REG 7 CFR PART 14-2012 DETERMINING THE PRIMARY PURPOSE OF CERTAIN PAYMENTS FOR FEDERAL TAX PURPOSES.pdf

1、403 Office of the Secretary, USDA 14.2 participation in a USDA approved wet-land restoration, set-aside, diverted acres, or similar programs shall not be deemed to constitute abandonment. (d) The maintenance of the drainage capacity or any alteration or manipu-lation, including the maintenance of a

2、natural waterway operated and main-tained as a drainage outlet, that af-fects the circulation and flow of water made to a farmed wetland or farmed- wetland pasture would not cause a per-son to be determined to be ineligible under this part, provided that the maintenance does not exceed the scope and

3、 effect of the original alteration or manipulation, as determined by NRCS, and provided that the area is not aban-doned. Any resultant conversion of wetlands is to be at the minimum ex-tent practicable, as determined by NRCS. 61 FR 47025, Sept. 6, 1996, as amended at 76 FR 82077, Dec. 30, 2011 12.34

4、 Paperwork Reduction Act as-signed number. The information collection require-ments contained in this regulation (7 CFR part 12) have been approved by the Office of Management and Budget under provisions of 44 U.S.C. chapter 35 and have been assigned OMB Number 05600004. PART 13 RESERVED PART 14DETE

5、RMINING THE PRI-MARY PURPOSE OF CERTAIN PAYMENTS FOR FEDERAL TAX PURPOSES Sec. 14.1 Purpose. 14.2 Applicability. 14.3 Objective. 14.4 Policy. 14.5 Procedure. 14.6 Criteria for determining the primary purpose of payments with respect to po-tential exclusion from gross income. 14.7 Non-Federal program

6、s and payments. AUTHORITY: Sec. 543, Pub. L. 95600; as amended by sec. 105, Pub. L. 96222; 26 U.S.C. 126, 1255 and 5 U.S.C. 301. SOURCE: 45 FR 58507, Sept. 4, 1980, unless otherwise noted. 14.1 Purpose. (a) Part 14 sets forth criteria to be used by the Secretary of Agriculture in determining the pri

7、mary purpose of certain payments received by persons under applicable programs. Deter-mining the primary purpose for which applicable payments are made is one step toward the exclusion of all or part of the payments from gross income for Federal income tax purposes. (b) The criteria set forth in par

8、t 14 apply only to the determinations to be made by the Secretary of Agriculture. 14.2 Applicability. (a) Part 14 applies only to payments received under the programs listed in paragraphs (a)(1) through (10) of this section. Payments received under pro-grams not listed in paragraphs (a)(1) through (

9、10) of this section, are not considered eligible for exclusion from gross income under this part. (1) The rural clean water program au-thorized by section 208(j) of the Federal Water Pollution Control Act (33 U.S.C. 1288(j). (2) The rural abandoned mine pro-gram authorized by section 406 of the Surf

10、ace Mining Control and Reclama-tion Act of 1977 (30 U.S.C. 1236). (3) The water bank program author-ized by the Water Bank Act (16 U.S.C. 1301 et seq.). (4) The emergency conservation measures program authorized by title IV of the Agricultural Credit Act of 1978 (16 U.S.C. 2201 et seq.). (5) The agr

11、icultural conservation pro-gram authorized by the Soil Conserva-tion and Domestic Allotment Act (16 U.S.C. 590a). (6) The Great Plains conservation program authorized by section 16 of the Soil Conservation and Domestic Allot-ment Act (16 U.S.C. 590p(b). (7) The resource conservation and de-velopment

12、 program authorized by the Bankhead-Jones Farm Tenant Act and by the Soil Conservation and Domestic Allotment Act (7 U.S.C. 1010; 16 U.S.C. 590a et seq.). (8) The forestry incentives program authorized by section 4 of the Coopera-tive Forestry Assistance Act of 1978 (16 U.S.C. 2103). VerDate Mar2010

13、 11:10 Feb 02, 2012 Jkt 226012 PO 00000 Frm 00413 Fmt 8010 Sfmt 8010 Y:SGML226012.XXX 226012pmangrum on DSK3VPTVN1PROD with CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-404 7 CFR Subtitle A (1112 Edition) 14.3 (9) Any small watershed program ad

14、-ministered by the Secretary of Agri-culture that is determined by the Sec-retary of the Treasury or his delegate to be substantially similar to the type of programs described in paragraphs (a)(1) through (8) of this section. (10) Any program of a State, a posses-sion of the United States, a politic

