Bulletin No. 1999–14

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April 5, 1999

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HIGHLIGHTS

OF THIS ISSUE

These synopses are intended only as aids to the reader in

identifying the subject matter covered. They may not be

relied upon as authoritative interpretations.

INCOME TAX

ADMINISTRATIVE

Rev. Rul. 99–17, page 4.

REG–100729–98, page 9.

Federal rates; adjusted federal rates; adjusted federal

long-term rate, and the long-term exempt rate. For

purposes of sections 1274, 1288, 382, and other sections

of the Code, tables set forth the rates for April 1999.

Proposed regulations under section 6302 of the Code relate

to the deposit of Federal taxes by electronic funds transfer

(EFT). A public hearing is scheduled for May 11, 1999.

Rev. Rul. 99–18, page 3.

Low-income housing credits; satisfactory bond; “bond

factor” amounts for the period January through March

1999. This ruling announces the monthly bond factor

amounts to be used by taxpayers who dispose of qualified

low-income buildings or interests therein during the period

January through March 1999.

Notice 99–17, page 6.

This notice modifies Notice 98–20, 1998–13 I.R.B. 25, to

reflect changes made to section 1(h) of the Internal Revenue

Code by sections 4002(i)(3) and 4003(b) of the Tax and

Trade Relief Extension Act of 1998. The changes affect the

treatment of post-1997 distributions of capital gains from a

charitable remainder trust.

Announcement 99–24, page 12.

The Service is requesting comments from the public on proposed revisions to Form 1042–S, Foreign Person’s U.S.

Source Income Subject to Withholding.

Announcement 99–26, page 20.

An updated edition of Publication 954, Tax Incentives for Empowerment Zones and Other Distressed Communities (revised February 1999), is now available.

Announcement 99–33, page 21.

Updated editions of Publication 547, Casualties, Disasters,

and Thefts (Business and Nonbusiness) (revised February

1999), and Publication 584, Casualty, Disaster, and Theft

Loss Workbook (Personal-Use Property) (revised February

1999) are now available.

Rev. Proc. 99–20, page 7.

Section 911(d)(4) waiver. Guidance is provided to individuals who fail to meet the eligibility requirements of section

911(d)(1) of the Internal Revenue Code because adverse

conditions in a foreign country preclude the individual from

meeting those requirements. A current list of countries and

the dates those countries are subject to the section

911(d)(4) waiver is provided.

Announcement 99–35, page 22.

Proposed regulation REG–113744–98, 1999–10 I.R.B. 59,

under section 1296 of the Code relating to the new mark-tomarket election for stock of a passive foreign investment

company (PFIC), is corrected.

EXEMPT ORGANIZATIONS

Announcement 99–32, page 20.

A list is given of organizations now classified as private foundations.

Finding Lists begin on page 28.

Announcement of Disbarments and Suspensions begins on page 25.

Announcement of Declaratory Judgment Proceedings Under Section 7428 is on page 22.

Index for January through March begins on page 30.

Department of the Treasury

Internal Revenue Service

Mission of the Service

and by applying the tax law with integrity and fairness to

all.

Provide America’s taxpayers top quality service by helping them understand and meet their tax responsibilities

Introduction

The Internal Revenue Bulletin is the authoritative instrument

of the Commissioner of Internal Revenue for announcing official rulings and procedures of the Internal Revenue Service

and for publishing Treasury Decisions, Executive Orders, Tax

Conventions, legislation, court decisions, and other items of

general interest. It is published weekly and may be obtained

from the Superintendent of Documents on a subscription

basis. Bulletin contents are consolidated semiannually into

Cumulative Bulletins, which are sold on a single-copy basis.

dures must be considered, and Service personnel and others concerned are cautioned against reaching the same conclusions in other cases unless the facts and circumstances

are substantially the same.

The Bulletin is divided into four parts as follows:

Part I.—1986 Code.

This part includes rulings and decisions based on provisions

of the Internal Revenue Code of 1986.

It is the policy of the Service to publish in the Bulletin all substantive rulings necessary to promote a uniform application

of the tax laws, including all rulings that supersede, revoke,

modify, or amend any of those previously published in the

Bulletin. All published rulings apply retroactively unless otherwise indicated. Procedures relating solely to matters of internal management are not published; however, statements

of internal practices and procedures that affect the rights

and duties of taxpayers are published.

Part II.—Treaties and Tax Legislation.

This part is divided into two subparts as follows: Subpart A,

Tax Conventions, and Subpart B, Legislation and Related

Committee Reports.

Part III.—Administrative, Procedural, and Miscellaneous.

