4204 Federal Register / Vol. 63, No. 18 /Wednesday, January 28, 1998 / Proposed Rules

a. By revising paragraph (a)

introductory text to read as set forth

below.

b. By revising paragraphs (b) and (c)

to read as set forth below.

c. By revising paragraph (e)

introductory text to read as set forth

below.

d. By removing paragraph (f).

§ 301.89–13 Treatments.

(a) All conveyances, mechanized

harvesting equipment, seed

conditioning equipment, grain elevators,

and structures used for storing and

handling wheat, durum wheat, or

triticale required to be cleaned and

disinfected under this subpart must be

cleaned by removing all soil and plant

debris and disinfected by one of the

methods specified in paragraphs (a)(1)

through (a)(4) of this section, unless a

particular treatment is designated by an

inspector. The treatment used must be

that specified by an inspector if that

treatment is deemed most effective in a

given situation:

* * * * *

(b) Soil must be wet to a depth of 1

inch by water (irrigation or rain) just

prior to treatment and must be treated

by fumigation with methyl bromide at

the dosage of 15 pounds/1000 cubic feet

for 96 hours.

(c) Millfeed must be treated with a

moist heat treatment of 170 °F for at

least 1 minute if the millfeed resulted

from the milling of wheat, durum

wheat, or triticale that tested positive for

Karnal bunt.

* * * * *

(e) Commercial lots of seed

originating from an eligible restricted

area for seed, as described in § 301.89–

6(d)(1), or seed originating from a

restricted area for seed that will be used

for germplasm or for research purposes,

must be treated with a 1.5 percent

aqueous solution of sodium

hypochlorite (=30 percent household

bleach) containing 2 mL of Tween 20TM

per liter agitated for 10 minutes at room

temperature followed by a 15-minute

rinse with clean, running water and

then by drying, and either:

* * * * *

PART 319—FOREIGN QUARANTINE

NOTICES

8. The authority citation for part 319

would continue to read as follows:

Authority: 7 U.S.C. 150dd, 150ee, 150ff,

151–167, 450, 2803, and 2809; 21 U.S.C. 136

and 136a; 7 CFR 2.22, 2.80, and 371.2(c).

9. In § 319.59–1, the definition of

‘‘Karnal bunt’’ would be revised to read

as follows:

§ 319.59–1 Definitions.

* * * * *

Karnal bunt. A plant disease caused

by the fungus Tilletia indica (Mitra)

Mundkur.

* * * * *

Done in Washington, DC, this 20th day of

January 1998.

Terry L. Medley,

Administrator, Animal and Plant Health

Inspection Service.

[FR Doc. 98–1776 Filed 1–27–98; 8:45 am]

BILLING CODE 3410–34–P

DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

[REG–120882–97]

RIN 1545–AV81

Continuity of Interest

AGENCY: Internal Revenue Service (IRS),

Treasury.

ACTION: Notice of proposed rulemaking

by cross-reference to temporary

regulations and notice of public hearing.

SUMMARY: The IRS is issuing temporary

regulations published elsewhere in this

issue of the Federal Register providing

guidance regarding satisfaction of the

continuity of interest requirement for

corporate reorganizations. The

temporary regulations affect

corporations and their shareholders.

The text of those temporary regulations

also serves as the text of these proposed

regulations. In addition, this document

provides notice of a public hearing on

these proposed regulations.

DATES: Written comments and outlines

of topics to be discussed at the hearing

scheduled for Tuesday, May 26, 1998,

must be received by Tuesday, May 5,

1998.

ADDRESSES: Send submissions to:

CC:DOM:CORP:R (REG–120882–97),

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–120882–97),

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. The public

hearing will be held in room 2615,

Internal Revenue Building, 1111

Constitution Avenue NW., Washington,

DC.

FOR FURTHER INFORMATION CONTACT:

Concerning the regulations, Phoebe

Bennett, (202) 622–7750; concerning

submissions and the hearing, LaNita

Van Dyke, (202) 622–7190 (not toll-free

numbers).

SUPPLEMENTARY INFORMATION:

Background

Temporary regulations published

elsewhere in this issue of the Federal

Register amend the Income Tax

Regulations (26 CFR part 1) under

section 368. The temporary regulations

provide that in determining whether the

continuity of interest requirement for

corporate reorganizations is satisfied

with respect to a potential

reorganization, a proprietary interest in

the target corporation is not preserved

if, in connection with a potential

reorganization, it is redeemed or

acquired by a person related to the

target corporation, or to the extent that,

prior to and in connection with a

potential reorganization, an

extraordinary distribution is made with

respect to it.

The text of the temporary regulations

also serves as the text of these proposed

regulations. The preamble to the

temporary regulations describes the

temporary regulations.

The temporary regulations do not

provide guidance on the determination

of whether a distribution will be treated

as an extraordinary distribution, except

that the rules of section 1059 do not

apply for this purpose. The IRS and

Treasury Department invite comments

on whether the regulations should

provide more specific guidance in this

area.

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, and because the regulation

does 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) of the Internal Revenue

Code, this 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.
Federal Register / Vol. 63, No. 18 /Wednesday, January 28, 1998 / Proposed Rules 4205

Comments and Public Hearing

Before these proposed regulations are

adopted as final regulations,

consideration will be given to any

comments that are submitted timely to

the IRS. All comments will be available

for public inspection and copying.

