PASSIVE ACTIVITY LOSS LIMITATIONS

Forms and Documents

Document Name	Status

No forms / supporting documents in this ICR. Check IC Document Collections.

IC Document Collections

IC ID	Document Title	Status
131290	PASSIVE ACTIVITY LOSS LIMITATIONS Form	Migrated

ICR Details

OMB Control No: 1545-1008	ICR Reference No: 198906-1545-016
Status: Historical Active	Previous ICR Reference No: 198902-1545-018
Agency/Subagency: TREAS/IRS	Agency Tracking No:
Title: PASSIVE ACTIVITY LOSS LIMITATIONS
Type of Information Collection: Revision of a currently approved collection	Common Form ICR:  No
Type of Review Request: Regular
OIRA Conclusion Action: Approved without change	Conclusion Date: 09/13/1989
	Date Received in OIRA: 06/29/1989
Terms of Clearance: Approved through August 1992 subject to the condition that worksheets one through six be retained in the instructions and not be moved to the main form. We find that the proposed increase of over seven million hours to move the worksheets is contrary to the requirement of 5 CFR 1320.4(b)(1) that "the collection of information is the least burdensome necessary for the proper performance of the agency's functions...." The reason given for moving the worksheets to the main form is that "...a number of taxpayers felt that if they changed accountants that they may not have access to the prior year worksheets This argument is not convincing. An action taken for "a number of taxpayers" appears outweighed by the taxpayers who submit nearly 15 million responses annually. Moreover, taxpayers can negotiate directly with their accountants to ensure that all their tax records are accessible. We commend IRS for the removal of the worksheet for significant participation in passive activities from the instructions in order to simplify the instructions for the benefit of most filers. You may omit printing the expiration date on this form. Also, you may continue to use previous versions of this form.

	Inventory as of this Action	Requested	Previously Approved
Expiration Date	08/31/1992	08/31/1992	09/30/1991
Responses	14,900,000	0	14,900,000
Time Burden (Hours)	48,425,000	0	53,193,000
Cost Burden (Dollars)	0	0	0

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Abstract: UNDER SEC. 469, LOSSES FROM PASSIVE ACTIVITIES, TO THE EXTENT THEY EXCEED INCOME FROM PASSIVE ACTIVITIES, CANNOT BE DEDUCTED AGAINST NONPASSIVE INCOME. FORM 8582 IS USED TO FIGURE THE PASSIVE ACTIVITY LO ALLOWED AND THE LOSS TO BE REPORTED ON THE TAX RETURN. THE WORKSHEETS 1 AND 2 IN THE INSTRUCTIONS ARE USED TO FIGURE THE AMOUNT TO BE ENTERE ON LINES 1 AND 2 OF FORM 8582 AND WORKSHEETS 3 THROUGH 6 ARE USED TO

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Authorizing Statute(s): None

Citations for New Statutory Requirements: None

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Associated Rulemaking Information
RIN:	Stage of Rulemaking:	Federal Register Citation:	Date:

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Federal Register Notices & Comments

Did the Agency receive public comments on this ICR? No

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Number of Information Collection (IC) in this ICR: 1

IC Title	Form No.	Form Name
PASSIVE ACTIVITY LOSS LIMITATIONS	8582

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ICR Summary of Burden

	Total Approved	Previously Approved	Change Due to New Statute	Change Due to Agency Discretion	Change Due to Adjustment in Estimate	Change Due to Potential Violation of the PRA
Annual Number of Responses	14,900,000	14,900,000	0	0	0	0
Annual Time Burden (Hours)	48,425,000	53,193,000	0	-4,768,000	0	0
Annual Cost Burden (Dollars)	0	0	0	0	0	0

Burden increases because of Program Change due to Agency Discretion: No

Burden Increase Due to:

Burden decreases because of Program Change due to Agency Discretion: Yes

Burden Reduction Due to:

Short Statement:

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Annual Cost to Federal Government: $0

Does this IC contain surveys, censuses, or employ statistical methods? No

Is the Supporting Statement intended to be a Privacy Impact Assessment required by the E-Government Act of 2002? No

Is this ICR related to the Affordable Care Act [Pub. L. 111-148 & 111-152]? Uncollected

Is this ICR related to the Dodd-Frank Wall Street Reform and Consumer Protection Act, [Pub. L. 111-203]? Uncollected

Is this ICR related to the American Recovery and Reinvestment Act of 2009 (ARRA)? Uncollected

Is this ICR related to the Pandemic Response? Uncollected

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Common Form ICR:  No

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On behalf of this Federal agency, I certify that the collection of information encompassed by this request complies with 5 CFR 1320.9 and the related provisions of 5 CFR 1320.8(b)(3).

The following is a summary of the topics, regarding the proposed collection of information, that the certification covers:

(a) It is necessary for the proper performance of agency functions;

(b) It avoids unnecessary duplication;

(c) It reduces burden on small entities;

(d) It uses plain, coherent, and unambiguous language that is understandable to respondents;

(e) Its implementation will be consistent and compatible with current reporting and recordkeeping practices;

(f) It indicates the retention periods for recordkeeping requirements;

(g) It informs respondents of the information called for under 5 CFR 1320.8 (b)(3) about:

(i) Why the information is being collected;

(ii) Use of information;

(iii) Burden estimate;

(iv) Nature of response (voluntary, required for a benefit, or mandatory);

(v) Nature and extent of confidentiality; and

(vi) Need to display currently valid OMB control number;

(h) It was developed by an office that has planned and allocated resources for the efficient and effective management and use of the information to be collected.

(i) It uses effective and efficient statistical survey methodology (if applicable); and

(j) It makes appropriate use of information technology.

If you are unable to certify compliance with any of these provisions, identify the item by leaving the box unchecked and explain the reason in the Supporting Statement.

Certification Date: 06/29/1989

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