To the extent practicable, pertinent cross references to

these subjects are contained in the other Parts and Subparts. Also included in this part are Bank Secrecy Act Administrative Rulings. Bank Secrecy Act Administrative Rulings

are issued by the Department of the Treasury’s Office of the

Assistant Secretary (Enforcement).

Revenue rulings represent the conclusions of the Service on

the application of the law to the pivotal facts stated in the

revenue ruling. In those based on positions taken in rulings

to taxpayers or technical advice to Service field offices,

identifying details and information of a confidential nature

are deleted to prevent unwarranted invasions of privacy and

to comply with statutory requirements.

Part IV.—Items of General Interest.

This part includes notices of proposed rulemakings, disbarment and suspension lists, and announcements.

Rulings and procedures reported in the Bulletin do not have

the force and effect of Treasury Department Regulations,

but they may be used as precedents. Unpublished rulings

will not be relied on, used, or cited as precedents by Service

personnel in the disposition of other cases. In applying published rulings and procedures, the effect of subsequent legislation, regulations, court decisions, rulings, and proce-

The first Bulletin for each month includes a cumulative index

for the matters published during the preceding months.

These monthly indexes are cumulated on a semiannual basis,

and are published in the first Bulletin of the succeeding semiannual period, respectively.

The contents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.

For sale by the Superintendent of Documents, U.S. Government Printing Office, Washington, DC 20402.

Part I. Rulings and Decisions Under the Internal Revenue Code of 1986

Section 42.–Low-Income

Housing Credit

come buildings or interests therein during

the period January through March 1999.

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

Rev. Rul. 99–18

Low-income housing credits; satisfactory bond; “bond factor” amounts

for the period January through March

1999. This ruling announces the monthly

bond factor amounts to be used by taxpayers who dispose of qualified low-in-

In Rev. Rul. 90–60, 1990–2 C.B. 3, the

Internal Revenue Service provided guidance to taxpayers concerning the general

methodology used by the Treasury Department in computing the bond factor

amounts used in calculating the amount of

bond considered satisfactory by the Secretary under § 42(j)(6) of the Internal

Revenue Code. It further announced that

the Secretary would publish in the Internal Revenue Bulletin a table of “bond factor” amounts for dispositions occurring

during each calendar month.

This revenue ruling provides in Table 1

the bond factor amounts for calculating

the amount of bond considered satisfactory under § 42(j)(6) for dispositions of

qualified low-income buildings or interests therein during the period January

through March 1999.

Table 1

Rev. Rul. 99–18

Monthly Bond Factor Amounts for Dispositions Expressed

As a Percentage of Total Credits

Calendar Year Building Placed in Service

or, if Section 42(f)(1) Election Was Made,

the Succeeding Calendar Year

Month of

Disposition 1987

1988

1989

1990

1991

1992

1993

1994

1995

1996

1997

1998

1999

Jan ’99

Feb ’99

Mar ’99

57.48

70.98

72.56

72.35

72.14

74.67

74.45

74.24

77.09

76.85

76.62

79.54

79.29

79.05

81.87

81.60

81.35

84.18

83.90

83.63

86.70

86.40

86.11

89.33

89.00

88.69

92.33

91.92

91.56

92.81

44.10

For a list of bond factor amounts applicable to dispositions occurring during

other calendar years, see the following

revenue rulings: Rev. Rul. 98–3, 1998–2

I.R.B. 4, for dispositions occurring during

the calendar years 1996 and 1997; Rev.

Rul. 98–13, 1998–11 I.R.B. 4, for dispositions occurring during the period January

through March 1998; Rev. Rul. 98–31,

1998–25 I.R.B. 4, for dispositions occurring during the period April through June

1998; Rev. Rul. 98–45, 1998–38 I.R.B. 4,

for dispositions occurring during the period July through September 1998; and

Rev. Rul. 99–1, 1999–2 I.R.B. 4, for dispositions occurring during the period October through December 1998.

Section 280G.—Golden

Parachute Payments

Federal short-term, mid-term, and long-term

rates are set forth for the month of April 1999. See

Rev. Rul. 99–17, page 4.

Section 382.—Limitation on

Net Operating Loss

Carryforwards and Certain

Built-In Losses Following

Ownership Change

The adjusted applicable federal long-term rate is

set forth for the month of April 1999. See Rev. Rul.

99–17, page 4.

