He credits rock fish closures as motivating Southern California anglers to try hoop netting for lobsters and crabs in the fall and winter.
2) Jim Cook of Thousand Oaks shows off two lobsters he caught hoop netting from his Kayak.
4) Global netting should only be performed at a taxpayer's request and the taxpayer should bear the burden of computing the interest netting amounts and providing the supporting documentation.
5) Global netting generally should be performed only once.
5) Hence, Treasury's recommendations that interest netting apply only to income taxes and only to situations in which there is at least one "non-zero" balance tax year were not adopted.
Multilateral Netting When three or more institutions participate in a clearing and settlement arrangement with netting, the arrangement is called multilateral netting.
Participants in multilateral netting arrangements may exchange transactions either at a single designated time (which is typical for a paper-based payment system, such as checks, or for electronic systems that process in a batch mode, such as ACHS) or within a specified period of time (as with some large-value funds and securities transfer systems).
Box 2 shows a simple numerical example of a funds transfer netting arrangement involving four participants; it illustrates settlement from the perspective of the clearinghouse.
The following definitions of terms may help clarify the differences between the IRS's current practices and the "global" interest netting that is necessary to prevent inequities caused by the interest rate differential:
This is because the IRS does not net interest if an overpayment or underpayment was previously in existence but has been satisfied as of the time the netting computation is performed (i.
The following examples will further describe offsetting and netting and demonstrate the inequities caused by the IRS's failure to implement global netting.
The operations of the New York Clearing House Interbank Payments System, also known as CHIPS, demonstrates the ability of netting to reduce systemic risk.
The ability to reduce the systemic risk to financial markets by netting is important not only to the safety and soundness of U.
comprehensive netting procedures" within three years, no such procedures were developed by the agency.
In deference to the administrative difficulties confronted by the IRS in creating a comprehensive, automated computer system for calculating and crediting the proper amount of interest, Congress has tempered its calls for comprehensive netting with the acknowledgment that the procedures must be "consistent with sound administrative practice.