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                                                                                                                Department of the Treasury
                                                                                                                Internal Revenue Service
Instructions for

Form 1120-ND

(Rev. November 2022)

(Use with the October 2013 revision of Form 1120-ND)
Return for Nuclear Decommissioning Funds and Certain Related Persons

Section references are to the Internal Revenue Code 4951), later, to determine if an individual has          PDSs cannot deliver items to P.O. 
unless otherwise noted.                             engaged in self-dealing as a trustee or            !     boxes. The fund must use the U.S. 
                                                    disqualified person.                             CAUTION Postal Service to mail any item to an 
Future Developments                                                                                  IRS P.O. box address.
                                                    Note. Each person liable for filing a return to 
For the latest information about                    pay any tax reportable on this form must file    Extension of time to file. File Form 7004, 
developments affecting Form 1120-ND and             a separate return.                               Application for Automatic Extension of Time 
its instructions, such as legislation enacted                                                        To File Certain Business Income Tax, 
after they were published, go to IRS.gov/           When To File                                     Information, and Other Returns, to request 
Form1120ND.                                         Generally, a fund must file its income tax       an extension of time to file. Generally, file 
                                                    return by the 15th day of the 4th month after    Form 7004 by the regular due date of the 
What’s New                                          the end of its tax year. The return of a trustee return.
                                                    or self-dealer who owes tax under section          A disqualified person or trustee filing to 
Form 1120-ND.    Form 1120-ND is not being          4951 must be filed by the 15th day of the 4th    report section 4951 taxes must also file Form 
revised. Continue to use the October 2013           month after the end of the tax year of the       7004 to request an extension of time to file.
revision of the Form 1120-ND with these             trustee or self-dealer.
updated instructions.                                                                                Who Must Sign
                                                    However, a fund with a fiscal tax year 
Increase in penalty for failure to file.    For     ending on June 30 must file by the 15th day      The return must be signed and dated by an 
returns required to be filed after December         of the 3rd month after the end of its tax year.  authorized trustee. The return of any person 
31, 2022, the minimum penalty for failure to        A fund with a short tax year ending in June      who engaged in any act of self-dealing must 
file a return that is over 60 days late has         will be treated as if the short year ended on    be signed and dated by that person or the 
increased to the smaller of the tax due or          June 30, and must file by the 15th day of the    individual authorized to sign on behalf of that 
$450. See Late filing of return, later.             3rd month after the end of its tax year.         person.
Form 1120-W now historical.      Form                                                                  If an employee of the fund completes 
1120-W, Estimated Tax for Corporations,             If the due date falls on a Saturday,             Form 1120-ND, the paid preparer space 
and the Instructions for Form 1120-W are            Sunday, or legal holiday, the fund may file on   should remain blank. Anyone who prepares 
now historical. The 2022 Form 1120-W                the next business day.                           Form 1120-ND but does not charge the fund 
(released in 2021) and the 2022 Instructions        Where To File                                    should not complete that section. Generally, 
for Form 1120-W (released in 2021) will be                                                           anyone who is paid to prepare the return 
the last revision of both the form and its          File the fund's or disqualified person's or 
instructions. Prior versions will be available      trustee's return at the applicable IRS address   must sign it and fill in the “Paid Preparer Use 
on IRS.gov.                                         listed below.                                    Only” area.
                                                                                                       The paid preparer must complete the 
                                                    If the fund's principal business, office, or     required preparer information and:
General Instructions                                agency is located in the United States, file     • Sign the return in the space provided for 
                                                    Form 1120-ND at the following address:           the preparer's signature, and
Purpose of Form                                                                                      • Give a copy of the return to the taxpayer.
