                 Revenue Code.
1028...........................  .............................................  Application for Recognition of
                                                                                 Exemption Under Section 521 of
                                                                                 the Internal Revenue Code.
1120...........................  POL..........................................  U.S. Income Tax Return for
                                                                                 Certain Political
                                                                                 Organizations.
4720...........................  .............................................  Return of Certain Excise Taxes
                                                                                 Under Chapters 41 and 42 of the
                                                                                 Internal Revenue Code.
5578...........................  .............................................  Annual Certification of Racial
                                                                                 Nondiscrimination for a Private
                                                                                 School Exempt From Federal
                                                                                 Income Tax.
5884...........................  C............................................  Work Opportunity Credit for
                                                                                 Qualified Tax-Exempt
                                                                                 Organizations Hiring Qualified
                                                                                 Veterans.
6069...........................  .............................................  Return of Excise Tax on Excess
                                                                                 Contributions to Black Lung
                                                                                 Benefit Trust Under Section
                                                                                 4953 and Computation of Section
                                                                                 192 Deduction
6497...........................  .............................................  Information Return of Nontaxable
                                                                                 Energy Grants or Subsidized
                                                                                 Energy Financing.
8038...........................  .............................................  Information Return for Tax-
                                                                                 Exempt Private Activity Bond
                                                                                 Issues.

[[Page 71995]]

 
8038...........................  B............................................  Information Return for Build
                                                                                 America Bonds and Recovery Zone
                                                                                 Economic Development Bonds.
8038...........................  CP...........................................  Return for Credit Payments to
                                                                                 Issuers of Qualified Bonds.
8038...........................  G............................................  Information Return for
                                                                                 Government Purpose Tax-Exempt
                                                                                 Bond Issues.
8038...........................  GC...........................................  Consolidated Information Return
                                                                                 for Small Tax-Exempt Government
                                                                                 Bond Issues.
8038...........................  R............................................  Request for Recovery of
                                                                                 Overpayment Under Arbitrage
                                                                                 Rebate Provisions.
8038...........................  T............................................  Arbitrage Rebate and Penalty in
                                                                                 Lieu of Arbitrage Rebate.
8038...........................  TC...........................................  Information Return for Tax
                                                                                 Credit and Specified Tax Credit
                                                                                 Bonds as the result of the new
                                                                                 Hire bill.
8282...........................  .............................................  Donee Information Return.
8328...........................  .............................................  Carry forward Election of Unused
                                                                                 Private Activity Bond Volume.
8330...........................  .............................................  Issuer's Quarterly Information
                                                                                 Return for Mortgage Credit
                                                                                 Certificates (MCCs).
8453...........................  EO...........................................  Exempt Organization Declaration
                                                                                 and Signature for Electronic
                                                                                 Filing.
8453...........................  X............................................  Political Organization
                                                                                 Declaration for Electronic
                                                                                 Filing of Notice of Section 527
                                                                                 Status.
8718...........................  .............................................  User Fee for Exempt Organization
                                                                                 Determination Letter Request.
8868...........................  .............................................  Application for Automatic
                                                                                 Extension of Time To File an
                                                                                 Exempt Organization Return.
8870...........................  .............................................  Information Return for Transfers
                                                                                 Associated With Certain
                                                                                 Personal Benefit Contracts.
8871...........................  .............................................  Political Organization Notice of
                                                                                 Section 527 Status.
8872...........................  .............................................  Political Organization Report of
                                                                                 Contributions and Expenditures.
8879...........................  EO...........................................  IRS e-file Signature
                                                                                 Authorization for an Exempt
                                                                                 Organization.
8886...........................  T............................................  Disclosure by Tax-Exempt Entity
                                                                                 Regarding Prohibited Tax
                                                                                 Shelter Transaction.
8899...........................  .............................................  Notice of Income From Donated
                                                                                 Intellectual Property.
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Appendix-B

Title/Description

EE-111-80 (TD 8019--Final) Public Inspection of Exempt Organization 
Return
TD 8033 (TEMP) Tax Exempt Entity Leasing (REG-209274-85)
Revenue Procedure 98-19, Exceptions to the notice and reporting 
requirements of section 6033(e)(1) and the tax imposed by section 
6033(e)(2)
REG-246256-96 (Final TD 8978) Excise Taxes on Excess Benefit 
Transactions
T.D. 8861, Private Foundation Disclosure Rules
Notice 2006-109--Interim Guidance Regarding Supporting Organizations 
and Donor Advised Funds
Disclosure by taxable party to the tax-exempt entity
Reinstatement and Retroactive Reinstatement for Reasonable Cause 
(Rev. Proc. 2014-11) and Transitional Relief for Small Organizations 
(Notice 2011-43) under IRC Sec.  6033(j)
TD 8086--Election for $10 Million Limitation on Exempt Small Issues 
of Industrial Development Bonds; Supplemental Capital Expenditure 
Statements (LR-185-84 Final)
Arbitrage Restrictions and Guidance on Issue Price Definition for 
Tax Exempt Bonds
TD 8712 (Final), Definition of Private Activity Bonds; TD 9741, 
General Allocation and Accounting Regulations Under Section 141; 
Remedial Actions for Tax-Exempt Bonds
FI-28-96 (Final) Arbitrage Restrictions on Tax-Exempt Bonds
REG-121475-03 (TD 9495-Final) Qualified Zone Academy Bonds: 
Obligations of States and Political Subdivisions
Notice 2009-26, Build America Bonds and Direct Payment Subsidy 
Implementation
Notice 2012-48: Tribal Economic Development Bonds
TD 7925--Indian Tribal Governments Treated As States For Certain 
Purposes
Revenue Procedure 97-15, Section 103--Remedial Payment Closing 
Agreement Program
T.D. 8802--Certain Asset Transfers to a Tax-Exempt Entity
TD 7852--Registration Requirements with Respect to Debt Obligations 
(NPRM, LR-255-82)
Notice 2007-70--Charitable Contributions of Certain Motor Vehicles, 
Boats, and Airplanes. Reporting requirements under Sec. 
170(f)(12)(D)
TD 8124--Time and Manner of Making Certain Elections Under the Tax 
Reform Act of 1986
Publication 1075 Tax Information Security Guidelines for Federal, 
State and Local Agencies

[FR Doc. 2020-25012 Filed 11-10-20; 8:45 am]
BILLING CODE 4830-01-P