67780 Federal Register / Vol. 62, No. 249 / Tuesday, December 30, 1997 / Proposed Rules

PART 101—FOOD LABELING

1. The authority citation for 21 CFR

part 101 continues to read as follows:

Authority: 15 U.S.C. 1453, 1454, 1455; 21

U.S.C. 321, 331, 342, 343, 348, 371.

2. Section 101.9 is amended by

revising paragraph (c)(1) introductory

text to read as follows:

§ 101.9 Nutrition labeling of food.

* * * * *

(c) * * *

(1) ‘‘Calories, total,’’ ‘‘Total calories,’’

or ‘‘Calories’’: A statement of the caloric

content per serving, expressed to the

nearest 5-calorie increment, up to and

including 50 calories, and 10-calorie

increment above 50 calories, except that

amounts less than 5 calories may be

expressed either as zero or as the exact

amount. However, if a manufacturer

provides a claim under § 101.13(i) about

the amount of calories in a serving of a

product containing less than 5 calories

(e.g., ‘‘1 calorie per mint’’), the number

of calories declared in the nutrition

label shall be consistent with that

declared in the amount claim (e.g., ‘‘1’’).

Energy content per serving may also be

expressed in kilojoule units, added in

parentheses immediately following the

statement of the caloric content.

* * * * *

3. Section 101.12 is amended in

paragraph (b), Table 2, under the

‘‘Sugars and Sweets’’ category by

revising the entry for ‘‘Hard candies,

breath mints’’ and Footnote 9 to read as

follows:

§ 101.12 Reference amounts customarily

consumed per eating occasion.

* * * * *

(b) * * *

TABLE 2.—REFERENCE AMOUNTS CUSTOMARILY CONSUMED PER EATING OCCASION: GENERAL FOOD SUPPLY 1 2 3 4

Product category Reference amount Label Statement 5

* * * * * * *

Sugars and Sweets:

* * * * * * *

Hard candies, breath mints 9 2 g ll piece(s) (ll g)

* * * * * * *

1These values represent the amount (edible portion) of food customarily consumed per eating occasion and were primarily derived from the

1977–1978 and the 1987–1988 Nationwide Food Consumption Surveys conducted by the U.S. Department of Agriculture. 2 Unless otherwise noted in the Reference Amount column, the reference amounts are for the ready-to-serve or almost ready-to-serve form of

the product (i.e, heat and serve, brown and serve). If not listed separately, the reference amount for the unprepared form (e.g., dry mixes; concentrates; dough; batter; fresh and frozen pasta) is the amount required to make the reference amount of the prepared form. Prepared means

prepared for consumption (e.g., cooked). 3 Manufactures are required to convert the reference amount to the label serving size in a household measure most appropriate to their specific product using the procedures in 21 CFR 101.9(b). 4 Copies of the list of products for each product category are available from the Office of Food Labeling (HFS–150), Center for Food Safety

and Applied Nutrition, Food and Drug Administration, 200 C St. SW., Washington, DC 20204. 5The label statements are meant to provide guidance to manufacturers on the presentation of serving size information on the label, but they

are not required. The term ‘‘piece’’ is used as a generic description of a discrete unit. Manufacturers should use the description of a unit that is

most appropriate for the specific product (e.g., sandwich for sandwiches, cookie for cookies, and bar for ice cream bars). The guidance provided

is for the label statement of products in ready-to-serve or almost ready-to-serve form. The guidance does not apply to the products which require

further preparation for consumption (e.g., dry mixes, concentrates) unless specifically stated in the product category, reference amount, or label

statement column that it is for these forms of the product. For products that require further preparation, manufacturers must determine the label

statement following the rules in § 101.9(b) using the reference amount determined according to § 101.12(c). 6 Includes cakes that weigh 10 g or more per cubic inch.

7 Includes cakes that weigh 4 g or more per cubic inch but less than 10 g per cubic inch.

8 Includes cakes that weigh less than 4 g per cubic inch.

9 Label serving size for ice cream cones, eggs, and breath mints of all sizes will be 1 unit. Label serving size of all chewing gums that weigh

more than the reference amount that can reasonably be consumed at a single-eating occasion will be 1 unit.

* * * * *

Dated: December 17, 1997.

William K. Hubbard,

Associate Commissioner for Policy

Coordination.