Nuclear decommissioning funds use Form              Department of the Treasury
1120-ND to report contributions received,           Internal Revenue Service Center                  Note.  A paid preparer may sign original or 
income earned, the administrative expenses          Ogden, UT 84201-0012                             amended returns by rubber stamp, 
of operating the fund, and the tax on                                                                mechanical device, or computer software 
modified gross income. The return is also           If the fund's principal business, office, or     program.
used to report the section 4951 initial taxes       agency is located in a foreign country or a 
on self-dealing.                                    U.S. possession, file Form 1120-ND at the        Paid Preparer Authorization
   Taxpayers, electing under section 468A,          following address:                               If the fund wants to allow the IRS to discuss 
                                                                                                     its tax return with the paid preparer who 
are allowed deductions for amounts                  Internal Revenue Service Center                  signed it, check the “Yes” box in the 
contributed to a qualified fund, up to 100% of      P.O. Box 409101                                  signature area of the return. This 
the present value of the nuclear power              Ogden, UT 84409                                  authorization applies only to the individual 
plant's decommissioning costs. Taxpayers 
can apply for a new ruling amount if the                                                             whose signature appears in the “Paid 
nuclear power plant is granted a license            Private delivery services (PDSs). Funds          Preparer Use Only” section of the fund's 
renewal, extending its useful life. See section     can use certain PDSs designated by the IRS       return. It does not apply to the firm, if any, 
468A for more information.                          to meet the “timely mailing as timely filing/    shown in that section.
                                                    paying” rule for tax returns and payments.         If the “Yes” box is checked, the fund is 
Who Must File                                       See the Instructions for Form 1120, U.S.         authorizing the IRS to call the paid preparer 
All section 468A nuclear decommissioning            Corporation Income Tax Return, for details.      to answer any questions that may arise 
funds must file Form 1120-ND. A disqualified                                                         during the processing of its return. The fund 
person engaging in self-dealing must file                                                            is also authorizing the paid preparer to:
Form 1120-ND to report the initial tax. See                                                          • Give the IRS any information that is 
Part II, Initial Taxes on Self-Dealing (Section                                                      missing from the return;

Dec 1, 2022                                                       Cat. No. 11508V

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• Call the IRS for information about the           have a speech disability, dial 711 and then        figured at a rate determined under section 
processing of the return or the status of any      provide the TRS assistant the 800-555-4477         6621.
related refund or payment(s); and                  number above or 800-733-4829. Additional 
• Respond to certain IRS notices about             information about EFTPS is also available in       Late filing of return. A fund that doesn’t file 
math errors, offsets, and return preparation.      Pub. 966.                                          its tax return by the due date, including 
                                                                                                      extensions, may be penalized 5% of the 
  The fund is not authorizing the paid             Depositing on time. For any deposit made           unpaid tax for each month or part of a month 
preparer to receive any refund check, bind         by EFTPS to be on time, the fund must              the return is late, up to a maximum of 25% of 
the fund to anything (including any additional     submit the deposit by 8 p.m. Eastern time the      the unpaid tax. The minimum penalty for a 
tax liability), or otherwise represent the fund    day before the date the deposit is due. If the     return that is over 60 days late is the smaller 
before the IRS.                                    fund uses a third party to make deposits on        of the tax due or $450. The penalty won’t be 
                                                   its behalf, they may have different cutoff         imposed if the fund can show that the failure 
  The authorization will automatically end         times.                                             to file on time was due to reasonable cause.
no later than the due date (excluding 
extensions) for filing the fund's subsequent       Same-day wire payment option.     If the           Late payment of tax.   A fund that doesn’t 
tax return. If the fund wants to expand the        fund fails to submit a deposit transaction on      pay the tax when due may generally be 
paid preparer's authorization or revoke            EFTPS by 8 p.m. Eastern time the day               penalized  /  of 1% of the unpaid tax for each 1 2
authorization before it ends, see Pub. 947,        before the date a deposit is due, it can still     month or part of a month the tax is not paid, 
Practice Before the IRS and Power of               make its deposit on time by using the              up to a maximum of 25% of the unpaid tax. 
Attorney.                                          Federal Tax Collection Service (FTCS).To           The penalty won’t be imposed if the fund can 
                                                   use the same-day wire payment method, the          show that the failure to pay on time was due 
Assembling the Return                              fund will need to make arrangements with its       to reasonable cause.
