The proposed regulations would amend the rules for filing certain returns and statements electronically to reflect changes made by the Taxpayer First Act of 2019 and to promote electronic filing. The NPRM also withdraws proposed regulations published in the Federal Register on May 31, 2018, amending the rules for determining whether information returns must be filed electronically.

The notice announces the inflation adjustment factor and phase-out amount for the enhanced oil recovery credit for taxable years beginning in the 2021 calendar year. The format of the notice is identical to the format of previously published notices on this issue. The notice concludes that because the reference price for the 2020 calendar year ($37.07) does not exceed $28 multiplied by the inflation adjustment factor for the 2020 calendar year ($28 multiplied by 1.7849 = $49.9772), the enhanced oil recovery credit for qualified costs paid or incurred in 2021 is determined without regard to the phase-out for crude oil price increases. The notice contains the previously published figures for taxable years beginning in the 1991 through 2020 calendar years. This year, calendar year 2021, is similar to 2016 and 2017 where the enhanced oil recovery credit is determined without regard to the phase-out for crude oil price increases.