SECTION 5. EFFECTIVE DATE

The interim guidance contained in this notice is effective on December 7, 1998, and may be relied upon until permanent guidance is issued. No inference should be made that the interim guidance contained in this notice will, or will not, be incorporated into the permanent guidance.

DRAFTING INFORMATION

The principal author of this notice is Bridget E. Finkenaur of the Office of Assistant Chief Counsel (Income Tax and Accounting). For further information regarding this notice, contact Ms. Finkenaur on (202) 622-4940 (not a toll-free call).

1998–51 I.R.B. 15 December 21, 1998

To implement this change, the Service intends to develop a system for assigning alternative identifying numbers to individual preparers. These alternative identifying numbers are scheduled to be available for the filing season beginning January 1, 2000. The Secretary intends to amend § 1.6109–2 to allow individual preparers the option of electing alternative identifying numbers in lieu of their SSNs.

Until the alternative identifying numbers are available, § 1.6109–2 requires that individual preparers continue to furnish their SSNs as their identifying numbers. However, as provided by Rev. Rul. 78–317, 1978–2 C.B. 335, preparers may omit their SSNs from copies of returns furnished to taxpayers under § 6107(a).

The Service will continue to monitor returns and claims for refund for the presence of preparer SSNs. Income tax return preparers failing to furnish their SSNs on returns or claims for refund are subject to a penalty of $50 for each such failure, as provided by § 6695(c).

DRAFTING INFORMATION

The principal author of this notice is Andrew J. Keyso of the Office of the Assistant Chief Counsel (Income Tax and Accounting). Preparers may obtain updates on the status of the system for assigning alternative identifying numbers by calling (202) 622-4405 (not a toll-free call).

26 CFR 601.204: Changes in accounting periods and in methods of accounting. (Also Part I, §§ 162, 165, 166, 167, 168, 174, 197, 263, 263A, 446, 451, 454, 455, 461, 471, 472, 475, 481, 585, 1272, 1273, 1281, 1363; 1.165–2, 1.167(a)–11, 1.167(e)–1, 1.174–1, 1.174–3, 1.174–4, 1.263(a)–2, 1.263A–1, 1.263A–3, 1.446–1, 1.446–2, 1.454–1, 1.455–6, 1.461–4, 1.461–5, 1.471–1, 1.471–2, 1.471-3, 1.472–6, 1.472–8, 1.481–1, 1.481–4, 1.1272–1, 1.1273–1, 1.1273–2.)