To ensure that the fund's tax return is            financial institution ahead of time regarding 
correctly processed, attach all schedules          availability, deadlines, and costs. Financial      Reasonable-cause determinations.          If the 
after page 2, Form 1120-ND, in alphabetical        institutions may charge a fee for payments         fund receives a notice about penalties after it 
order followed by other forms in numerical         made this way. To learn more about the             files its return, send the IRS an explanation, 
order.                                             information the fund will need to provide to       and we will determine if the fund meets the 
                                                   its financial institution to make a same-day       reasonable-cause criteria. Do not attach an 
  Complete every applicable entry space            wire payment, go to the IRS website at             explanation when the fund files its return.
on Form 1120-ND. Do not write “See                 IRS.gov/SameDayWire.                               Other penalties.   Other penalties can be 
Attached” instead of completing the entry                                                             imposed for negligence, substantial 
spaces. If more space is needed on the             Estimated Tax Payments                             understatement of tax, reportable transaction 
forms or schedules, attach separate sheets         Generally, the following rules apply to the        understatements, and fraud. See sections 
using the same size and format as the              fund's payments of estimated tax.                  6662, 6662A, and 6663.
printed forms. If there are supporting             • The fund must make installment 
statements and attachments, arrange them           payments of estimated tax if it expects its        Accounting Method
in the same order as the schedules or forms        total tax for the year (less applicable credits)   The fund must use the same method of 
they support and attach them last. Show the        to be $500 or more.                                accounting as the electing taxpayer.
totals on the printed forms. Enter the fund's      • The installments are due by the 15th day 
name and employer identification number            of the 4th, 6th, 9th, and 12th months of the       Rounding Off to Whole Dollars
(EIN) on each supporting statement or              tax year. If any date falls on a Saturday,         The fund may round off cents to whole 
attachment.                                        Sunday, or legal holiday, the installment is       dollars on its return and schedules. If the 
                                                   due on the next regular business day.              fund does round to whole dollars, it must 
Tax Payments                                       • The fund must use electronic funds               round all amounts. To round, drop amounts 
The fund must pay the tax due in full no later     transfers to make installment payments of          under 50 cents and increase amounts from 
than the due date for filing its tax return (not   estimated tax.                                     50 to 99 cents to the next dollar. For 
including extensions).                             • Figure the fund's expected modified gross        example, $1.39 becomes $1 and $2.50 
                                                   income for the tax year. Then multiply the         becomes $3.
Electronic Deposit                                 fund's expected modified gross income by 
                                                   20%.                                               If two or more amounts must be added to 
Requirement                                        • If, after the fund figures and deposits          figure the amount to enter on a line, include 
Nuclear decommissioning funds must use             estimated tax, it finds that its tax liability for cents when adding the amounts and round 
electronic funds transfers to make all federal     the year will be more or less than originally      off only the total.
tax deposits (such as deposits of                  estimated, it may have to refigure its required 
employment, excise, and corporate income           installments. If earlier installments were         Recordkeeping
tax). Generally, electronic funds transfers are    underpaid, the fund may owe a penalty. See         Keep the fund's records for as long as they 
made using the Electronic Federal Tax              the instructions for line 15.                      may be needed for the administration of any 
Payment System (EFTPS). However, if the            • If the fund overpaid estimated tax, it may       provision of the Internal Revenue Code. 
fund does not want to use EFTPS, it can            be able to get a quick refund by filing Form       Usually, records that support an item of 
arrange for its tax professional, financial        4466, Corporation Application for Quick            income, deduction, or credit on the return 
institution, payroll service, or other trusted     Refund of Overpayment of Estimated Tax.            must be kept for 3 years from the date the 
                                                                                                      return is due or filed, whichever is later. Keep 
third party to make deposits on its behalf.          See section 6655 for more information on         records that verify the fund's basis in 
Also, it may arrange for its financial institution how to figure estimated taxes.                     property for as long as they are needed to 
to submit a same-day wire payment 
(discussed below) on its behalf. EFTPS is a        Interest and Penalties                             figure the basis of the original or replacement 
free service provided by the Department of                                                            property.
the Treasury. Services provided by a tax           Interest. Interest is charged on taxes paid 
professional, financial institution, payroll       late even if an extension of time to file is       The fund should keep copies of all filed 
service, or other third party may have a fee.      granted. Interest is also charged on penalties     returns. They help in preparing future and 
                                                   imposed for failure to file, negligence, fraud,    amended returns.
  To get more information about EFTPS or           substantial valuation misstatements, 
to enroll in EFTPS, go to EFTPS.gov or call        substantial understatements of tax, and            Additional Information
800-555-4477. To contact EFTPS using               reportable transaction understatements from        See the Instructions for Form 1120 and Pub. 
