Form 5884-B, New Hire Retention
Credit, was developed to carry out the provisions of section 102 of
the Hiring Incentives to Restore Employment (HIRE) Act (Public Law
(P.L.) 111-147). The new form provides a means for employers to
calculate and claim the credit. This credit is a new non-Code
general business credit and the form is required to be attached to
the tax return.
Emergency Justification
Statement for Form 5884-B, New Hire Retention Credit On March 18,
2010, as part of the Hiring Incentives To Restore Employment Act,
Public Law (P.L.) 111-147, Title I, Incentives for Hiring and
Retaining Unemployed Workers, Section 102, Business Credit for
retention of certain newly hired individuals in 2010, required the
creation of the new Form 5884-B, New Hire Retention Credit. The new
form reflects this new non-Coded general business credits under
section 38. Since then, we have been developing the forms layout
and its associated instructions with assistance from Chief Counsel.
The final format of the two-page form and the instructions were
finalized in late September. An earlier request to OMB for
Paperwork Reduction Act submission on the form and its instructions
would have yielded incorrect results. As the form and instructions
are needed for fiscal year filers with tax years ending February
2011 for individuals and most business entities waiting the full
150 days for the process would yield a February 2011 availability
date. This would hamper timely filing of taxpayer tax returns,
especially corporate taxpayers, as the due date of fiscal year
ending February 2011 corporations is May 16, 2011. A late
availability of the form would not allow taxpayers to timely
understand the new form and instructions. This would then place
undue burden on both the taxpayer and the Service as extensions may
have to be prepared by taxpayers and the Service would have to
process them. Alternatively, the taxpayer could file their return
on time and then have to file an amended return at a later date.
This would also add undue taxpayer burden and burden the Service
with additional processing costs for the second return. Thus, we
are requesting an emergency Paperwork Reduction Act review by
December 17, 2010.
PL:
Pub.L. 111 - 147 102 Name of Law: Hiring Incentives to Restore
Employment (HIRE) Act
PL: Pub.L. 111 - 147 102 Name of Law: Hiring
Incentives to Restore Employment (HIRE) Act
This is a new collection. Based
on legislative action on March 18, 2010, as part of the Hiring
Incentives To Restore Employment Act, Public Law (P.L.) 111-147,
Title I, Incentives for Hiring and Retaining Unemployed Workers,
Section 102, Business Credit for retention of certain newly hired
individuals in 2010, required the creation of the new Form 5884-B,
New Hire Retention Credit. The new form reflects this new non-Coded
general business credits under section 38, This will result in
increase in estimated responses by 1,125,000 and the number of
total burden hours by 13,815,000.
$6,700
No
No
No
No
No
Uncollected
Emile Beausejour
2026228003
No
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:
(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;
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.
Form 5884-B Form 5884-B - New Hire Retention Credit
Emergency Justification Memorandum.doc
Supporting Statement.pdf
Form 5884-B - New Hire Retention Credit