[FR Doc. 97–33926 Filed 12–29–97; 8:45 am]

BILLING CODE 4160–01–F

DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

[REG–209463–82]

RIN 1545–AV82

Required Distributions From Qualified

Plans and Individual Retirement Plans

AGENCY: Internal Revenue Service (IRS),

Treasury.

ACTION: Notice of proposed rulemaking.

SUMMARY: This document contains

amendments to the existing proposed

regulations under section 401(a)(9) that

make changes to the rules that apply if

a trust is named as a beneficiary of an

employee’s benefit under a retirement

plan. These proposed regulations will

affect administrators of, participants in,

and beneficiaries of qualified plans,

institutions which sponsor and

individuals who administer individual

retirement plans, individuals who use

individual retirement plans, simplified

employee pensions and SIMPLE Savings

Plans for retirement income and

beneficiaries of individual retirement

plans; and employees for whom

amounts are contributed to section

403(b) annuity contracts, custodial

accounts, or retirement income accounts

and beneficiaries of such contracts and

accounts.

DATES: Written comments and requests

for a public hearing must be received by

March 30, 1998.

ADDRESSES: Send submissions to

CC:DOM:CORP:R (REG–209463–82),
Federal Register / Vol. 62, No. 249 / Tuesday, December 30, 1997 / Proposed Rules 67781

room 5226, Internal Revenue Service,

POB 7604, Ben Franklin Station,

Washington, DC 20044. Submissions

may be hand delivered between the

hours of 8 a.m. and 5 p.m. to

CC:DOM:CORP:R (REG–209463–82),

Courier’s Desk, Internal Revenue

Service, 1111 Constitution Avenue NW.,

Washington, DC. Alternatively,

taxpayers may submit comments

electronically via the Internet by

selecting the ‘‘Tax Regs’’ option on the

IRS Home Page, or by submitting

comments directly to the IRS Internet

site at http://www.irs.ustreas.gov/prod/

taxlregs/comments.html.

FOR FURTHER INFORMATION CONTACT:

Thomas Foley at (202) 622–6030 (not a

toll-free number).

SUPPLEMENTARY INFORMATION:

Paperwork Reduction Act

The collection of information

contained in this notice of proposed

rulemaking has been submitted to the

Office of Management and Budget for

review in accordance with the

Paperwork Reduction Act of 1995 (44

U.S.C. 3507(d)). Comments on the

collection of information should be sent

to the Office of Management and

Budget, Attn: Desk Officer for the

Department of the Treasury, Office of

Information and Regulatory Affairs,

Washington, DC 20503, with copies to

the Internal Revenue Service, Attn: IRS

Reports Clearance Officer, T:FP,

Washington, DC 20224. Comments on

the collection of information should be

received by March 2, 1998. Comments

are specifically requested concerning:

Whether the proposed collection of

information is necessary for the proper

performance of the functions of the

Internal Revenue Service, including

whether the information will have

practical utility;

The accuracy of the estimated burden

associated with the proposed collection

of information (see below);

How the quality, utility, and clarity of

the information to be collected may be

enhanced;

How the burden of complying with

the proposed collection of information

may be minimized, including through

the application of automated collection

techniques or other forms of information

technology; and

Estimates of capital or start-up costs

and costs of operation, maintenance,

and purchase of services to provide

information.

The collection of information in this

proposed regulation is in Question and

Answer D–7 of § 1.401(a)(9)–1. This

information is required for a taxpayer

who wants to name a trust and treat the

underlying beneficiaries of the trust as

designated beneficiaries of the

taxpayer’s benefit under a retirement

plan or an individual retirement plan

(‘‘IRA’’). The taxpayer must provide a

copy of the trust instrument or IRA

trustee, custodian, or issuer, or provide

a list of all the beneficiaries of the trust,

certify that, to the best of the taxpayer’s

knowledge, this list is correct and

complete, and agree to provide a copy

of the trust instrument upon demand. In

addition, other related requirements for

the beneficiaries of the trust to be

treated as designated beneficiaries must

be satisfied. If the trust instrument is

amended at any time in the future, the

taxpayer must, within a reasonable time,

provide a copy of each such

amendment, or provide corrected

certifications to the extent that the

amendment changes the information

previously certified. In addition, by the

end of the ninth month after the death

of the taxpayer, the trustee of the trust

must provide a copy of the trust to the

plan administrator or IRA trustee,

custodian, or issuer, or provide a list of

all the beneficiaries of the trust, certify

that, to the best of the taxpayer’s

knowledge, this list is correct and

complete, and agrees to provide a copy

of the trust instrument upon demand.