Telecommunications Relay Services (TRS)            the due date (including extensions) to the         542, Corporations, for more information 
for people who are deaf, hard of hearing, or       date of payment. The interest charge is            about corporations, including additional 

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forms the fund may need to file and how to individual trustee or disqualified person, See section 265. In addition, a deduction is
get forms and publications. enter the individual's social security number. not allowed for distributions made to electing
If the trustee or disqualified person is not an taxpayers. Report such payments as an item
individual, enter the EIN. of information on Schedule M, line 2c.
Specific Instructions Liabilities are not treated as incurred prior to
Note. Do not complete item B if Form the time economic performance takes place.
Period Covered 1120-ND is filed to report the income, See section 461(h).
Enter the tax year in the space provided at deductions, and income tax liability of the
the top of the form. For a calendar year, fund. Line 5. Trustee fees. Enter the total
deductible fees paid or incurred to the
enter the last two digits of the calendar year trustee(s) for administering the fund during
in the first entry space. For a fiscal tax year Item C. Fund, Trustee, or
return, fill in the tax year space at the top of Disqualified Person the tax year.
the form. Check only the box that applies. Line 6. Taxes. Enter deductible taxes paid
or incurred during the tax year, including
Name and Address 1. When filed to report the income, state and local income taxes. Do not deduct
Enter the fund's true name (as set forth in the deductions, and income tax liability of the federal income taxes or taxes not imposed
charter or other legal document creating it), fund, check the “Fund” box. on the fund.
address, and EIN on the appropriate lines. 2. When filed by a trustee who is liable
Enter the address of the fund's principal for taxes under section 4951, check the Line 8. Other deductions. Attach a
office or place of business. Include the suite, “Trustee” box. schedule listing by type and amount all
allowable deductions that are not deducted
room, or other unit number after the street 3. When filed by a disqualified person elsewhere on Form 1120-ND. Include
address. If the post office does not deliver who is liable for section 4951 tax, check the investment advisory fees, actuarial
mail to the street address and the fund has a “Disqualified person” box. expenses, and other administrative
P.O. box, show the box number instead. expenses paid or incurred during the tax
Item D. Final Return, Name year, but do not include decommissioning
Note. Do not use the address of the Change, Address Change, or costs.
registered agent for the state in which the
fund is incorporated. For example, if a fund is Amended Return Line 11. Net operating loss deduction.
incorporated in Delaware or Nevada and the Indicate a final return, name change, Enter the amount of any net operating loss
fund's principal office is located in Little address change, or amended return by deduction allowed by Regulations section
Rock, AR, the fund should enter the Little checking the appropriate box. If you are a 1.468A-4(b)(4), and explain its computation
Rock address. trustee or disqualified person reporting on an attached schedule.
If the return is filed by a trustee or section 4951 taxes, omit item D.
Note. The 2-year carryback rule does not
disqualified person to report section 4951 Note. If a change in address occurs after apply to net operating losses arising in tax
taxes, enter that person's name and address the return is filed, use Form 8822-B, Change years ending after 2017. An exception
in the address section. of Address or Responsible Party—Business, applies to farmers and non-life insurance
If the fund receives its mail in care of a to notify the IRS of the new address. See the companies. See section 172(b), as amended
third party (such as an accountant or an instructions for Form 8822-B for details. by P.L. 115-97, section 13302.
attorney), enter on the street address line Line 14. Payments. Generally, no
“C/O” followed by the third party's name and Part I. Computation of Fund
payments are allowed other than those on
street address or P.O. box. Income Tax lines 14a through 14d and the credit for
If the corporation has a foreign address, Income backup withholding.
include the city or town, state or province, Backup withholding. If the fund had
country, and foreign postal code. Do not Line 1. Taxable interest. Enter the total
abbreviate the country name. Follow the taxable interest income received or accrued federal income tax withheld from any
country's practice for entering the name of for the year, including any original issue payments it received because, for example,
the state or province and postal code. discount. Do not include tax-exempt interest it failed to give the payer its correct EIN,
on line 1; but report it as an item of include the amount withheld in the total for
Item A. Employer Identification information on Schedule M, line 2d. line 14f. Write the amount withheld and the
words “Backup Withholding” in the blank
Number (EIN) Line 2. Capital gain net income. Every space above line 14f.