15、al subdivision of a State or a possession of the United States, the District of Columbia, or a combination of any of the foregoing under which payments are made primarily for the purpose of conserving soil and water resources, protecting or restoring the environ-ment, improving forests, or providing

16、 a habitat for wildlife. (b) The criteria set forth in 14.5 for determining the primary purpose of payments with respect to their eligi-bility for exclusion from gross income shall also be used to determine the ap-plicability of this part to payments re-ceived under non-Federal programs as provided

17、in 14.2(a)(10). 14.3 Objective. The objective of the determinations made under part 14 is to provide max-imum conservation, environmental, forestry improvement, and wildlife benefits to the general public from the operation of applicable programs. 14.4 Policy. Federal tax, conservation, natural re-s

18、ource, and environmental policies should complement rather than con-flict with one another. Therefore, the Federal income tax liability on appli-cable payments should be reduced or eliminated to the extent that the pay-ments yield conservation, environ-mental, forestry improvement, or wild-life bene

19、fits to the general public be-yond the benefits that accrue to those who receive the payments. 14.5 Procedure. (a) The portion of an applicable pay-ment that may be excluded from gross income under part 14 shall be that por-tion or all, as appropriate, that (1) Is determined to be made pri-marily fo

20、r the purpose of conserving soil and water resources, protecting or restoring the environment, improving forests, or providing wildlife habitat; and (2) Is determined by the Secretary of the Treasury as not increasing sub-stantially the annual income derived from the property associated with the pay

21、ment. (b) Primary purpose means the prin-cipal, fundamental, predominant, or independent objective for which a pay-ment is made. The following shall be considered in determining the primary purpose of a payment: (1) Single-purpose payments shall be considered as having that purpose as their primary

22、purpose. (2) Multiple-purpose payments. If a payment is made for several purposes, it may be considered as having soil and water conservation, environmental protection or restoration, forestry im-provement, or providing wildlife habi-tat as its primary purpose to the ex-tent of the portion of the pa

23、yment that is made for one or more of such pur-poses. (3) Where a purpose of a payment, or portion thereof, is in doubt, the fol-lowing sources should be considered (i) Authorizing legislation, legisla-tive history, administrative regulation, administrative history, interpretive case law, and the ad

24、ministrative poli-cies and procedures under which the applicable program operates and the payment is made; and (ii) Agreements or other documenta-tion accompanying the transfer of the payment; (iii) Use made of the payment by the recipient. 14.6 Criteria for determining the pri-mary purpose of payme

25、nts with re-spect to potential exclusion from gross income. (a) Soil conservation. (1) Payments shall be considered to be made pri-marily for the purpose of soil conserva-tion if they are intended to finance ac-tivities, measures, or practices to re-duce soil deterioration. (2) Soil deterioration re

26、fers to im-pairments of the physical or chemical properties of soil that are largely irre-versible and that can be expected to re-sult in a long-term or permanent re-duction in the productive capacity of the resource regardless of the level of VerDate Mar2010 11:10 Feb 02, 2012 Jkt 226012 PO 00000 F

27、rm 00414 Fmt 8010 Sfmt 8010 Y:SGML226012.XXX 226012pmangrum on DSK3VPTVN1PROD with CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-405 Office of the Secretary, USDA 14.7 technology available or applied. Ero-sion by water and wind and the associ-at

28、ed changes that result in permanent or long-term reductions in the produc-tive capacity of the soil are forms of soil deterioration. (b) Water conservation. (1) Water con-servation includes actions that, for a given level of water supply, reduce the demand for or use of water by (i) Improving effici

29、ency in use; (ii) Reducing loss and waste; (iii) Increasing the recycling or reuse of water, thereby making existing sup-plies available for other current or fu-ture uses; or (iv) Improving land management practices for the purpose of reducing water use, loss, waste, increasing the efficiency of wat

30、er use, or increasing the recycling or reuse of water. (2) Payments shall be considered to be made primarily for the purpose of water conservation if they are intended to finance actions, measures, or prac-tices that can be expected to result in water conservation as defined in para-graph b(1) of th

31、is section. (c) Protecting the environment. (1) Pay-ments shall be considered to be made primarily for the purpose of protecting the environment if they are intended to finance actions, measures, or prac-tices undertaken to prevent man- caused or man-induced reductions or degradations in the quantit

32、y or quality of the natural external or extrinsic conditions directly or indirectly affect-ing people. (2) External or extrinsic conditions refer to the complex of natural condi-tions or circumstances, including but not limited to those affecting public health and safety, in which people re-side or

33、otherwise carry out their lives. (d) Restoring the environment. (1) Pay-ments shall be considered to be made primarily for the purpose of restoring the environment if they are intended to finance actions, measures, or prac-tices undertaken to reestablish, return, or enhance the quantity or quality o

