2240 Federal Register / Vol. 77, No. 10 / Tuesday, January 17, 2012 / Proposed Rules 

PC–6 Service Bulletin No. 55–001, Rev. No. 

1, dated November 25, 2011, for related 

information. For service information related 

to this AD, contact PILATUS AIRCRAFT 

LTD., Customer Liaison Manager, CH–6371 

STANS, Switzerland; telephone: +41 (0) 41 

619 65 80; fax: +41 (0) 41 619 65 76; Internet: 

http://www.pilatus-aircraft.com. You may 

review copies of the referenced service 

information at the FAA, Small Airplane 

Directorate, 901 Locust, Kansas City, 

Missouri 64106. For information on the 

availability of this material at the FAA, call 

(816) 329–4148. 

Issued in Kansas City, Missouri on January 

10, 2012. 

John Colomy, 

Acting Manager, Small Airplane Directorate, 

Aircraft Certification Service. 

[FR Doc. 2012–746 Filed 1–13–12; 8:45 am] 

BILLING CODE 4910–13–P 

DEPARTMENT OF THE TREASURY 

Internal Revenue Service 

26 CFR Part 1 

[REG–113903–10] 

RIN 1545–BJ59 

Allocation and Apportionment of 

Interest Expense 

AGENCY: Internal Revenue Service (IRS), 

Treasury. 

ACTION: Notice of proposed rulemaking 

by cross-reference to temporary 

regulations and notice of public hearing. 

SUMMARY: In the Rules and Regulations 

section in this issue of the Federal 

Register, the IRS is issuing temporary 

regulations that provide guidance 

relating to the allocation and 

apportionment of interest expense. The 

temporary regulations provide guidance 

concerning the allocation and 

apportionment of interest expense by 

corporations owning a 10 percent or 

greater interest in a partnership, as well 

as the allocation and apportionment of 

interest expense using the fair market 

value asset method. The temporary 

regulations also update the interest 

allocation regulations to conform to the 

changes made to the applicable law by 

the legislation commonly referred to as 

the Education Jobs and Medicaid 

Assistance Act (EJMAA), enacted on 

August 10, 2010 (Pub. L. 111–226, 124 

Stat. 2389 (2010)), which affect 

corporations owning certain foreign 

corporations engaged in the conduct of 

a trade or business in the United States. 

The text of those temporary regulations 

published in this issue of the Federal 

Register also serves as the text of these 

proposed regulations. This document 

also provides a notice of public hearing 

on these proposed regulations. 

DATES: Written or electronic comments 

must be received by March 13, 2012. 

Outlines of topics to be discussed at the 

public hearing scheduled for April 3, 

2012, at 10 a.m. must be received by 

March 13, 2012. 

ADDRESSES: Send submissions to 

CC:PA:LPD:PR (REG–113903–10), room 

5203, Internal Revenue Service, PO Box 

7604, Ben Franklin Station, Washington, 

DC 20044. Submissions may be hand 

delivered Monday through Friday 

between the hours of 8 a.m. and 4 p.m. 

to CC:PA:LPD:PR (REG–113903–10), 

Courier’s desk, Internal Revenue 

Service, 1111 Constitution Avenue NW., 

Washington, DC 20044, or sent 

electronically, via the Federal 

eRulemaking Portal at 

www.regulations.gov (IRS REG–113903– 

10). The public hearing will be held in 

the IRS Auditorium, Internal Revenue 

Building, 1111 Constitution Avenue 

NW., Washington, DC. 

FOR FURTHER INFORMATION CONTACT: 

Concerning the regulations, Jeffrey L. 

Parry, (202) 622–3850; concerning 

submissions of comments, the hearing, 

and/or to be placed on the building 

access list to attend the hearing 

Oluwfunmilayo Taylor (202) 622–7180 

(not toll-free numbers). 

SUPPLEMENTARY INFORMATION: 

Background and Explanation of 

Provisions 

Temporary regulations in the Rules 

and Regulations section of this issue of 

the Federal Register contain 

amendments to the Income Tax 

Regulations (26 CFR part 1) which 

provide rules under section 861 relating 

to the affiliation of certain foreign 

corporations for purposes of section 

864, the allocation and apportionment 

of interest expense by corporations 

owning a 10 percent or greater interest 

in a partnership, and the allocation and 

apportionment of interest expense using 

the fair market value method. The text 

of those regulations also serves as the 

text of these proposed regulations. The 

preamble to the temporary regulations 

explains the temporary regulations and 

these proposed regulations. The 

regulations affect taxpayers that allocate 

and apportion interest expense under 

section 864. 

