[Federal Register Volume 60, Number 65 (Wednesday, April 5, 1995)]
[Proposed Rules]
[Pages 17286-17287]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 95-8230]



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DEPARTMENT OF THE TREASURY
Internal Revenue Service
26 CFR Part 1
[EE-12-95]
RIN 1545-AT27

Valuation of Plan Distributions
AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Notice of proposed rulemaking by cross-reference to temporary 
regulations and notice of public hearing.

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SUMMARY: In the Rules and Regulations section of this issue of the 
Federal Register, the IRS is issuing temporary regulations that provide 
guidance to employers in determining the present value of an employee's 
benefit in a qualified defined benefit pension plan, for purposes of 
determining the amount of a distribution made in any form other than a 
nondecreasing annuity payable for a period not less than the life of 
the participant or, in the case of a qualified preretirement survivor 
annuity, the life of the surviving spouse. The text of those temporary 
regulations also serves as the text of these proposed regulations. This 
document also provides notice of a public hearing on these proposed 
regulations.

DATES: Written comments must be received by July 5, 1995. Outlines of 
topics to be discussed at the public hearing scheduled for Tuesday, 
July 25, 1995, at 10 a.m. must be received by July 7, 1995.

ADDRESSES: Send submissions to: CC:DOM:CORP:T:R (EE-12-95), room 5228, 
Internal Revenue Service, POB 7604, Ben Franklin Station, Washington, 
DC 20044. In the alternative, submissions may be hand delivered between 
the hours of 8 a.m. and 5 p.m. to: CC:DOM:CORP:T:R (EE-12-95), 
Courier's Desk, Internal Revenue Service, 1111 Constitution Avenue NW., 
Washington, DC. The public hearing will be held in the Auditorium, 
Internal Revenue Building, 1111 Constitution Avenue NW., Washington, 
DC.

FOR FURTHER INFORMATION CONTACT: Concerning the regulations, Linda S. 
F. Marshall, (202) 622-4606; concerning submissions and the hearing, 
Michael Slaughter, (202) 622-7190 (not toll-free numbers).

SUPPLEMENTARY INFORMATION:

Background

    Temporary regulations in the Rules and Regulations section of this 
issue of the Federal Register amend the Income Tax Regulations (26 CFR 
part 1) relating to section 417. The temporary regulations provide 
guidance to employers in determining the present value of an employee's 
benefit in a qualified defined benefit pension plan.
    The text of those temporary regulations also serves as the text of 
these proposed regulations. The preamble to the temporary regulations 
explains the temporary regulations.

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) and the Regulatory Flexibility Act (5 U.S.C. chapter 6) do 
not apply to these regulations, and, therefore, a Regulatory 
Flexibility Analysis is not required. 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.

Comments and Public Hearing

    Before these proposed regulations are adopted as final regulations, 
consideration will be given to any written comments (a signed original 
and eight (8) copies) that are submitted timely to the IRS. All 
comments will be available for public inspection and copying.
    A public hearing has been scheduled for Tuesday, July 25, 1995, at 
10 a.m. in the Auditorium, Internal Revenue Building, 1111 Constitution 
Avenue NW., Washington, DC. Because of access restrictions, visitors 
will not be admitted beyond the 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 July 5, 1995 and submit an outline of the 
topics to be discussed and the time to be devoted to each topic (signed 
original and eight (8) copies) by July 7, 1995.
    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 the regulations is Linda S. F. Marshall, 
Office of the Associate Chief Counsel (Employee Benefits and Exempt 
Organizations). 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.

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 is amended by adding 
an entry in numerical order to read as follows:

    [[Page 17287]] Authority: 26 U.S.C. 7805 * * *

    Section 1.417(e)-1 also issued under 26 U.S.C. 
417(e)(3)(A)(ii)(II).


Sec. 1.417  [Amended]

    Par. 2. Paragraph (d) of Sec. 1.417(e)-1 is revised to read as 
follows:
    [The text of proposed paragraph (d) is the same as the text of 
Sec. 1.417(e)-1T(d) published elsewhere in this issue of the Federal 
Register].
Margaret Milner Richardson,
Commissioner of Internal Revenue.
[FR Doc. 95-8230 Filed 4-4-95; 8:45 am]
BILLING CODE 4830-01-U