9102 Federal Register / Vol. 75, No. 39 / Monday, March 1, 2010 / Rules and Regulations 

beginning in 2009, then to qualify, the 

individual’s adjusted gross income 

shown on the preceding year’s return 

must be less than $250,000, rather than 

$500,000. See section 6654(d)(1)(D)(iv). 

Pursuant to section 6654(d)(1)(D)(ii)(II), 

the Secretary shall prescribe by 

regulation the form, manner, and time 

for filing a certification. Additionally, 

section 6654(m) authorizes the Secretary 

to prescribe regulations as necessary to 

carry out the purposes of section 6654. 

Income from a small business is 

defined in general terms in section 

6654(d)(1)(D)(iii) as income from a trade 

or business the average number of 

employees of which was less than 500 

for calendar year 2008. The temporary 

regulations specify that the trade or 

business must be a bona fide trade or 

business of which the individual was an 

owner. The temporary regulations 

provide that a trade or business may be 

organized as, or take the legal form of, 

a corporation, partnership, limited 

liability company, or sole 

proprietorship. 

The temporary regulations also 

provide that a qualified individual shall 

file a certification with the IRS in the 

manner and at the time prescribed in 

forms, publications, or other guidance, 

such as Form 2210, ‘‘Underpayment of 

Estimated Tax by Individuals, Estates, 

and Trusts’’ (or any successor form and 

its instructions). 

The temporary regulations will be 

applicable for taxable years beginning in 

2009. The reduced percentage in section 

6654(d)(1)(D) is limited to taxable years 

beginning in 2009 and does not apply to 

taxable years beginning before or after 

2009. 

Special Analyses 

It has been determined that this 

Treasury decision is not a significant 

regulatory action as defined in 

Executive Order 12866. Therefore, a 

regulatory assessment is not required. 

For the applicability of the Regulatory 

Flexibility Act, see the cross-referenced 

notice of proposed rulemaking 

published elsewhere in this issue of the 

Federal Register. 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. 

Drafting Information 

The principal author of these 

regulations is Adrienne Mikolashek, 

Office of the Associate Chief Counsel, 

Procedure and Administration. 

List of Subjects in 26 CFR Part 1 

Income taxes, Reporting and 

recordkeeping requirements. 

Amendments to the Regulations 

■ Accordingly, 26 CFR part 1 is 

amended as follows: 

PART 1—INCOME TAXES 

■ Paragraph 1. The authority citation 

for part 1 is amended by adding an entry 

in numerical order to read in part as 

follows: 

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

■ Par. 2. Section 1.6654–2 is amended 

by: 

■ 1. Revising paragraph (a) introductory 

text. 

■ 2. Redesignating paragraph (a)(1) as 

paragraph (a)(1)(i). 

■ 3. Adding new paragraphs (a)(1)(ii) 

and (f). 

The additions and revision read as 

follows: 

§ 1.6654–2 Exceptions to imposition of the 

addition to the tax in the case of 

individuals. 

(a) [Reserved]. For further guidance, 

see § 1.6654–2T(a). 

(1)(i) * * * 

(ii) [Reserved]. For further guidance, 

see § 1.6654–2T(a)(1)(ii). 

* * * * * 

(f) [Reserved]. For further guidance, 

see § 1.6654–2T(f). 

■ Par. 3. Section 1.6654–2T is added to 

read as follows: 

§ 1.6654–2T Exceptions to imposition of 

the addition to the tax in the case of 

individuals (temporary). 

(a) In general. The addition to the tax 

under section 6654 will not be imposed 

for any underpayment of any 

installment of estimated tax if, on or 

before the date prescribed for payment 

of the installment, the total amount of 

all payments of estimated tax made 

equals or exceeds the lesser of the 

amount in § 1.6654–2(a)(1) or the 

amount in § 1.6654–2(a)(2). 

(1)(i) [Reserved]. For further guidance, 

see § 1.6654–2(a)(1)(i). 

(ii) Special rule for taxable years 

beginning in 2009. For any taxable year 

beginning in 2009, for a qualified 

individual, the amount described in 

§ 1.6654–2(a)(1)(i) is reduced to 90 

percent of that amount. 

(A) Qualified individual means any 

individual whose adjusted gross income 

shown on the individual’s return for the 

preceding taxable year is less than 

$500,000 and who certifies, as 

prescribed in paragraph (a)(1)(ii)(D) of 

this section, that more than 50 percent 

of the gross income shown on the return 

for the preceding taxable year was 

income from a small business. 

