Part III. Administrative, Procedural, and Miscellaneous

a partner is a foreign person or a U.S. exempt recipient ( e.g., a corporation), that documentation may be provided to the withholding agent at any time during calendar year 2002. If a partner is a U.S. non-exempt recipient, a Form W–9 must be provided before a payment is made to a partnership. For more detailed information regarding this transition relief, see Section IV of Notice 2001–4.

CONTACT INFORMATION

The principal author of this notice is Marc J. Korab of the Office of the Associate Chief Counsel (International), Internal Revenue Service, 1111 Constitution Avenue, NW, Washington, D.C. 20224. For further information regarding this notice, contact Mr. Korab at 202–622–3840 (not a toll-free call).

Tax Treatment of Payments Made Under the USDA Peanut Quota Buyout Program

Notice 2002–67

PURPOSE

This notice provides answers to frequently asked questions regarding the tax treatment of federal payments made pursuant to § 1309 of the Farm Security and Rural Investment Act of 2002, Pub. L. No. 107–171, 116 Stat. 134, 179 (2002) (the Act).

BACKGROUND

Section 1309(a)(1) of the Act repeals the marketing quota programs for peanuts in part VI of subtitle B of title III of the Agricultural Adjustment Act of 1938, as amended (7 U.S.C. §§ 1357–1359a). The repeal is effective May 13, 2002, the date the Act became law.

Section 1309(b)(1) of the Act directs the United States Department of Agriculture (USDA) to offer to enter into a contract with each eligible peanut quota holder for the purpose of providing compensation for the lost value of the quota on account of the repeal. The Act provides for five annual, equal payments of 11¢ per pound of peanut quota to be paid during 2002 through

Extension of Transition Relief for Foreign Partnerships and Their Withholding Agents Under Notice 2001–4

Notice 2002–66