Section 467.—Certain

Payments for the Use of

Property or Services

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4

Section 468.—Special Rules

for Mining and Solid Waste

Reclamation and Closing Costs

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

DRAFTING INFORMATION

The principal author of this revenue

ruling is Gregory Doran of the Office of

Assistant Chief Counsel (Passthroughs

and Special Industries). For further information regarding this revenue ruling, contact Mr. Doran on (202) 622-3040 (not a

toll-free call).

1999–14 I.R.B.

Section 412.—Minimum

Funding Standards

Section 482.—Allocation of

Income and Deductions Among

Taxpayers

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

Federal short-term, mid-term, and long-term

rates are set forth for the month of April 1999. See

Rev. Rul. 99–17, page 4.

April 5, 1999

Section 483.—Interest on

Certain Deferred Payments

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

Section 642.—Special Rules for

Credits and Deductions

Federal short-term, mid-term, and long-term

rates are set forth for the month of April 1999. See

Rev. Rul. 99–17, page 4.

Section 807.—Rules for Certain

Reserves

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

Section 911.—Citizens or

Residents of the United States

Living Abroad

sections of the Code, tables set forth the

rates for April 1999.

26 CFR 1.911–1: Partial exclusion for earned

income sources within a foreign country and foreign

housing costs.

This revenue ruling provides various

prescribed rates for federal income tax

purposes for April 1999 (the current

month.) Table 1 contains the short-term,

mid-term, and long-term applicable federal rates (AFR) for the current month for

purposes of section 1274(d) of the Internal Revenue Code. Table 2 contains the

short-term, mid-term, and long-term adjusted applicable federal rates (adjusted

AFR) for the current month for purposes

of section 1288(b). Table 3 sets forth the

adjusted federal long-term rate and the

long-term tax-exempt rate described in

section 382(f). Table 4 contains the appropriate percentages for determining the

low-income housing credit described in

section 42(b)(2) for buildings placed in

service during the current month. Finally,

Table 5 contains the federal rate for determining the present value of an annuity, an

interest for life or for a term of years, or a

remainder or a reversionary interest for

purposes of section 7520.

Guidance is provided to individuals who fail to

meet the eligibility requirements of section

911(d)(1) of the Internal Revenue Code because adverse conditions in a foreign country preclude the

individual from meeting those requirements. A current list of countries and the dates of those countries

are subject to the section 911(d)(4) waiver is provided. See Rev. Proc. 99–20, page 7.

Section 1274.—Determination

of Issue Price in the Case of

Certain Debt Instruments Issued

for Property

(Also Sections 42, 280G, 382, 412, 467, 468, 482,

483, 642, 807, 846, 1288, 7520, 7872.)

Section 846.—Discounted

Unpaid Losses Defined

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

Federal rates; adjusted federal rates;

adjusted federal long-term rate, and

the long-term exempt rate. For purposes

of sections 1274, 1288, 382, and other

Rev. Rul. 99-17

REV. RUL. 99–17 TABLE 1

Applicable Federal Rates (AFR) for April 1999

Period for Compounding

Annual

Semiannual

Quarterly

Monthly

Short-Term

AFR

110% AFR

120% AFR

130% AFR

4.99%

5.49%

6.01%

6.51%

4.93%

5.42%

5.92%

6.41%

4.90%

5.38%

5.88%

6.36%

4.88%

5.36%

5.85%

6.33%

Mid-Term

AFR

110% AFR

120% AFR

130% AFR

150% AFR

175% AFR

5.28%

5.81%

6.35%

6.88%

7.97%

9.33%

5.21%

5.73%

6.25%

6.77%

7.82%

9.12%

5.18%

5.69%

6.20%

6.71%

7.75%

9.02%

5.15%

5.66%

6.17%

6.68%

7.70%

8.95%

Long-Term

AFR

110% AFR

120% AFR

130% AFR

5.67%

6.24%

6.82%

7.40%

5.59%

6.15%

6.71%

7.27%

5.55%

6.10%

6.65%

7.21%

5.53%

6.07%

6.62%

7.16%

April 5, 1999

1999–14 I.R.B.

REV. RUL. 99–17 TABLE 2

Adjusted AFR for April 1999

Period for Compounding

Annual

Semiannual

Quarterly

Monthly

Short-term

adjusted AFR

3.18%

3.16%

3.15%

3.14%

Mid-term

adjusted AFR

3.82%

3.78%

3.76%

3.75%

Long-term

adjusted AFR

4.78%

4.72%

4.69%

4.67%

REV. RUL. 99–17 TABLE 3

Rates Under Section 382 for April 1999

Adjusted federal long-term rate for the current month

4.78%

Long-term tax-exempt rate for ownership changes during the current month (the highest of the

adjusted federal long-term rates for the current month and the prior two months.)