The collection of information is

required to obtain a benefit. The likely

respondents are individuals or

households.

Estimated total annual reporting

hours is 333 hours.

The estimated average burden per

respondent is 20 minutes.

The estimated total number of

respondents is 1,000.

An agency may not conduct or

sponsor, and a person is not required to

respond to, a collection of information

unless it displays a valid control

number assigned by the Office of

Management and Budget.

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.

Background

On July 27, 1987, Proposed

Regulations (EE–113–82) under sections

401(a)(9), 403(b), 408, and 4974 of the

Internal Revenue Code of 1986 were

published in the Federal Register (52

FR 28070). Those proposed regulations

provide guidance for complying with

the rules relating to required

distributions from qualified plans,

individual retirement plans, and section

403(b) annuity contracts, custodial

accounts, and retirement income

accounts. This document contains

amendments to proposed § 1.401(a)(9)–

1 (hereinafter referred to as the Existing

Proposed Regulations) that was

included in EE–113–82. Specifically

this document contains amendments to

Q&As D–5 and Q&A D–6 of the Existing

Proposed Regulations which prescribe

specific requirements that must be met

when a trust is named as a beneficiary

of an employee’s benefit under a plan,

and adds a new Q&A D–7 to the Existing

Proposed Regulations. Proposed

§ § 1.408–8 and 1.403(b)–2 (also

included in EE–113–82) provide that the

provisions of proposed § 1.401(a)(9)–1

generally apply to individual retirement

plans, and section 403(b) annuity

contracts, custodial accounts, and

retirement income accounts.

Accordingly, these amendments and

additions also generally apply to such

plans, contracts, and accounts.

The amendments and additions to the

Existing Proposed Regulations in these

proposed regulations are issued in

response to comments and questions

received regarding the Existing

Proposed Regulations with respect to

section 401(a)(9). Treasury and the IRS

continue to welcome additional

comments concerning the Existing

Proposed Regulations and the other

sections of EE–113–82.

As in the case of the Existing

Proposed Regulations and the other

sections of EE–113–82, taxpayers may

rely on these proposed regulations for

guidance pending the issuance of final

regulations. If, and to the extent, future

guidance is more restrictive than the

guidance in these proposed regulations,

the future guidance will be applied

without retroactive effect.

Explanation of Provisions

Overview

Section 401(a)(9)(A) provides that, in

order for a plan to be qualified under

section 401(a), distributions of each

employee’s interest in the plan must

commence no later than the ‘‘required

beginning date’’ for the employee and

must be distributed over a period not to

exceed the joint lives or joint life

expectancy of the employee and the

employee’s designated beneficiary.

Section 401(a)(9)(B) provides that if

distribution does not commence prior to

death in accordance with section

401(a)(9)(A), distributions of the

employee’s interest must be made

within 5 years of the employee’s death

or, generally, commence within one

year of the employee’s death and be
67782 Federal Register / Vol. 62, No. 249 / Tuesday, December 30, 1997 / Proposed Rules

made over the life or life expectancy of

the designated beneficiary.

Section 401(a)(9)(E) defines the term

‘‘designated beneficiary’’ as an

individual designated as a beneficiary

by the employee. The Existing Proposed

Regulations provide that, for purposes

of section 401(a)(9), only individuals

may be designated beneficiaries. A

beneficiary who is not an individual,

such as the employee’s estate, may not

be a designated beneficiary for purposes

of determining the minimum required

distribution, but nevertheless may be

designated as the employee’s

beneficiary under the plan. If a

beneficiary who is not an individual is

designated to receive an employee’s

benefit after death, the employee is

treated as having no designated

beneficiary when determining the

required minimum distribution. In that

case, under section 401(a)(9),

distributions commencing before death

must be made over the employee’s

single life or life expectancy and

distributions commencing after death

must be made within 5 years of the

employee’s death.