Enter the fund's EIN. If the fund does not sale, exchange, or actual or deemed
have an EIN, it must apply for one. An EIN distribution of assets held by the fund must Line 15. Estimated tax penalty. A fund
can be applied for in the following ways. be reported in detail on Schedule D (Form that does not make estimated tax payments
• Online—Go to IRS.gov/EIN. The EIN is 1120), Capital Gains and Losses (and Form when due may be subject to an
issued immediately once the application 8949, Sales and Other Dispositions of underpayment penalty for the period of
information is validated. Capital Assets, if applicable), even if there is underpayment. Use Form 2220,
• By mailing or faxing Form SS-4, no gain or loss. The amount realized on an Underpayment of Estimated Tax by
Application for Employer Identification actual or deemed distribution is the fair Corporations, to see if the fund owes a
Number. market value of the assets as of the date of penalty and to figure the amount of the
distribution. penalty. If Form 2220 is attached, check the
If the fund has not received its EIN by the box on line 15 and enter the amount of the
time the return is due, write “Applied for” and Line 3. Other income. Enter any other penalty on that line.
the date the fund applied in the space for the taxable income not reported on line 1 or
EIN. For more details, see the Instructions line 2 and explain its nature on an attached Schedule L. Balance Sheets
for Form SS-4. schedule. If the fund had only one item of The balance sheets should agree with the
other income, describe it in parentheses on fund's books and records.
Item B. Identifying Number of line 3.
Trustee or Disqualified Person Schedule M. Other Information
If the return is filed by a trustee or Deductions Line 1. The term “electing taxpayer” means
disqualified person to report section 4951 an eligible taxpayer that elects the
taxes, enter the identifying number of the Note. A deduction is not allowed for certain
trustee or disqualified person. For an expenses allocable to tax-exempt income. application of section 468A to deduct

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payments made to a nuclear 2. The withdrawal of excess Note. Fair market value is determined as of
decommissioning fund. See Regulations contributions by the electing taxpayer in the date on which the act of self-dealing
section 1.468A-7 for the rules concerning the accordance with Regulations section occurs and at the highest market value
election. 1.468A-5(c)(2). during the taxable period.
Line 5. If you are a trustee or disqualified 3. The withdrawal of amounts that have Correction and correct. The terms
person (defined later), complete the items been treated as distributions to the electing “correction” and “correct” mean the undoing
included in line 5 to determine if you have taxpayer under Regulations section of an act of self-dealing, to the extent
engaged in an act of self-dealing. 1.468A-5(c)(3). possible, but in any case returning the fund
4. The payment of amounts remaining in to a financial position no worse than it would
Part II. Initial Taxes on the fund to the electing taxpayer after the have been if the disqualified person acted
Self-Dealing (Section 4951) termination of the fund upon the substantial under the highest fiduciary relationship.
completion of decommissioning.
Initial Taxes on Self-Dealers Disqualified person. The term “disqualified
5. The furnishing of goods, services, or person” means a person who is:
An initial tax of 10% of the amount involved facilities by a disqualified person to the fund 1. A contributor to the fund.
(defined later) is imposed on each act of if the furnishing is without charge and if the
self-dealing between a disqualified person goods, services, or facilities so furnished are 2. A trustee of the fund.
and a nuclear decommissioning fund for exclusively used for the purposes specified 3. An owner of more than 10% of (a) the
each tax year (or part of a tax year) in the in section 468A(e)(4). total combined voting power of a
taxable period. The tax is required to be paid 6. The payment of compensation (and corporation, (b) the profits interest of a
by any disqualified person (other than a the payment or reimbursement of expenses) partnership, or (c) the beneficial interest of a
trustee acting only as a trustee of the trust) by the fund to a disqualified person for trust or unincorporated business that is a
who participates in the act of self-dealing. personal services that are reasonable and contributor to the fund.
necessary to carry out the purposes of the 4. An officer, director, or employee of a
fund and the compensation (or payment or person who is a contributor to the fund.
Initial Taxes on Trustee reimbursement of expenses) is not 5. The spouse, ancestor, or a lineal
excessive.