A public hearing has been scheduled

at 10 a.m. on Tuesday, May 26, 1998, in

room 2615, Internal Revenue Service,

1111 Constitution Avenue NW.,

Washington, DC. Because of access

restrictions, visitors will not be

admitted beyond the Internal Revenue

Building lobby more than 15 minutes

before the hearing starts.

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

apply to the hearing.

Persons that wish to present oral

comments at the hearing must submit

written comments by Tuesday, May 5,

1998 and submit an outline of the topics

to be discussed and the time to be

devoted to each topic (a signed original

and eight (8) copies) by Tuesday, May

5, 1998.

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.

Proposed Effective Date

These regulations are proposed to

apply to transactions occurring after

January 28, 1998, except that they do

not apply to any transaction occurring

pursuant to a written agreement which

is (subject to customary conditions)

binding on January 28, 1998, and at all

times thereafter.

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. Section 1.368–1 is amended as

follows:

1. Revising paragraphs (e)(1)(ii)(A),

(e)(1)(ii)(B), (e)(2)(ii), and (f).

2. Adding paragraph (e)(6) Example

10 and Example 11.

The addition and revisions read as

follows:

§ 1.368–1 Purpose and scope of exception

of reorganization exchanges.

[The text of proposed paragraphs

(e)(1)(ii)(A) and (B), (e)(2)(ii), (e)(6)

Example 10 and Example 11, and (f) is

the same as the text of § 1.368–1T

published elsewhere in this issue of the

Federal Register].

Michael P. Dolan,

Deputy Commissioner of Internal Revenue.

[FR Doc. 98–1817 Filed 1–23–98; 12:15 pm]

BILLING CODE 4830–01–U

DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

[REG–251985–96]

RIN 1545–AU79

Source of Income From Sales of

Inventory Partly From Sources Within

a Possession of the United States;

Also, Source of Income Derived From

Certain Purchases From a Corporation

Electing Section 936; Hearing

Cancellation

AGENCY: Internal Revenue Service,

Treasury.

ACTION: Cancellation of notice of public

hearing on proposed regulations.

SUMMARY: This document provides

notice of cancellation of a public

hearing on proposed regulations

governing the source of income from

sales of inventory produced in the

United States and sold in a possession

of the United States or produced in a

possession of the United States and sold

in the United States.

DATES: The public hearing originally

scheduled for Thursday, January 29,

1998, beginning at 10:00 a.m. is

cancelled.

FOR FURTHER INFORMATION CONTACT:

Mike Slaughter of the Regulations Unit,

Assistant Chief Counsel (Corporate),

(202) 622–7190, (not a toll-free number).

SUPPLEMENTARY INFORMATION: The

subject of the public hearing is proposed

regulations under sections 863 and 936

of the Internal Revenue Code. A notice

of proposed rulemaking and notice of

public hearing appearing in the Federal

Register on Friday, October 10, 1997 (62

FR 52953), announced that the public

hearing on proposed regulations under

sections 863 and 936 of the Internal

Revenue Code would be held on

Thursday, January 29, 1998, beginning

at 10:00 a.m., in room 2615, Internal

Revenue Building, 1111 Constitution

Avenue, NW., Washington, D.C.

The public hearing scheduled for

Thursday, January 29, 1998, is

cancelled.

Cynthia E. Grigsby,

Chief, Regulations Unit, Assistant Chief

Counsel (Corporate).

[FR Doc. 98–2013 Filed 1–27–98; 8:45 am]

BILLING CODE 4830–01–U

ENVIRONMENTAL PROTECTION

AGENCY

40 CFR Part 52

[OH58–1b; FRL–5954–5]

Approval and Promulgation of State

Implementation Plans; Ohio

AGENCY: Environmental Protection

Agency (EPA).

ACTION: Proposed rule.

SUMMARY: The EPA proposes to approve

the ozone State Implementation Plan

(SIP) revision submitted by the State of

Ohio for the purpose of reducing

volatile organic compound (VOC)

emissions in the Ohio portion of the

Cincinnati-Hamilton area by 15 percent

by November 15, 1996. The plan and

regulations will help to protect the

public’s health and welfare by reducing

the emissions of VOCs that contribute to

the formation of ground-level ozone,

commonly known as urban smog. In the

Final Rules section of this Federal

Register, EPA is approving the State’s

SIP revision, as a direct final rule

without prior proposal because the

Agency views this as a noncontroversial

revision amendment and anticipates no

adverse comments. A detailed rationale

for the approval is set forth in the direct

final rule. If no adverse comments are

received in response to that direct final

rule no further activity is contemplated

in relation to this proposed rule. If EPA

receives significant adverse comments,

in writing, which have not been

addressed, the direct final rule will be

withdrawn and all public comments

received will be addressed in a

subsequent final rule based on this

proposed rule. The EPA will not

institute a second comment period on

this document.

DATES: Comments on this proposed rule

must be received on or before February

27, 1998.

ADDRESSES: Written comments should

be mailed to: J. Elmer Bortzer, Chief,

Regulation Development Section, Air

Programs Branch (AR–18J), United

States Environmental Protection

Agency, Region 5, 77 West Jackson

Boulevard, Chicago, Illinois 60604.