(B) Income from a small business 

means income from the operation of a 

bona fide trade or business of which the 

individual was an owner during 

calendar year 2009, and that on average 

had fewer than 500 employees in 

calendar year 2008. 

(C) The trade or business may be 

organized as, or take the legal form of, 

a corporation, partnership, limited 

liability company, or sole 

proprietorship. 

(D) A qualified individual shall file a 

certification of the individual’s 

qualification in the manner and at the 

time prescribed by the Internal Revenue 

Service in forms, publications, or other 

guidance. 

(a)(2) through (e) [Reserved]. For 

further guidance, see § 1.6654–2(a)(2) 

through (e). 

(f) Effective/applicability date. 

Paragraph (a) of this section applies to 

any taxable year beginning in 2009. 

(g) Expiration date. The applicability 

of paragraph (a) of this section expires 

on or before February 26, 2013. 

Steven T. Miller, 

Deputy Commissioner for Services and 

Enforcement. 

Approved: February 18, 2010. 

Michael F. Mundaca, 

Acting Assistant Secretary of the Treasury 

(Tax Policy). 

[FR Doc. 2010–4126 Filed 2–26–10; 8:45 am] 

BILLING CODE 4830–01–P 

DEPARTMENT OF JUSTICE 

28 CFR Part 43 

[AG Order No. 3141–2010] 

Recovery of Cost of Hospital and 

Medical Care and Treatment Furnished 

by the United States; Delegation of 

Authority 

AGENCY: Department of Justice. 

ACTION: Final rule. 

SUMMARY: This rule amends Department 

of Justice regulations to increase the 

settlement and waiver authority 

delegated to heads of departments and 

agencies of the United States 

responsible for the furnishing of 

hospital, medical, surgical, or dental 

care. This change responds to the 

increase in medical costs since 1992, 

when the current level of delegated 

settlement and waiver authority was 

established, and will further the 

efficient operation of the government. 

DATES: Effective Date: March 1, 2010. 

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Federal Register / Vol. 75, No. 39 / Monday, March 1, 2010 / Rules and Regulations 9103 

FOR FURTHER INFORMATION CONTACT: 

Phyllis J. Pyles, Director, Torts Branch, 

Civil Division, Department of Justice, 

Washington, DC 20530, telephone (202) 

616–4252. 

SUPPLEMENTARY INFORMATION: This rule 

amending 28 CFR part 43 represents the 

first increase since 1992 of the 

settlement and waiver authority 

delegated to the departments and 

agencies of the United States 

responsible for the furnishing of 

hospital, medical, surgical, or dental 

care. During the intervening period, the 

cost of medical care and treatment has 

increased substantially. That increase 

warrants a corresponding increase in 

settlement and waiver authority to 

further the efficient operation of the 

government. 

Administrative Procedure Act 

This rule relates to a matter of agency 

management or personnel and therefore 

is exempt from the usual requirements 

of prior notice and comment and a 

thirty-day delay in effective date. See 5 

U.S.C. 553(a)(2). 

Regulatory Flexibility Act 

The Attorney General, in accordance 

with the Regulatory Flexibility Act, 5 

U.S.C. 605(b), has reviewed this rule 

and, by approving it, certifies that it will 

not have a significant economic impact 

on a substantial number of small entities 

because it pertains to personnel and 

administrative matters affecting the 

Department. A Regulatory Flexibility 

Analysis was not required to be 

prepared for this final rule because the 

Department was not required to publish 

a general notice of proposed rulemaking 

for this matter. 

Executive Order 12866: Regulatory 

Planning and Review 

This rule has been drafted and 

reviewed in accordance with Executive 

Order 12866, Regulatory Planning and 

Review, § 1(b), ‘‘Principles of 

Regulation.’’ This rule is limited to 

agency organization, management, and 

personnel as described by Executive 

Order 12866, § (3)(d)(3), and therefore is 

not a ‘‘regulation’’ or ‘‘rule’’ as defined by 

that Executive Order. Accordingly, this 

rule has not been reviewed by the Office 

of Management and Budget. 

Executive Order 13132: Federalism 

This rule will not have substantial 

direct effects on the States, on the 

relationship between the national 

government and the States, or on the 

distribution of power and 

responsibilities among the various 

levels of government. Therefore, in 

accordance with Executive Order 13132, 

the Department of Justice has 

determined that this rule does not have 

sufficient federalism implications to 

warrant the preparation of a federalism 

summary impact statement. 