Special Analyses 

It has been determined that this notice 

of proposed rulemaking is not a 

significant regulatory action as defined 

in Executive Order 12866. Therefore, a 

regulatory assessment is not required. It 

has also been determined that section 

553(b) of the Administrative Procedure 

Act (5 U.S.C. chapter 5) does not apply 

to these regulations, and because the 

regulations do not impose a collection 

of information on small entities, the 

Regulatory Flexibility Act (5 U.S.C. 

chapter 6) does not apply. Pursuant to 

section 7805(f), these regulations have 

been submitted to the Chief Counsel for 

Advocacy of the Small Business 

Administration for comment on its 

impact on small business. 

Comments and Public Hearing 

Before these proposed regulations are 

adopted as final regulations, 

consideration will be given to any 

electronic or written comments (a 

signed original and eight (8) copies) that 

are submitted timely to the IRS. The IRS 

and the Treasury Department request 

comments on all aspects of the proposed 

rules. All comments will be available for 

public inspection and copying. 

A public hearing has been scheduled 

for April 3, 2012, in the IRS auditorium, 

Internal Revenue Building, 1111 

Constitution Avenue NW., Washington, 

DC. Due to building security 

procedures, visitors must enter at the 

Constitution Avenue entrance. In 

addition, all visitors must present photo 

identification to enter the building. 

Because of access restrictions, visitors 

will not be admitted beyond the 

immediate entrance more than 30 

minutes before the hearing starts. For 

information about having your name 

placed on the building access list to 

attend the hearing, see the FOR FURTHER

INFORMATION CONTACT section of this 

preamble. 

The rules of 26 CFR 601.601(a)(3) 

apply to the hearing. Persons who wish 

to present oral comments at the hearing 

must submit electronic or written 

comments by March 13, 2012, and an 

outline of the topics to be discussed and 

the time to be devoted to each topic 

(signed original and eight (8) copies) by 

March 13, 2012. A period of 10 minutes 

will be allotted to each person for 

making comments. 

An agenda showing the scheduling of 

the speakers will be prepared after the 

deadline for receiving outlines has 

passed. Copies of the agenda will be 

available free of charge at the hearing. 

Drafting Information 

The principal author of these 

regulations is Jeffrey L. Parry of the 

Office of Chief Counsel (International). 

However, other personnel from the IRS 

and the Treasury Department 

participated in their development. 

WREIER-aviles on DSK5TPTVN1PROD with PROPOSALS

Federal Register / Vol. 77, No. 10 / Tuesday, January 17, 2012 / Proposed Rules 2241 

List of Subjects in 26 CFR Part 1 

Income taxes, Reporting and 

recordkeeping requirements. 

Proposed Amendments to the 

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. In § 1.861–9, paragraphs (e)(2), 

(e)(3), (h)(4), and (k) are revised to read 

as follows: 

§ 1.861–9 Allocation and apportionment of 

interest expense 

* * * * * 

(e) * * * 

(2) and (3) [The text of the proposed 

amendments to § 1.861–9(e)(2) and 

§ 1.861–9(e)(3) is the same as the text of 

§ 1.861–9T(e)(2) and § 1.861–9T(e)(3) 

published elsewhere in this issue of the 

Federal Register.] 

* * * * * 

(h) * * * 

(4) [The text of the proposed 

amendment to § 1.861–9(h)(4) is the 

same as the text of § 1.861–9T(h)(4) 

published elsewhere in this issue of the 

Federal Register.] 

* * * * * 

(k) [The text of the proposed 

amendment to § 1.861–9(k) is the same 

as the text of § 1.861–9T(k) published 

elsewhere in this issue of the Federal 

Register.] 

Par. 3. In § 1.861–11, paragraphs 

(d)(6)(ii) and (h) are revised to read as 

follows: 

§ 1.861–11 Special rules for allocating and 

apportioning interest expense of an 

affiliated group of corporations. 

* * * * * 

(d) * * * 

(6)(ii) [The text of proposed § 1.861– 

11(d)(6)(ii) is the same as the text of 

§ 1.861–11T(d)(6)(ii) published 

elsewhere in this issue of the Federal 

Register.] 

* * * * * 

(h) [The text of the proposed 

amendment to § 1.861–11(h) is the same 

as the text of § 1.861–11T(h) published 

elsewhere in this issue of the Federal 

Register.] 

Steven T. Miller, 

Deputy Commissioner for Services and 

Enforcement. 

[FR Doc. 2012–595 Filed 1–13–12; 8:45 am] 

BILLING CODE 4830–01–P 

FEDERAL COMMUNICATIONS 

COMMISSION 

47 CFR Part 73 

[MB Docket No. 11–207; RM–11517, RM– 

11518; DA 11–2058] 

Radio Broadcasting Services; 

Ehrenberg, First Mesa, Kachina 

Village, Wickenburg, and Williams, AZ; 

and Application of Univision Radio 

License Corporation, KHOV–FM, 

Wickenburg, AZ 

AGENCY: Federal Communications 

Commission. 

