INTERNAL REVENUE SERVICE ISSUES PROPOSED RULE: APPLICATION OF THE PERSONAL RESPONSIBILITY AND WORK OPPORTUNITY RECONCILIATION ACT OF 1996 TO THE REFUNDED PORTION OF CERTAIN FEDERAL REFUNDABLE TAX CREDITS

WASHINGTON, Aug. 20 -- Internal Revenue Service has issued a proposed rule called: Application of the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 to the Refunded Portion of Certain Federal Refundable Tax Credits.

The proposed rule was published in the Federal Register on Aug. 20 by Frank J. Bisignano, Chief Executive Officer.

Summary: This document contains proposed regulations that would provide that the refunded portion of certain refundable Federal income tax credits available to individuals is a "Federal public benefit" under the Personal Responsibility and Work Opportunity Reconciliation Act of 1996 (PRWORA). As a result, aliens who are not "qualified aliens" under PRWORA would be ineligible to receive the...