# Prop. Treas. Reg. § 1.861-20: Allocation and apportionment of foreign income taxes. Proposed regulation, not in force. REG-101657-20, 87 FR 71271, published 2022-11-22 . Interprets 26 U.S.C. § 861. Par. 2. Section 1.861-20 is amended by revising paragraphs (d)(3)(v)(E)( 6 ) and (i) to read as follows: * * * * * (d) * * * (3) * * * (v) * * * (E) * * * ( 6 ) Reattribution asset. The term reattribution asset means an asset that produces one or more items of gross income, computed under Federal income tax law, to which a disregarded payment, other than a disregarded payment received in exchange for property, is allocated under the rules of paragraph (d)(3)(v)(B)( 2 ) of this section. * * * * * (i) Applicability dates. (1) Except as provided in paragraphs (i)(2) through (4) of this section, this section applies to taxable years beginning after December 31, 2019. (2) Paragraphs (b)(19) and (23) and (d)(3)(i), (ii), and (v) of this section apply to taxable years that begin after December 31, 2019, and end on or after November 2, 2020. (3) Paragraph (d)(3)(v)(E)( 6 ) of this section applies to taxable years that end on or after [date the final rule is filed with the Federal Register ]. Taxpayers may choose to apply the rules in paragraph (d)(3)(v)(E)( 6 ) of this section to taxable years beginning after December 31, 2019, and ending before [date the final rule is filed with the Federal Register ], provided they apply paragraph (d)(3)(v)(E)( 6 ) of this section consistently to their first taxable year beginning after December 31, 2019, and any subsequent taxable year beginning before [date the final rule is filed with the Federal Register ]. Otherwise, for taxable years beginning after December 31, 2019, and ending before [date the final rule is filed with the Federal Register ], see § 1.861-20(d)(3)(v)(E)( 6 ) as contained in 26 CFR part 1 revised as of July 27, 2022. (4) Paragraph (h) of this section applies to taxable years beginning after December 28, 2021.