99-33762. Louisiana Forestry Productivity Program; Determination of Primary Purpose of Certain Payments for Federal Tax Purposes

[Federal Register Volume 64, Number 249 (Wednesday, December 29, 1999)]
[Notices]
[Page 73006]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-33762]


========================================================================
Notices
                                                Federal Register
________________________________________________________________________

This section of the FEDERAL REGISTER contains documents other than rules 
or proposed rules that are applicable to the public. Notices of hearings 
and investigations, committee meetings, agency decisions and rulings, 
delegations of authority, filing of petitions and applications and agency 
statements of organization and functions are examples of documents 
appearing in this section.

========================================================================


Federal Register / Vol. 64, No. 249 / Wednesday, December 29, 1999 / 
Notices

[[Page 73006]]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF AGRICULTURE

Forest Service


Louisiana Forestry Productivity Program; Determination of Primary 
Purpose of Certain Payments for Federal Tax Purposes

AGENCY: Forest Service, USDA.

ACTION: Notice.

-----------------------------------------------------------------------

SUMMARY: The Secretary of Agriculture has determined that all cost-
share payments to individuals by the State of Louisiana under the 
Louisiana Forestry Productivity Program are primarily for the purpose 
of improving forests. This determination was made in accordance with 
section 126 of the Internal Revenue Code of 1954, as amended, and 
permits recipients of these payments to exclude them from gross income 
to the extent allowed by the Internal Revenue Service.

DATES: The Secretary's determination was signed on December 20, 1999.

ADDRESSES: Questions may be addressed to Paul D. Frey, Assistant 
Commissioner and State Forester, Louisiana Department of Agriculture 
and Forestry, Office of Forestry, PO Box 1628, Baton Rouge, LA 70821.

FOR FURTHER INFORMATION CONTACT: Paul D. Frey, Louisiana Department of 
Agriculture and Forestry, at [phone] or Ted Beauvais, 
Cooperative Forestry Staff, Forest Service, USDA, at [phone].

SUPPLEMENTARY INFORMATION: Section 126 of the Internal Revenue Code of 
1954, as amended (26 U.S.C. 126), provides that certain payments made 
to persons under State programs may be excluded from the recipient's 
gross income for Federal income tax purposes under two conditions:
    (1) If the Secretary of Agriculture, based on criteria set forth in 
7 CFR part 14, determines that payments are made, ``* * * primarily for 
the purpose of conserving soil and water resources, protecting or 
restoring the environment, improving forests, or providing a habitat 
for wildlife;'' and
    (2) If it ``* * * is determined by the Secretary of the Treasury or 
his delegate as not increasing substantially the annual income derived 
from the property.''

Procedural Matters

    The Secretary of Agriculture, after reviewing the authorizing 
legislation, regulations, and operating procedures regarding the 
Louisiana Forestry Productivity Program and using the criteria set 
forth in 7 CFR part 14, has concluded that cost-share payments made to 
recipients for approved practices under this program are made primarily 
for the purpose of improving forests.
    The Secretary of Agriculture signed the ``Record of Decision, 
Louisiana Forestry Productivity Program, Primary Purpose Determination 
for Federal Tax Purposes'' on December 20, 1999, and the document is 
available upon request from the persons listed earlier in this notice.

    Dated: December 21, 1999.
Jose Cruz,
Acting Deputy Chief, State and Private Forestry.
[FR Doc. 99-33762 Filed 12-28-99; 8:45 am]
BILLING CODE 3410-11-M