4.78%

REV. RUL. 99–17 TABLE 4

Appropriate Percentages Under Section 42(b)(2) for April 1999

Appropriate percentage for the 70% present value low-income housing credit

8.28%

Appropriate percentage for the 30% present value low-income housing credit

3.55%

REV. RUL. 99–17 TABLE 5

Rate Under Section 7520 for April 1999

Applicable federal rate for determining the present value of an annuity, an interest for life or a term

of years, or a remainder or reversionary interest

Section 1288.—Treatment of

Original Issue Discount on

Tax-Exempt Obligations

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

1999–14 I.R.B.

Section 7520.—Valuation Tables

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

6.4%

Section 7872.—Treatment of

Loans With Below-Market

Interest Rates

The adjusted applicable federal short-term, midterm, and long-term rates are set forth for the month

of April 1999. See Rev. Rul. 99–17, page 4.

April 5, 1999

Part III. Administrative, Procedural, and Miscellaneous

Post-1997 Distributions of

Capital Gains from Charitable

Remainder Trusts

Notice 99–17

This notice modifies Notice 98–20,

1998–13 I.R.B. 25, to reflect changes

made to § 1(h) of the Internal Revenue

Code by §§ 4002(i)(3) and 4003(b) of the

Tax and Trade Relief Extension Act of

1998 (Division J of H.R. 4328, Omnibus

Consolidated and Emergency Supplemental Appropriations Act, 1999), Pub. L. No.

105–277, 112 Stat. 2681 (1998) (TTREA

of 1998). The changes affect the treatment of post-1997 distributions of certain

capital gains properly taken into account

in 1997 by a charitable remainder trust

(CRT) described in § 664.

BACKGROUND

Notice 98–20 provides guidance on the

ordering and taxation of distributions

under § 664(b)(2) from a CRT to reflect

changes made to § 1(h) by the Taxpayer

Relief Act of 1997 (TRA 1997), Pub. L.

No. 105–34, § 311, 111 Stat. 788, 831.

TRA 1997 amended § 1(h) to provide for

new capital gain tax rates for noncorporate taxpayers. Under Notice 98–20, a

CRT’s long-term capital gains (LTCGs)

and losses fall into three separate tax rate

groups: (1) the 28-percent group, (2) the

25-percent group, and (3) the 20-percent

group. Grouping of LTCGs properly

taken into account by a CRT is necessary

in order to determine the treatment of dis-

tributions by the CRT. Notice 98–20 provides that LTCGs properly taken into account by a CRT from January 1, 1997,

through May 6, 1997, are treated as

LTCGs in the 28-percent group.

Section 4002(i)(3) of the TTREA of

1998 added § 1(h)(13)(D). New § 1(h)(13)(D) provides that § 1(h)(13)(A) and

§ 1(h)(13)(B)(ii) (providing 28-percent

rate treatment for certain LTCGs properly

taken into account in 1997) do not apply

to any capital gain distribution made by a

CRT, effective for taxable years ending

after December 31, 1997. Because

§ 1(h)(13)(A) and § 1(h)(13)(B)(ii) do not

apply to a CRT distribution for taxable

years ending after December 31, 1997,

LTCGs (other than collectibles gain)

properly taken into account by a CRT during 1997 and distributed in taxable years

ending after December 31, 1997, that

would have been in the 28-percent group

now fall within either the 25-percent

group or the 20-percent group.

To reflect the changes made to § 1(h)

by § 4002(i)(3) of the TTREA of 1998,

this present notice modifies two sections

of Notice 98–20: (1) 1997 PRE-EFFECTIVE DATE LONG-TERM CAPITAL

GAINS and (2) EXAMPLE ILLUSTRATING ORDERING AND CHARACTER RULES. The 1997 PRE-EFFECTIVE DATE LONG-TERM CAPITAL

GAINS section of Notice 98–20 should

be disregarded for taxable years ending

after December 31, 1997. In the EXAMPLE ILLUSTRATING ORDERING

AND CHARACTER RULES section of

Notice 98–20, the 28-percent group gain

is changed to collectibles gain.

DISCUSSION

The character of a CRT’s income is determined at the time the income is realized by the trust. Under § 1(h)(13)(D), a

CRT’s LTCG in the 28-percent group

(other than collectibles gain) that was

properly taken into account during 1997

and distributed in taxable years ending

after December 31, 1997, falls within either the 25-percent group or the 20-percent group. Thus, a CRT’s LTCG described in the previous sentence now falls

within the 25-percent group if the gain (1)

was from property held more than 12

months but not more than 18 months, (2)

was properly taken into account for the

portion of the taxable year after July 28,

1997, and before January 1, 1998, and (3)

otherwise satisfies the requirements for

unrecaptured § 1250 gain under § 1(h)(7);

any remaining LTCG falls within the 20percent group.

