SECTION 7. PAPERWORK

REDUCTION ACT

The collection of information contained in this revenue procedure has been reviewed and approved by the Office of Management and Budget in accordance with the Paperwork Reduction Act (44 U.S.C. 3507) under control number 1545–1877. An agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless the collection of information displays a valid OMB control number.

This revenue procedure contains a collection of information requirement in section 3.03. The purpose of the collection of information is to verify the applicable FHA loan limit that issuers of qualified mortgage bonds and qualified mortgage certificates have used to calculate the average area purchase price for a given metropolitan statistical area for purposes of section 143(e) and 25(c). The collection of information is required to obtain the benefit of using revisions to FHA loan limits to determine average area purchase prices. The likely respondents are state and local governments.

The estimated total annual reporting and/or recordkeeping burden is: 15 hours.

The estimated annual burden per respondent and/or recordkeeper: 15 minutes.

The estimated number of respondents and/or recordkeepers: 60.

March 10, 2008 573 2008–10 I.R.B.

a Form 2553 electing to be an S corporation effective January 1, 2007. Pursuant to section 11.01(3) of the APPENDIX to Rev. Proc. 2002–9, the filing of the Form 2553 constituted an agreement by X to change from the § 585 reserve method to the § 166 specific charge-off method in 2007 in accordance with all of the applicable provisions of Rev. Proc. 2002–9. Thus, for example, X must file a Form 3115 for this change in duplicate, in accordance with section 6.02(3) of Rev. Proc. 2002–9, by attaching the original Form 3115 to X’s timely filed (including extensions) original federal income tax return for 2007 and filing a copy of the Form 3115 with the national office. The amount of X’s § 481(a) adjustment for the change is the amount of X’s bad debt reserve as of the close of December 31, 2006. X wishes to elect under § 1361(g) to include the § 481(a) adjustment in income in the tax year ending December 31, 2006, the taxable year immediately preceding the year of change. To make this election, X must (1) file an original and copy of Form 3115 under section 6.02(3) of Rev. Proc. 2002–9 for 2007, (2) file an additional copy of the Form 3115 with its original (or amended) federal income tax return for 2006 filed no later than the date the original Form 3115 is properly filed under section 6.02(3) of Rev. Proc. 2002–9, and (3) include the amount of its § 481(a) adjustment in gross income in its return for 2006. The original (and each copy of) Form 3115 must state at the top of the document, “Section 1361(g) Election Filed Pursuant to Rev. Proc. 2008–18.”