Proposed Rule2023-24650
Recognition and Deferral of Section 987 Gain or Loss; Comment Period Reopening
Primary source
Metadata and text below are from the Federal Register, a public-domain U.S. government work. Always verify the official published version before relying on it for any legal matter.
Published
November 14, 2023
Issuing agencies
Treasury DepartmentInternal Revenue Service
Abstract
The Department of the Treasury and the IRS are reopening the comment period for REG-128276-12, published in the Federal Register on December 8, 2016, relating to the determination and recognition of taxable income or loss and foreign currency gain or loss with respect to a qualified business unit.
Full Text
<html>
<head>
<title>Federal Register, Volume 88 Issue 218 (Tuesday, November 14, 2023)</title>
</head>
<body><pre>
[Federal Register Volume 88, Number 218 (Tuesday, November 14, 2023)]
[Proposed Rules]
[Pages 77921-77922]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2023-24650]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 1
[REG-128276-12]
RIN 1545-BO07
Recognition and Deferral of Section 987 Gain or Loss; Comment
Period Reopening
AGENCY: Internal Revenue Service (IRS), Treasury.
ACTION: Notice of proposed rulemaking; reopening of comment period.
-----------------------------------------------------------------------
SUMMARY: The Department of the Treasury and the IRS are reopening the
comment period for REG-128276-12, published in the Federal Register on
December 8, 2016, relating to the determination and recognition of
taxable income or loss and foreign currency gain or loss with respect
to a qualified business unit.
DATES: The comment period for REG-128276-12 (81 FR 88882, December 8,
2016) (the ``2016 proposed regulations'') is reopened, and additional
written or electronic comments and requests for a public hearing must
be received by February 12, 2024.
ADDRESSES: Commenters are strongly encouraged to submit additional
public comments electronically via the Federal eRulemaking Portal at
<a href="https://www.regulations.gov">https://www.regulations.gov</a> (indicate IRS and REG-128276-12) by
following the online instructions for submitting comments. Requests for
a public hearing must be submitted as prescribed in the ``Comments and
Requests for a Public Hearing'' section. Once submitted to the Federal
eRulemaking Portal, comments cannot be edited or withdrawn. The
Department of the Treasury (the ``Treasury Department'') and the IRS
will publish for public availability any comments submitted to the
IRS's public docket. Send paper submissions to: CC:PA:01:PR (REG-
128276-12), Room 5203, Internal Revenue Service, P.O. Box 7604, Ben
Franklin Station, Washington, DC 20044.
FOR FURTHER INFORMATION CONTACT: Jack Zhou at (202) 317-6938;
concerning submissions of comments, requests for a public hearing, or
access to a public hearing, Vivian Hayes at (202) 317-6901 (not toll-
free numbers) or by email to <a href="/cdn-cgi/l/email-protection#65151007090c060d0004170c0b0216250c17164b020a13"><span class="__cf_email__" data-cfemail="2b5b5e49474248434e4a5942454c586b425958054c445d">[email protected]</span></a> (preferred).
SUPPLEMENTARY INFORMATION: On December 8, 2016, the Treasury Department
and the IRS published a notice of proposed rulemaking (REG-128276-12,
81 FR 88882, December 8,
[[Page 77922]]
2016) (the ``2016 proposed regulations'') in the Federal Register. The
2016 proposed regulations cross-reference temporary regulations in
Treasury Decision 9795 (81 FR 88854, December 8, 2016) (the ``temporary
regulations''), which provided rules under section 987 of the Internal
Revenue Code relating to the determination and recognition of taxable
income or loss and foreign currency gain or loss with respect to a
qualified business unit. On May 13, 2019, the Treasury Department and
the IRS published Treasury Decision 9857 (84 FR 20790, May 13, 2019),
which finalized parts of the 2016 proposed regulations and withdrew one
section of the temporary regulations. The temporary regulations that
were not finalized or withdrawn expired on December 6, 2019. A notice
of proposed rulemaking published in this issue of the Federal Register
contains new proposed regulations under section 987 and withdraws parts
of the 2016 proposed regulations. The parts of the 2016 proposed
regulations that remain outstanding include: (1) rules regarding the
treatment of section 988 transactions of a section 987 QBU (see
Sec. Sec. 1.987-1, 1.987-3, and 1.988-1 of the 2016 proposed
regulations); (2) rules regarding QBUs with the U.S. dollar as their
functional currency (see Sec. Sec. 1.987-1 and 1.987-6 of the 2016
proposed regulations); (3) rules regarding the translation of income
used to pay creditable foreign income taxes (see Sec. 1.987-3 of the
2016 proposed regulations); and (4) rules requiring the deferral of
certain section 988 loss that arises with respect to related-party
loans (see Sec. 1.988-2 of the 2016 proposed regulations).
The Treasury Department and the IRS are considering finalizing
these parts of the 2016 proposed regulations and, therefore, are
reopening the comment period for 90 days. Comments that were previously
submitted in accordance with the 2016 proposed regulations will be
considered and do not need to be resubmitted.
Comments and Requests for a Public Hearing: Before the parts of the
2016 proposed regulations that remain outstanding are adopted as final
regulations, consideration will be given to comments that are submitted
timely to the IRS as prescribed in this Notice in the ``Addresses''
section. Any comments submitted will be made available at <a href="https://www.regulations.gov">https://www.regulations.gov</a> or upon request.
A public hearing will be scheduled if requested in writing by any
person who timely submits written comments. Requests for a public
hearing are also encouraged to be made electronically. If a public
hearing is scheduled, notice of the date and time for the public
hearing will be published in the Federal Register.
Oluwafunmilayo A. Taylor,
Section Chief, Publications and Regulations Section, Associate Chief
Counsel, (Procedure and Administration).
[FR Doc. 2023-24650 Filed 11-9-23; 4:15 pm]
BILLING CODE 4830-01-P
</pre><script data-cfasync="false" src="/cdn-cgi/scripts/5c5dd728/cloudflare-static/email-decode.min.js"></script></body>
</html>Indexed from Federal Register on November 14, 2023.
This is legal information, not legal advice. Laws vary by jurisdiction and change frequently. Always verify current law with official sources and consult a licensed attorney in your jurisdiction for advice on your specific situation.