96-32250. Credit for Employer Social Security Taxes Paid on Employee Tips

[Federal Register Volume 61, Number 246 (Friday, December 20, 1996)]
[Proposed Rules]
[Page 67260]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-32250]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

[REG-209672-93]
RIN 1545-AS16


Credit for Employer Social Security Taxes Paid on Employee Tips

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Withdrawal of notice of proposed rulemaking.

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SUMMARY: This document withdraws the notice of proposed rulemaking 
relating to the credit for employer FICA taxes paid with respect to 
certain tips received by employees of food or beverage establishments. 
The proposed regulations were published in the Federal Register on 
December 23, 1993. Changes to the law made by the Small Business Job 
Protection Act of 1996 have made these proposed regulations obsolete.

FOR FURTHER INFORMATION CONTACT: Jean M. Casey at [phone] (not a 
toll-free number).

SUPPLEMENTARY INFORMATION:

Background

    On December 23, 1993, the IRS issued proposed regulations (EE-71-
93) (58 FR 68091) under section 45B of the Internal Revenue Code 
relating to the credit for employer FICA taxes paid with respect to 
certain tips received by employees of food or beverage establishments. 
Amendments made by section 1112(a) of the Small Business Job Protection 
Act of 1996 (Public Law 104-188) render the proposed regulations 
obsolete. Therefore, proposed regulation Sec. 1.45B-1 is being 
withdrawn.
    On December 23, 1993, the IRS also published temporary regulations 
(TD 8503) (58 FR 68033) under section 45B of the Code. These temporary 
regulations are being removed in a separate document.

List of Subjects in 26 CFR Part 1

    Income taxes, Penalties, Reporting and recordkeeping requirements.

Withdrawal of Notice of Proposed Rulemaking

    Accordingly, under the authority of 26 U.S.C. 7805, the notice of 
proposed rulemaking that was published in the Federal Register on 
December 23, 1993 (58 FR 68091) is withdrawn.
Margaret Milner Richardson,
Commissioner of Internal Revenue.
[FR Doc. 96-32250 Filed 12-19-96; 8:45 am]
BILLING CODE 4830-01-P