Proposed Rule2024-03862

Reporting for Qualified Tuition and Related Expenses, Education Tax Credits; Comment Period Reopening

Primary source

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Published
February 26, 2024

Issuing agencies

Treasury DepartmentInternal Revenue Service

Abstract

The Department of the Treasury and the IRS are reopening the comment period for REG-131418-14, relating to the reporting requirements for qualified tuition and related expenses under Section 6050S, as well as to the proposed amendments to the regulations on the education tax credits under section 25A.

Full Text

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<title>Federal Register, Volume 89 Issue 38 (Monday, February 26, 2024)</title>
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[Federal Register Volume 89, Number 38 (Monday, February 26, 2024)]
[Proposed Rules]
[Page 14008]
From the Federal Register Online via the Government Publishing Office [<a href="http://www.gpo.gov">www.gpo.gov</a>]
[FR Doc No: 2024-03862]



[[Page 14008]]

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DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Parts 1 and 301

[REG-131418-14]
RIN 1545-BN27


Reporting for Qualified Tuition and Related Expenses, Education 
Tax Credits; Comment Period Reopening

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Notice of proposed rulemaking; reopening of comment period.

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SUMMARY: The Department of the Treasury and the IRS are reopening the 
comment period for REG-131418-14, relating to the reporting 
requirements for qualified tuition and related expenses under Section 
6050S, as well as to the proposed amendments to the regulations on the 
education tax credits under section 25A.

DATES: The comment period for REG-131418-14, 81 FR 50657 (August 2, 
2016) is reopened, and additional written or electronic comments and 
requests for a public hearing must be received by April 26, 2024.

ADDRESSES: Commenters are strongly encouraged to submit additional 
public comments electronically. Submit electronic submissions via the 
Federal eRulemaking Portal at <a href="http://www.regulations.gov">www.regulations.gov</a> (indicate IRS and 
REG-131418-14) by following the online instructions for submitting 
comments. Once submitted to the Federal eRulemaking Portal, comments 
cannot be edited or withdrawn. The Department of the Treasury (the 
``Treasury Department'') and the Internal Revenue Service (the ``IRS'') 
will publish for public availability any comment submitted 
electronically, and on paper, to its public docket. Send paper 
submissions to: CC:PA:01:PR (REG-131418-14), Room 5203, Internal 
Revenue Service, P.O. 7604, Ben Franklin Station, Washington, DC 20044.

FOR FURTHER INFORMATION CONTACT: Concerning section 25A, Mon Lam or 
YoungNa Lee at (202) 317-4178; concerning section 6050S, Blaise 
Dusenberry at (202) 317-5405 (not toll-free numbers): Concerning 
submissions of comments, Vivian Hayes, (202) 317-6901 (not a toll-free 
number) or by email to <a href="/cdn-cgi/l/email-protection#c6b6b3a4aaafa5aea3a7b4afa8a1b586afb4b5e8a1a9b0"><span class="__cf_email__" data-cfemail="6b1b1e09070208030e0a1902050c182b021918450c041d">[email&#160;protected]</span></a> (preferred).

SUPPLEMENTARY INFORMATION: The proposed regulations were published on 
August 2, 2016, (81 FR 50657) and a correction was made on September 
26, 2016 (81 FR 65983) (the ``2016 proposed regulations''). Generally, 
the 2016 proposed regulations provided guidance to educational 
institutions relating to the preparation and submission of reporting 
forms under section 6050S, for use by students claiming educational 
credits under section 25A. The 2016 proposed regulations also would 
amend the Income Tax Regulations on the education tax credits under 
section 25A to conform the regulations to the rules for changes made to 
section 25A by the Trade Preferences Extension Act of 2015 (Pub. L. 
114-27 (129 Stat. 362)) (TPEA) and the Protecting Americans from Tax 
Hikes Act of 2015 (Pub. L. 114-113 (129 Stat. 2242)) (PATH Act). In 
addition, the 2016 proposed regulations would amend the Income Tax 
Regulations on the education tax credits under section 25A to update 
the definition of qualified tuition and related expenses in Sec.  
1.25A-2(d) to reflect changes made by the American Recovery and 
Reinvestment Act of 2009 (Pub. L. 111-5 (123 Stat. 115)), to clarify 
the prepayment rule in Sec.  1.25A-5(e), and to clarify the rule for 
refunds in Sec.  1.25A-5(f).
    The Treasury Department and the IRS are considering finalizing the 
2016 proposed regulations and, therefore, are reopening the comment 
period with respect to the 2016 proposed regulations for 60 days. 
Comments that were previously submitted in accordance with the 2016 
proposed regulations will be considered and do not need to be submitted 
again in response to this reopening of the comment period. The Treasury 
Department and the IRS are particularly interested in comments 
regarding the impact of any statutory changes on the reporting process. 
The Treasury Department and the IRS are also interested in the impact 
of technological changes to the reporting process.
    In addition, the Treasury Department and the IRS are also 
considering updating the section 25A regulations to reflect statutory 
changes to the education tax credits under section 25A since the TPEA 
and PATH Act, including changes made by the Tax Cuts and Jobs Act (Pub. 
L. 115-97 (131 Stat. 2054)), the Consolidated Appropriations Act, 2018 
(Pub. L. 115-141 (132 Stat. 351)), and the Consolidated Appropriations 
Act, 2020 (Pub. L. 116-260 (134 Stat. 1182)). Specifically, the 
statutory changes modify the amount of the American Opportunity Tax 
Credit (AOTC); modify the number of years an eligible student can claim 
the AOTC; increase the phaseouts for the Lifetime Learning Credit and 
the AOTC; repeal the inflation adjustment; and change the ``Hope 
Credit'' to the ``American Opportunity Tax Credit'' and remove the 
terminology of ``Hope Credit.'' The Treasury Department and the IRS 
request comments on the need for updating the section 25A regulations 
to reflect any such statutory changes in final regulations.

Oluwafunmilayo A. Taylor,
Section Chief, Publications and Regulations Section, Associate Chief 
Counsel, (Procedure and Administration).
[FR Doc. 2024-03862 Filed 2-23-24; 8:45 am]
BILLING CODE 4830-01-P


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Indexed from Federal Register on February 26, 2024.

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