ACTION: Proposed rule. 

SUMMARY: This document requests 

comments on two mutually exclusive 

proposals that were previously being 

considered in MB Docket No. 08–85. 

That proceeding was terminated 

without considering these proposals. 

The first proposal, RM–11517, filed by 

Rocket Radio, Inc., proposes the 

allotment of FM Channel 287C2 at 

Williams, Arizona, as the community’s 

second local service; the substitution of 

Channel 228C2 for vacant Channel 

286C2 at Ehrenberg, Arizona; and the 

substitution of Channel 281C for vacant 

Channel 247C at First Mesa, Arizona. 

Additionally, to facilitate the Williams 

allotment, we issue an Order to Show 

Cause to Univision Radio License 

Corporation as to why its license for 

Station KHOV–FM, Wickenburg, 

Arizona, should not be changed from 

Channel 287C2 to Channel 286C2; and 

to Grenax Broadcasting II, LLC as to 

why its license for Station KBTK(FM), 

Kachina Village, Arizona, should not be 

modified from Channel 286C2 to 

Channel 246C2. See SUPPLEMENTARY

INFORMATION. 

DATES: Comments must be filed on or 

before February 20, 2012, and reply 

comments on or before March 6, 2012. 

ADDRESSES: Secretary, Federal 

Communications Commission, 445 

Twelfth Street SW., Washington, DC 

20554. In addition to filing comments 

with the FCC, interested parties should 

serve the petitioner as follows: Erwin G. 

Krasnow, Esq., Garvey Schubert Barer, 

1000 Potomac Street NW., Fifth Floor, 

Flour Mill Building, Washington, DC 

20007–3501 (Counsel to Rocket Radio, 

Inc.); and Scott R. Flick, Esq., Pillsbury 

Winthrop Shaw Pittman LLP, 2300 N 

Street NW., Washington, DC 20037– 

1128 (Counsel to Univision Radio 

License Corporation). 

FOR FURTHER INFORMATION CONTACT: 

Rolanda F. Smith or Andrew J. Rhodes, 

Media Bureau, (202) 418–2054. 

SUPPLEMENTARY INFORMATION: This is a 

synopsis of the Commission’s Notice of 

Proposed Rule Making, MB Docket 

No.11–207, adopted December 21, 2011, 

and released December 23, 2011. The 

full text of this Commission decision is 

available for inspection and copying 

during normal business hours in the 

FCC’s Reference Information Center at 

Portals II, CY–A257, 445 Twelfth Street 

SW., Washington, DC 20554. This 

document may also be purchased from 

the Commission’s duplicating 

contractors, Best Copy and Printing, 

Inc., 445 12th Street SW., Room CY– 

B402, Washington, DC 20554, telephone 

1 (800) 378–3160 or via email 

www.BCPIWEB.com. 

The second proposal, RM–11518, 

involves a petition for rule making and 

hybrid application, filed by Univision 

Radio License Corporation, licensee of 

Station KHOV–FM, Wickenburg, 

Arizona. The application requests the 

upgrade of Station KHOV–FM, 

Wickenburg, from Channel 287C2 to 

Channel 286C0. See File No. BPH– 

20080915AFP. To accommodate this 

proposal, Univision Radio License 

Corporation filed a petition for rule 

making proposing the same channel 

substitutions for the vacant allotments 

at Ehrenberg and First Mesa as proposed 

in the first proposal. Additionally, we 

issue an Order to Show Cause to Grenax 

Broadcasting II, LLC for the same 

involuntary channel to Station 

KBTX(FM), Kachina Village, Arizona, to 

facilitate the Wickenburg proposal. 

This document does not contain 

proposed information collection 

requirements subject to the Paperwork 

Reduction Act of 1995, Public Law 104– 

13. In addition, therefore, it does not 

contain any proposed information 

collection burden ‘‘for small business 

concerns with fewer than 25 

employees,’’ pursuant to the Small 

Business Paperwork Relief Act of 2002, 

Public Law 107–198, see 44 U.S.C. 

3506(c)(4). 

Provisions of the Regulatory 

Flexibility Act of l980 do not apply to 

this proceeding. 

Members of the public should note 

that from the time a Notice of Proposed 

Rule Making is issued until the matter 

is no longer subject to Commission 

consideration or court review, all ex 

parte contacts are prohibited in 

Commission proceedings, such as this 

one, which involve channel allotments. 

See 47 CFR 1.1204(b) for rules 

governing permissible ex parte contacts. 

For information regarding proper 

filing procedures for comments, see 47 

CFR 1.415 and 1.420. 

WREIER-aviles on DSK5TPTVN1PROD with PROPOSALS