34、f the natural external or extrinsic condi-tions directly or indirectly affecting people that existed before the man- caused or man-induced degradation. (2) External or extrinsic conditions have the same meaning with respect to restoring the environment as they do for protecting the environment. (e)

35、Improving forests. (1) Payments shall be considered to be made pri-marily for the purpose of improving forests if they are intended to finance actions, measures, or practices under-taken for the direct or indirect con-servation or enhancement of the quan-tity or quality of timber resources. (2) Impr

36、oving forests includes the generation and regeneration of timber stands as well as the silvicultural im-provement of such timber stands but excludes harvest cuttings not under-taken primarily for silvicultural im-provement. (f) Providing habitat for wildlife. (1) Payments shall be considered to be m

37、ade primarily for the purpose of pro-viding habitat for wildlife if they are intended to finance actions, measures, or practices leading directly to the es-tablishment of those physical and bio-logical conditions or resources that can be expected to support primarily non-cultivated and nondomesticat

38、ed ani-mal and plant life. The animal and plant life must be of value to the public in their natural state apart from any value that may be realized from them as private economic gain. (2) Wildlife includes but is not lim-ited to species of terrestrial or aquatic animals and plants. (3) Habitat incl

39、udes, but is not lim-ited to, the food supply, water supply, and nesting and escape cover necessary to support populations of wildlife spe-cies. Included in the definition of wild-life habitat are domestic crops raised for the primary purpose of providing food supply or cover for specific wild-life

40、species. 14.7 Non-Federal programs and pay-ments. (a) Definition of non-Federal programs. Non-Federal program means any pro-gram of a State, a possession of the United States, a political subdivision of any State or possession of the United States, the District of Colum-bia, or a combination of any

41、of the foregoing. (b) Applicability. Payments received through non-Federal programs under which payments are made primarily for the purpose of conserving soil and VerDate Mar2010 11:10 Feb 02, 2012 Jkt 226012 PO 00000 Frm 00415 Fmt 8010 Sfmt 8010 Y:SGML226012.XXX 226012pmangrum on DSK3VPTVN1PROD wit

42、h CFRProvided by IHSNot for ResaleNo reproduction or networking permitted without license from IHS-,-,-406 7 CFR Subtitle A (1112 Edition) Pt. 15 water resources, protecting or restor-ing the environment, improving for-ests, or providing a habitat for wildlife may be considered for exclusion from gr

43、oss income under part 14. (c) Determining the primary purpose of non-Federal payments. The determina-tion of the primary purpose for which non-Federal payments are made with respect to their potential for exclusion from gross income shall be made by using the criteria set forth in part 14 for determ

44、ining the primary purpose of Federal payments. (d) Procedure for determining the pri-mary purpose of payments made under non-Federal programs. (1) To initiate the process of determining the applica-bility of this part to payments received through non-Federal programs and the primary purpose of the p

45、ayments for potential exclusion from gross income, the non-Federal official responsible for the program through which the pay-ments are made should provide six cop-ies of the following materials relating to the program to the Secretary of Ag-riculture (i) Authorizing legislation; (ii) Rules or regul

46、ations; (iii) Current policies and procedures under which payments are made and used; (iv) A description of all practices or measures for which payments are made and used; and (v) Any other information that may be helpful in determining the purpose for which payments, or portions there-of, are made

47、and used. (2) Any changes in the supporting documentation listed in paragraphs (d)(1)(i) through (d)(1)(iv) of this sec-tion, should be reported to the Sec-retary within 30 days of the date they become final. PART 15NONDISCRIMINATION Subpart ANondiscrimination in Federally- Assisted Programs of the

48、Department of AgricultureEffectuation of Title VI of the Civil Rights Act of 1964 Sec. 15.1 Purpose and application of part. 15.2 Definitions. 15.3 Discrimination prohibited. 15.4 Assurances required. 15.5 Compliance. 15.6 Complaints. 15.7 Intimidatory or retaliatory acts pro-hibited. 15.8 Procedure

49、 for effecting compliance. 15.9 Hearings. 15.10 Decisions and notices. 15.11 Judicial review. 15.12 Effect on other regulations; forms and instructions. APPENDIX TO SUBPART ALIST OF FEDERAL FINANCIAL ASSISTANCE FROM USDA Subpart B Reserved Subpart CRules of Practice and Proce-dure for Hearings, Decisions and Ad-ministrative Review Under the Civil Rights Act of 1964 GENERAL INFORMATION 15.60 Scope of rules. 15.61 Records to be public. 15.62 Definitions. 1