A tax of 2 / % of the amount involved is 1 2 descendant, or a spouse of a lineal
7. A payment by the fund for the descendant of an individual described in (1)
imposed on a trustee who participates in the performance of trust functions and certain through (4) above.
act of self-dealing. The tax is not imposed if general banking services by a bank or trust 6. A corporation of which persons
the trustee unwillingly or due to reasonable company that is a disqualified person, if the described in (1) through (5) above own more
cause participated in the act. The tax is banking services are reasonable and than 35% of the total combined voting
computed on all acts of self-dealing that necessary to carry out the purposes of the power.
occur within the taxable period. The tax is fund and the compensation paid to the bank
required to be paid by the trustee who or trust company is not excessive 7. A partnership of which persons
participates in the act. (considering the fair market interest rate for described in (1) through (5) above own more
Exceptions. The initial tax on the act of the use of the funds by the bank or trust than 35% of the profits interests.
self-dealing of a disqualified person or a company). 8. A trust or estate of which persons
described in (1) through (5) above own more
trustee is not imposed if the acts of The allowable general banking services than 35% of the beneficial interest.
self-dealing are corrected within the taxable are:
period. Checking accounts, as long as the bank For purposes of (3a) and (6) above,
•
does not charge interest on any indirect stockholders would be taken into
Definitions overwithdrawals; account under section 267(c), except that,
• Savings accounts, as long as the fund for purposes of this paragraph, section
Self-dealing. When determining if an act is may withdraw its money after giving no more 267(c)(4) will be treated as providing that the
an act of self-dealing, treat the transfer of than 30 days notice, without losing interest members of the family of an individual are
personal property by a disqualified person to for the period the money was on deposit; and only those individuals described in (5)
the fund as a sale or exchange if the property • Safekeeping activities (for example, rental above. For purposes of (3a), (3c), (7), and
is subject to a mortgage or similar lien. of a safe deposit box). (8) above, the ownership of profits or
Otherwise, the term “self-dealing” means any beneficial interests will be determined by the
direct or indirect: Taxable period. For an act of self-dealing, rules of constructive ownership of stock
• Sale, exchange, or leasing of real or the term “taxable period” means the period provided in section 267(c) (other than
personal property between the fund and a beginning on the date of the act of paragraph (3) thereof), except that section
disqualified person; self-dealing and ending on the date of the 267(c)(4) will be treated as providing that the
• Lending of money or other extensions of earliest of: members of the family of an individual are
credit between the fund and a disqualified • The date of mailing of a notice of only those individuals described in (5)
person; deficiency under section 6212 for the section above.
• Furnishing of goods, services, or facilities 4951 tax,
between the fund and a disqualified person; • The date on which the tax imposed by
• Payment of compensation (or payment or section 4951 is assessed, or Dispositions of an Interest in a
reimbursement of expenses) by the fund to a • The date correction of the act of Nuclear Power Plant
disqualified person; and self-dealing is completed.
• Transfers to, or use by or for the benefit Amount involved. The term “amount There are federal income tax consequences
of, a disqualified person of the income or involved” means the greater of the amount of when there is a transfer of assets of a
assets of the fund. money given (or received) and the fair nuclear decommissioning fund in connection
Exceptions. Acts of self-dealing do not market value of the other property given (or with the sale, exchange, or other disposition
include the following. received). When services described in of a transferor of all or a portion of its
section 4951(d)(2)(C) are involved, the qualifying interest in a nuclear power plant to
1. The payment by the fund for the amount involved is only the excess another taxpayer (transferee). If the
purposes of satisfying, in whole or in part, the compensation. requirements of Regulations section
liability of the electing taxpayer for 1.468A-6(b) are met, the federal income tax
decommissioning costs of the nuclear power consequences are the following.
plant.

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1. No gain or loss. If there is a (2) The ruling amount contained in the governments pursuant to tax treaties. We
disposition of an interest (wholly or partially) transferor's current schedule of ruling may disclose the information to contractors
in a nuclear power plant, neither the amounts with respect to that plant for that tax for tax administration purposes. We may also
transferor or the transferee (or either's fund) year multiplied by the product of: disclose this information to federal and state
will recognize gain, loss, or otherwise take (a) The portion of the transferor's agencies to enforce federal nontax criminal
any income or deduction into account qualifying interest that is disposed of; and laws and to combat terrorism. If you do not
because of the transfer of all or some of the provide this information, or you provide false
assets of the transferor's fund. Also, the (b) A fraction, the numerator of which is or fraudulent information, you may be subject
transfer is not considered a payment or the number of days in the tax year that to penalties.
contribution of assets by the transferor's fund precede the date of the disposition, and the
(or by the transferee to its fund). denominator of which is the number of days You are not required to provide the
in that tax year.
