Section 8. TWO-PARTY EXCHANGES

Section 4105(a) provides that in a twoparty exchange, as defined in § 4105(b), the delivering person is not liable for the tax imposed on the removal of taxable fuel from the terminal at the terminal rack. Under this notice, in a two-party exchange the receiving person is liable for the tax imposed on the removal of taxable fuel from the terminal at the terminal rack. For purposes of § 48.4081–2(c)(2) (relating to the joint and several liability of a terminal operator), the “position holder” will include the receiving person in a two-party exchange. Also, a delivering person may treat a receiving person as a taxable fuel registrant for purposes of § 4105(b) if, at

January 10, 2005 301 2005–2 I.R.B.

or payment and assign such rights to the registered ultimate vendor.

Section 5(f) describes the waiver that the ultimate purchaser of diesel fuel or kerosene for use in an intercity bus must give to the registered ultimate vendor in order to waive its rights to an income tax credit or payment and assign such rights to the registered ultimate vendor.

Section 7(f) describes the certificate that the ultimate purchaser of gasoline for the exclusive use of the state or the exclusive use of a nonprofit educational organization must give to the registered ultimate vendor in order for the registered ultimate vendor to be treated as the taxpayer.

Section 8 describes the certificate that the delivering person may receive in order to treat the receiving person as a taxable fuel registrant.

The collections of information are required to obtain a tax benefit. This information will be used to substantiate claims for the tax benefits. The likely respondents are businesses, not-for-profit institutions, farmers, the federal government, and state, local or tribal governments.

The estimated total annual reporting and or recordkeeping burden is 34,390 hours.

The estimated average annual burden per respondent and/or recordkeeper is approximately .25 hours.

The estimated number of respondents and recordkeepers is 20,263.

Books or records relating to a collection of information must be retained as long as their contents may become material to the administration of the internal revenue law. Generally, tax returns and tax return information are confidential, as required by 26 U.S.C. § 6103.