However, the Existing Proposed

Regulations provide that if a trust is

named as a beneficiary of an employee’s

benefit under the plan, the underlying

beneficiaries of the trust may be treated

as designated beneficiaries for purposes

of section 401(a)(9) if certain

requirements are satisfied. In response

to comments, these proposed

regulations modify these trust

beneficiary requirements as explained

below by:

• Permitting the designated

beneficiary of a revocable trust to be

treated as the designated beneficiary for

purposes of determining the minimum

distribution under section 401(a)(9),

provided that the trust becomes

irrevocable upon the death of the

employee.

• Providing relief from the

requirement that the plan be provided

with a copy of the trust document if

certain certification requirements are

met.

Irrevocability of Trust

The Existing Proposed Regulations

generally provide that a trust must be

irrevocable as of the employee’s

required beginning date in order for the

beneficiaries of the trust to be treated as

designated beneficiaries under the plan

for purposes of determining the

distribution period under section

401(a)(9)(A). Commentators have

indicated that most trusts established

for estate planning purposes and

designated as the beneficiary of an

employee’s plan benefits are revocable

instruments prior to the death of the

employee. In response to those

comments, these proposed regulations

provide that a trust named as

beneficiary of an employee’s interest in

a retirement plan be permitted to be

revocable while the employee is alive,

provided that it becomes irrevocable, by

its terms, upon the death of the

employee. The requirements in the

Existing Proposed Regulations that the

trust be valid under state law (or would

be but for the fact that there is no

corpus) and that the beneficiaries be

identifiable from the trust instrument

are retained.

Information to Plan Administrator

In order to permit the plan

administrator to substantiate that the

requirements for treating the

beneficiaries of the trust as designated

beneficiaries under the plan are

satisfied, the Existing Proposed

Regulations require that a copy of the

trust instrument be provided to the plan

administrator by the earlier of the

required beginning date or the date of

the employee’s death. In response to

comments, this proposed regulation

permits an alternative method of

substantiation.

As under the Existing Proposed

Regulations, a copy of the trust

instrument may be provided to the plan

administrator. However, because the

trust need not be irrevocable, under this

method, the employee must also agree

that if the trust instrument is amended

at any time in the future, the employee

will, within a reasonable time, provide

a copy of each such amendment.

Alternatively, the employee may

provide a list of all of the beneficiaries

of the trust (including contingent

beneficiaries) with a description of the

portion to which they are entitled and

any conditions on their entitlement, and

certify that, to the best of the employee’s

knowledge, this list is correct and

complete and that the other

requirements for the beneficiaries of the

trust to be treated as designated

beneficiaries are satisfied. Under the

second method, the employee must also

agree to provide corrected certifications

to the extent that the amendment

changes the information previously

certified. Finally, the employee must

agree to provide a copy of the trust

instrument to the plan administrator

upon demand.

In addition, these proposed

regulations provide that, if the

minimum required distributions after

death are determined by treating the

beneficiaries of the trust as designated

beneficiaries, a final certification as to

the beneficiaries of the trust instrument

must be provided to the plan

administrator by the end of the ninth

month after the death of the employee.

This rule applies even if a copy of the

trust instrument were provided to the

plan administrator before the

employee’s death. Alternatively, an

updated trust instrument may be

provided.

The proposed regulations also provide

that a plan will not fail to satisfy section

401(a)(9) merely because the terms of

the actual trust instrument are

inconsistent with the information in the

certifications or trust instruments

previously provided to the plan

administrator if the plan administrator

reasonably relies on the information

provided in the certifications or trust

instruments. However, the minimum

required distributions for years after the

year in which the discrepancy is

discovered must be determined based

on the actual terms of the trust

instrument. For those years, the

minimum required distribution will be

determined by treating the beneficiaries

of the employee as having been changed

in the year in which the year the

discrepancy was discovered to conform

to the corrected information and by

applying the change in beneficiary

provisions found under the Existing

Proposed Regulations. However, for

purposes of determining the amount of

the excise tax under section 4974

(including application of a waiver, if

any, for reasonable error under section

4974), the minimum required

distribution is determined for any year

based on the actual terms of the trust in

effect during the year.