Executive Order 12988: Civil Justice 

Reform 

This rule meets the applicable 

standards provided in sections 3(a) and 

3(b)(2) of Executive Order 12988. 

Unfunded Mandates Reform Act of 

1995 

This rule will not result in the 

expenditure by State, local, and tribal 

governments, in the aggregate, or by the 

private sector, of $100 million or more 

in any one year, and it will not 

significantly or uniquely affect small 

governments. Therefore, no actions were 

deemed necessary under the provisions 

of the Unfunded Mandates Reform Act 

of 1995, 2 U.S.C. 1501 et seq. 

Small Business Regulatory Enforcement 

Fairness Act of 1996 

This rule is not a major rule as 

defined by section 251 of the Small 

Business Regulatory Enforcement 

Fairness Act of 1996, 5 U.S.C. 804. This 

rule will not result in an annual effect 

on the economy of $100 million or 

more; a major increase in cost or prices; 

or significant adverse effects on 

competition, employment, investment, 

productivity, or innovation, or the 

ability of United States-based 

companies to compete with foreignbased companies in domestic and 

export markets. 

Congressional Review Act 

This action pertains to agency 

management, personnel, and 

organization and does not substantially 

affect the rights or obligations of nonagency parties. Accordingly, it is not a 

‘‘rule’’ for purposes of the reporting 

requirement of 5 U.S.C. 801. 

List of Subjects in 28 CFR Part 43 

Claims, Health care. 

■ Accordingly, by virtue of the authority 

vested in the Attorney General by law, 

including 42 U.S.C. 2651–2653, 

Executive Order 11060 (3 CFR, 1959– 

1963 Comp. p. 651), part 43 of title 28 

of the Code of Federal Regulations is 

amended as follows: 

PART 43—RECOVERY OF COST OF 

HOSPITAL AND MEDICAL CARE AND 

TREATMENT FURNISHED BY THE 

UNITED STATES 

■ 1. The authority citation for part 43 

continues to read as follows: 

Authority: Sec. 2, 76 Stat. 593; 42 U.S.C. 

2651–2653; E.O. 11060, 3 CFR, 1959–1963 

Comp. p. 651. 

■ 2. In § 43.3, paragraphs (a)(2), (a)(3), 

and (b) are revised to read as follows: 

§ 43.3 Settlement and waiver of claims. 

(a) * * * 

(2) Compromise or settle and execute 

a release of any claim, not in excess of 

$300,000, which the United States has 

for the reasonable value of such care 

and treatment; or 

(3) Waive and in this connection 

release any claim, not in excess of 

$300,000, in whole or in part, either for 

the convenience of the Government, or 

if the head of the Department or Agency, 

or his or her designee, determines that 

collection would result in undue 

hardship upon the person who suffered 

the injury or disease resulting in the 

care and treatment described in § 43.1. 

(b) Claims in excess of $300,000 may 

be compromised, settled, waived, and 

released only with the prior approval of 

the Department of Justice. 

* * * * * 

Dated: February 23, 2010. 

Eric H. Holder, Jr., 

Attorney General. 

[FR Doc. 2010–4025 Filed 2–26–10; 8:45 am] 

BILLING CODE 4410–12–P 

ENVIRONMENTAL PROTECTION 

AGENCY 

40 CFR Part 52 

[EPA–R05–OAR–2009–0964; FRL–9116–8] 

Approval and Promulgation of Air 

Quality Implementation Plans; Illinois; 

NOX Budget Trading Program 

AGENCY: Environmental Protection 

Agency (EPA). 

ACTION: Direct final rule. 

SUMMARY: EPA is approving a revision to 

the Illinois State Implementation Plan 

(SIP) that would terminate the 

provisions of the Nitrogen Oxides (NOX) 

Budget Trading Program that apply to 

electric generating units. EPA is no 

longer operating the NOX Budget 

Trading Program as a compliance option 

under the NOX SIP Call. These sources 

are now subject to provisions in a newer 

set of approved Illinois rules that 

address EPA’s Clean Air Interstate Rule 

(CAIR). For these reasons, the sunset of 

the NOX Budget Trading Program for 

these sources merely deactivates 

duplicative rule language. 

DATES: This direct final rule will be 

effective April 30, 2010, unless EPA 

receives adverse comments by March 

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