2. Basis. Transfers of assets of a fund information requested on a form that is
to which Regulations section 1.468A-6 4. Tax year after the year of subject to the Paperwork Reduction Act
applies do not affect basis. The transferee's disposition. A transferee of, or a transferor unless the form displays a valid OMB control
fund will have a basis in the assets received who retains, a qualifying interest in a nuclear number. Books or records relating to a form
from the transferor equal to the transferor's power plant must file a request for a revised or its instructions must be retained as long as
basis in those assets immediately prior to the schedule of ruling amounts for the interest by their contents may become material in the
transfer. the deemed payment deadline (defined administration of any Internal Revenue law.
above). If the transferee (or the transferor) Generally, tax returns and return information
3. Tax year of disposition. does not timely file such a request, the are confidential, as required by section 6103.
A. Transferee. If a transferee does not file transferee's (or the transferor's) ruling
a request for a schedule of ruling amounts by amounts for the interest for that tax year will The time needed to complete and file this
the deemed payment deadline (2 / months 1 2 be zero. form will vary depending on individual
after the end of the tax year of the circumstances. The estimated burden for
disposition), the transferee's ruling amount For more information, see Regulations business taxpayers filing this form is
for the interest acquired is determined by section 1.468A-6. approved under OMB control number
taking the amount contained in the 1545-0123 and is included in the estimates
transferor's current schedule of ruling Privacy Act and Paperwork Reduction shown in the instructions for their business
amounts for that tax year and that plant Act Notice. We ask for the information on income tax return. The estimated burden for
multiplied by the product of: this form to carry out the Internal Revenue all other taxpayers who file this form is
(1) The portion of the transferor's laws of the United States. You are required shown below.
qualifying interest that is transferred; and to give us the information. We need it to
ensure that you are complying with these Recordkeeping . . . . . . . . . . 23 hr., 26 min.
(2) A fraction, the numerator of which is laws and to allow us to figure and collect the Learning about the law or the
the number of days in the tax year of the right amount of tax. form. . . . . . . . . . . . . . . . . 3 hr., 7 min.
transferor including and following the date of
the disposition, and the denominator of Section 4951 of the Internal Revenue Preparing the form . . . . . . . . 5 hr., 30 min.
which is the number of days in that tax year. Code requires disqualified taxpayers Copying, assembling, and
B. Transferor. If a transferor does not file engaged in self-dealing with a trust to pay sending the form to the IRS. . . 32 min.
a request for a revised schedule of ruling over to the IRS an initial tax. This form is
amounts on or before the deemed payment used to report the initial amount of tax that
deadline for the tax year of the transferor in you owe. Sections 6001 and 6011 require
which the disposition of its interest in the you to provide the requested information if If you have comments concerning the
nuclear power plant occurred (that is, the the tax applies to you. Section 6109 and its accuracy of these time estimates or
date that is 2 / months after the close of that 1 2 regulations require you to provide your suggestions for making this form simpler, we
tax year), the transferor's ruling amount with identifying number. Routine uses of this would be happy to hear from you. You can
respect to that plant for that year will equal information include disclosing it to the send us comments from IRS.gov/
the sum of: Department of Justice for civil and criminal FormComments. Or you can write to the
(1) The ruling amount contained in the litigation and to other federal agencies, as Internal Revenue Service, Tax Forms and
transferor's current schedule of ruling provided by law. We may disclose the Publications Division, 1111 Constitution Ave.
amounts with respect to that plant for that tax information to cities, states, the District of NW, IR-6526, Washington, DC 20224. Do
year multiplied by the portion of qualifying Columbia, and U.S. Commonwealths or not send the tax form to this address.
interest that is retained, if any; and possessions to administer their tax laws. We Instead, see Where To File, earlier.
may disclose the information to foreign

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