Special Analyses

It has been determined that this notice

of proposed rulemaking is not a

significant regulatory action as defined

in EO 12866. Therefore, a regulatory

assessment is not required. It also has

been determined that section 553(b) of

the Administrative Procedure Act (5

U.S.C. chapter 5) does not apply to these

regulations. Moreover, it is hereby

certified that the regulations in this

document will not have a significant

economic impact on a substantial

number of small entities. This

certification is based on the fact that the

reporting burden is primarily on the

plan participant to supply the

information rather than on the entity

maintaining the retirement plan and the

fact that the number of participants per

plan to whom the burden applies is

insignificant. Accordingly, a regulatory

flexibility analysis under the Regulatory

Flexibility Act (5 U.S.C. chapter 6) is

not required. Pursuant to section 7805(f)

of the Internal Revenue Code, this
Federal Register / Vol. 62, No. 249 / Tuesday, December 30, 1997 / Proposed Rules 67783

notice of proposed rulemaking will be

submitted to the Chief Counsel for

Advocacy of the Small Business

Administration for comment on its

impact on small business.

Comments and Requests for a Public

Hearing

Before these proposed regulations are

adopted as final regulations,

consideration will be given to any

written comments (preferably a signed

original and eight (8) copies) or

comments transmitted via Internet that

are submitted timely to the IRS. All

comments will be available for public

inspection and copying. A public

hearing may be scheduled if requested

in writing by a person that timely

submits written comments. If a public

hearing is scheduled, notice of the date,

time, and place for the hearing will be

published in the Federal Register.

Drafting Information: The principal

author of these regulations is Cheryl

Press, Office of the Associate Chief

Counsel (Employee Benefits and Exempt

Organizations), IRS. However, other

personnel from the IRS and Treasury

Department participated in their

development.

List of Subjects in 26 CFR Part 1

Income taxes, Reporting and

recordkeeping requirements.

Amendments to the Previously

Proposed Regulations

Accordingly, 26 CFR part 1 is

proposed to be amended as follows:

PART 1—INCOME TAXES

Paragraph 1. The authority citation

for part 1 continues to read in part as

follows:

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

Par. 2. Section 1.401(a)(9)–1 as

proposed to be added at 52 FR 28075,

July 27, 1987, is amended by:

1. Revising Q&A D–5.

2. Revising Q&A D–6.

3. Adding Q&A D–7.

The additions and revisions read as

follows:

§ 1.401(a)(9)–1 Required distributions from

trust and plans.

* * * * *

D. Determination of the Designated

Beneficiary

* * * * *

D–5. Q. If a trust is named as a

beneficiary of an employee, will the

beneficiaries of the trust with respect to

the trust’s interest in the employee’s

benefit be treated as having been

designated as beneficiaries of the

employee under the plan for purposes of

determining the distribution period

under section 401(a)(9)(A)(ii)?

A. (a) Pursuant to D–2A of this

section, only an individual may be a

designated beneficiary for purposes of

determining the distribution period

under section 401(a)(9)(A)(ii).

Consequently, a trust itself may not be

the designated beneficiary even though

the trust is named as a beneficiary.

However, if the requirements of

paragraph (b) of this D–5A are met,

distributions made to the trust will be

treated as paid to the beneficiaries of the

trust with respect to the trust’s interest

in the employee’s benefit, and the

beneficiaries of the trust will be treated

as having been designated as

beneficiaries of the employee under the

plan for purposes of determining the

distribution period under section

401(a)(9)(A)(ii). If, as of any date on or

after the employee’s required beginning

date, a trust is named as a beneficiary

of the employee and the requirements in

paragraph (b) of this D–5A are not met,

the employee will be treated as not

having a designated beneficiary under

the plan for purposes of section

401(a)(9)(A)(ii). Consequently, for

calendar years beginning after that date,

distribution must be made over the

employee’s life (or over the period

which would have been the employee’s

remaining life expectancy determined as

if no beneficiary had been designated as

of the employee’s required beginning

date).

(b) The requirements of this paragraph

(b) are met if, as of the later of the date

on which the trust is named as a

beneficiary of the employee, or the

employee’s required beginning date, and

as of all subsequent periods during

which the trust is named as a

beneficiary, the following requirements

are met:

(1) The trust is a valid trust under

state law, or would be but for the fact

that there is no corpus.

(2) The trust is irrevocable or will, by

its terms, become irrevocable upon the

death of the employee.

(3) The beneficiaries of the trust who

are beneficiaries with respect to the

trust’s interest in the employee’s benefit

are identifiable from the trust

instrument within the meaning of D–2

of this section.

(4) The documentation described in

D–7 of this section has been provided to

the plan administrator.

