Federal Register: December 17, 2009 (Volume 74, Number 241)
DOCID: fr17de09-16 FR Doc E9-29855
DEPARTMENT OF THE TREASURY
Veterans Affairs Department
CFR Citation: 26 CFR Parts 1, 31 and 301
RIN ID: RIN 1545-BI66
REG ID: [REG-101896-09]
NOTICE: Part II
DOCID: fr17de09-16
DOCUMENT ACTION: Notice of proposed rulemaking and notice of public hearing.
SUBJECT CATEGORY:
Basis Reporting by Securities Brokers and Basis Determination for Stock
DATES: Written or electronic comments must be received by February 8, 2010. Outlines of topics to be discussed at the public hearing scheduled for February 17, 2010 must be received by February 8, 2010.
DOCUMENT SUMMARY:
This document contains proposed regulations relating to reporting sales of securities by brokers and determining the basis of securities. The proposed regulations reflect changes in the law made by the Energy Improvement and Extension Act of 2008 that require brokers when reporting the sale of securities to the IRS to include the customer's adjusted basis in the sold securities and to classify any gain or loss as longterm or shortterm. This document also contains proposed regulations reflecting changes in the law that alter how taxpayers compute basis when averaging the basis of shares acquired at different prices and that expand the ability of taxpayers to compute basis by averaging. The document also proposes regulations that provide brokers and others until February 15 to furnish certain information statements to customers. This document also contains proposed regulations that implement new reporting requirements imposed upon persons that transfer custody of stock and upon issuers of stock regarding organizational actions that affect the basis of the issued stock. This document also contains proposed regulations reflecting changes in the law that alter how brokers report short sales of securities. Finally, this document provides for a notice of a public hearing on these proposed regulations.
SUMMARY:
Treasury Department, Internal Revenue Service
SUPPLEMENTAL INFORMATION
Paperwork Reduction Act
The collection of information contained in this notice of proposed rulemaking related to the furnishing of information in connection with the transfer of securities has been submitted to the Office of Management and Budget 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,
FOR FURTHER INFORMATION CONTACT
Concerning the proposed regulations under section 1012, Edward C. Schwartz of the Office of Associate Chief Counsel (Income Tax and Accounting) at (202) 6224960; concerning the proposed regulations under sections 3406, 6045, 6045A, 6045B, 6721, and 6722, Stephen Schaeffer of the Office of Associate Chief Counsel (Procedure and Administration) at (202) 6224910; concerning submissions of comments, the public hearing, and/or to be placed on the building access list to attend the public hearing, Funmi Taylor of the Office of Associate Chief Counsel (Procedure and Administration) at (202) 6227180 (not tollfree numbers).