(c) In the case of payments to a trust

having more than one beneficiary, see

E–5 of this section for the rules for

determining the designated beneficiary

whose life expectancy will be used to

determine the distribution period. If the

beneficiary of the trust named as

beneficiary is another trust, the

beneficiaries of the other trust will be

treated as having been designated as

beneficiaries of the employee under the

plan for purposes of determining the

distribution period under section

401(a)(9)(A)(ii), provided that the

requirements of paragraph (b) of this D–

5A are satisfied with respect to such

other trust in addition to the trust

named as beneficiary.

D–6. Q. If a trust is named as a

beneficiary of an employee, will the

beneficiaries of the trust with respect to

the trust’s interest in the employee’s

benefit be treated as designated

beneficiaries under the plan with

respect to the employee for purposes of

determining the distribution period

under section 401(a)(9)(B)(iii) and (iv)?

A. (a) If a trust is named as a

beneficiary of an employee and the

requirements of paragraph (b) of D–5A

of this section are satisfied as of the date

of the employee’s death or, in the case

of the documentation described in D–7

of this section, by the end of the ninth

month beginning after the employee’s

date of death, then distributions to the

trust for purposes of section 401(a)(9)

will be treated as being paid to the

appropriate beneficiary of the trust with

respect to the trust’s interest in the

employee’s benefit, and all beneficiaries

of the trust with respect to the trust’s

interest in the employee’s benefit will

be treated as designated beneficiaries of

the employee under the plan for

purposes of determining the distribution

period under section 401(a)(9)(B)(iii)

and (iv). If the beneficiary of the trust

named as beneficiary is another trust,

the beneficiaries of the other trust will

be treated as having been designated as

beneficiaries of the employee under the

plan for purposes of determining the

distribution period under section

401(a)(9)(B)(iii) and (iv), provided that

the requirements of paragraph (b) of D–

5A of this section are satisfied with

respect to such other trust in addition to

the trust named as beneficiary. If a trust

is named as a beneficiary of an

employee and if the requirements of

paragraph (b) of D–5A of this section are

not satisfied as of the dates specified in

the first sentence of this paragraph, the

employee will be treated as not having

a designated beneficiary under the plan.

Consequently, distribution must be

made in accordance with the five-year

rule in section 401(a)(9)(B)(ii).

(b) The rules of D–5 of this section

and this D–6 also apply for purposes of

applying the provisions of section

401(a)(9)(B)(iv)(II) if a trust is named as

a beneficiary of the employee’s

surviving spouse. In the case of
67784 Federal Register / Vol. 62, No. 249 / Tuesday, December 30, 1997 / Proposed Rules

payments to a trust having more than

one beneficiary, see E–5 of this section

for the rules for determining the

designated beneficiary whose life

expectancy will be used to determine

the distribution period.

D–7. Q. If a trust is named as a

beneficiary of an employee, what

documentation must be provided to the

plan administrator so that the

beneficiaries of the trust who are

beneficiaries with respect to the trust’s

interest in the employee’s benefit are

identifiable to the plan administrator?

A. (a) Required distributions

commencing before death. In order to

satisfy the requirement of paragraph

(b)(4) of D–5A of this section for

distributions required under section

401(a)(9) to commence before the death

of an employee, the employee must

comply with either paragraph (a)(1) or

(2) of this D–7A:

(1) The employee provides to the plan

administrator a copy of the trust

instrument and agrees that if the trust

instrument is amended at any time in

the future, the employee will, within a

reasonable time, provide to the plan

administrator a copy of each such

amendment.

(2) The employee—

(i) Provides to the plan administrator

a list of all of the beneficiaries of the

trust (including contingent and

remainderman beneficiaries with a

description of the conditions on their

entitlement);

(ii) Certifies that, to the best of the

employee’s knowledge, this list is

correct and complete and that the

requirements of paragraphs (b)(1), (2),

and (3) of D–5A of this section are

satisfied;

(iii) Agrees to provide corrected

certifications to the extent that an

amendment changes any information

previously certified; and

(iv) Agrees to provide a copy of the

trust instrument to the plan

administrator upon demand.

(b) Required distributions after death.

In order to satisfy the documentation

requirement of this D–7 for required

distributions after death, by the end of

the ninth month beginning after the

death of the employee, the trustee of the

trust must either—

(1) Provide the plan administrator

with a final list of all of the beneficiaries

of the trust (including contingent and

remainderman beneficiaries with a

description of the conditions on their

entitlement) as of the date of death;

certify that, to the best of the trustee’s

knowledge, this list is correct and

complete and that the requirements of

paragraph (b)(1), (2), and (3) of D–5A of

this section are satisfied as of the date

of death; and agree to provide a copy of

the trust instrument to the plan

administrator upon demand; or

(2) Provide the plan administrator

with a copy of the actual trust document

for the trust that is named as a

beneficiary of the employee under the

plan as of the employee’s date of death.

(c) Relief for discrepancy between

trust instrument and employee

certifications or earlier trust

instruments. (1) If required distributions

are determined based on the

information provided to the plan

administrator in certifications or trust

instruments described in paragraph

(a)(1), (a)(2) or (b) of this D–7A, a plan

will not fail to satisfy section 401(a)(9)

merely because the actual terms of the

trust instrument are inconsistent with

the information in those certifications or

trust instruments previously provided to

the plan administrator, but only if the

plan administrator reasonably relied on

the information provided and the

minimum required distributions for

calendar years after the calendar year in

which the discrepancy is discovered are

determined based on the actual terms of

the trust instrument. For purposes of

determining whether the plan satisfies

section 401(a)(9) for calendar years after

the calendar year in which the

discrepancy is discovered, if the actual

beneficiaries under the trust instrument

are different from the beneficiaries

previously certified or listed in the trust

instrument previously provided to the

plan administrator, or the trust

instrument specifying the actual

beneficiaries does not satisfy the other

requirements of paragraph (b) of D–5A

of this section, the minimum required

distribution will be determined by

treating the beneficiaries of the

employee as having been changed in the

calendar year in which the discrepancy

was discovered to conform to the

corrected information and by applying

the change in beneficiary provisions of

E–5 of this section.

(2) For purposes of determining the

amount of the excise tax under section

4974, the minimum required

distribution is determined for any year

based on the actual terms of the trust in

effect during the year.

* * * * *

Michael P. Dolan,

Deputy Commissioner of Internal Revenue.

[FR Doc. 97–33393 Filed 12–29–97; 8:45 am]

BILLING CODE 4830–01–U

ENVIRONMENTAL PROTECTION

AGENCY

40 CFR Part 59

[AD–FRL–5942–1]

National Volatile Organic Compound

Emission Standards for Automobile

Refinish Coatings

AGENCY: Environmental Protection

Agency (EPA).

ACTION: Supplemental proposed rule.

SUMMARY: On April 30, 1996, the EPA

proposed volatile organic compound

(VOC) emission standards for

automobile refinish coatings. In today’s

document, the EPA is proposing several

changes to the rule regarding

applicability, test methods, and multicolored topcoats.

DATES: Comments. Comments must be

received on or before February 13, 1998.

ADDRESSES: Comments. Comments

should be submitted (in duplicate) to:

Air and Radiation Docket and

Information Center (6102), Attention:

Docket No. A–95–18, U.S.

Environmental Protection Agency, 401

M Street, SW, Washington, DC 20460.

Docket. Docket No. A–95–18 is

available for public inspection and

copying from 8:00 a.m. to 5:30 p.m.

Monday through Friday, at the EPA’s

Air and Radiation Docket and

Information Center, Waterside Mall,

Room M–1500, Ground Floor, 401 M

Street SW, Washington, DC 20460. A

reasonable fee may be charged for

copying.

FOR FURTHER INFORMATION CONTACT: For

information concerning this document,

contact Mr. Mark Morris at (919) 541–

5416, Organic Chemicals Group,

Emission Standards Division (MD-13),

U.S. Environmental Protection Agency,

Research Triangle Park, North Carolina

27711.

SUPPLEMENTARY INFORMATION: Ground

level-ozone, a major component of

‘‘smog,’’ is formed in the atmosphere by

reactions of VOC and oxides of nitrogen

(NOX) in the presence of sunlight.

Elevated levels of ozone can cause a

range of health effects including

respiratory symptoms (e.g. cough, chest

pain, shortness of breath, wheezing,

throat irritation), increased hospital

admissions and emergency room visits

for respiratory causes (e.g. aggravation

of asthma), decreased lung function;

inflammation of the lung, and possible

long-term damage to the lungs. Groups

at increased risk of experiencing acute

health effects from ozone include active

children, adults who regularly work or

exercise outside, and people with pre-