To reflect this change in law, some

CRTs will need to remove from the 28percent group any LTCGs (other than collectibles gain) properly taken into account

during 1997 that were not distributed in

taxable year 1997 and place those LTCGs

in either the 25-percent group or the 20percent group, as appropriate.

Tables 1 and 2 illustrate the recent

changes made to § 1(h) and their effect on

CRTs.

Table 1

Rules Applicable to LTCGs Distributed in Tax Year 1997

Pre-1997

LTCGs

LTCGs realized

from 1/1/97-5/6/97

20%

28% if property

held > 12 months

April 5, 1999

LTCGs realized

from 5/7/97-7/28/97

LTCGs realized

from 7/29/97-12/31/97

28% for collectibles gain

28% if property held > 12 months

and < 18 months or for collectibles

gain

25% if property held > 12 months and

LTCG is unrecaptured § 1250 gain

25% if property held > 18 months

and LTCG is unrecaptured § 1250

gain

20% for all other property

held > 12 months

20% for all other property held >

18 months

1999–14 I.R.B.

Table 2

Rules Applicable to LTCGs Distributed in Post-1997 Tax Years

Pre-1997

LTCGs

LTCGs realized

from 1/1/97-5/6/97

No change–

20%

Change–20% if property

held > 12 months

EFFECTIVE DATE

The statutory changes described in this

notice apply to CRT distributions made in

taxable years ending after December 31,

1997.

EFFECT ON OTHER DOCUMENTS

Notice 98–20 is modified.

DRAFTING INFORMATION

The principal author of this notice is

Mary Beth Collins of the Office of Assistant Chief Counsel (Passthroughs and

Special Industries). For further information regarding this notice, contact Ms.

Collins on (202) 622-3080 (not a toll-free

call).

26 CFR 601.105: Examination of returns and

claims for refund, credit, or abatement;

determination of correct tax liability.

(Also Part I, section 911, 1.911–1)

Rev. Proc. 99–20

SECTION 1. PURPOSE

01. This revenue procedure provides

information to any individual who failed

to meet the eligibility requirements of

§ 911(d)(1) of the Internal Revenue Code

because adverse conditions in a foreign

country precluded the individual from

meeting those requirements for taxable

year 1998.

02. The Internal Revenue Service has

previously listed countries for which the

eligibility requirements of § 911(d)(1) of

the Code are waived under § 911(d)(4)

1999–14 I.R.B.

LTCGs realized

from 5/7/97-7/28/97

LTCGs realized

from 7/29/97-12/31/97

No change–28% for collectibles

gain

Change–28% only for collectibles gain

No change–25% if property

held > 12 months and LTCG

is unrecaptured § 1250 gain

Change–25% if property held > 12

months and LTCG is unrecaptured

§ 1250 gain

No change–20% for all other

property held > 12 months

Change–20% for all other property held

> 12 months

because of adverse conditions in those

countries on and after the date stated. See

Rev. Proc. 98–38, 1998–27 I.R.B. 29,

Rev. Proc. 97–51, 1997–2 C.B. 526, and

Rev. Proc. 96–33, 1996–1 C.B. 720. This

revenue procedure lists countries added to

the list in 1998, for which the eligibility

requirements of § 911(d)(1) are waived.

Rev. Proc. 98–38, Rev. Proc. 97–51, and

Rev. Proc. 96–33 remain in full force and

effect.

SEC. 2. BACKGROUND

01. Section 911(a) of the Code allows

a “qualified individual,” as defined in

§ 911(d)(1), to exclude foreign earned income and housing cost amounts from

gross income. Section 911(c)(3) of the

Code allows a qualified individual to

deduct housing cost amounts from gross

income.

02. Section 911(d)(1) of the Code defines the term “qualified individual” as an

individual whose tax home is in a foreign

country and who is (A) a citizen of the

United States and establishes to the satisfaction of the Secretary of the Treasury

that the individual has been a bona fide

resident of a foreign country or countries

for an uninterrupted period that includes

an entire taxable year, or (B) a citizen or

resident of the United States who, during

any period of 12 consecutive months, is

present in a foreign country or countries

during at least 330 full days.

03. Section 911(d)(4) of the Code provides an exception to the eligibility requirements of § 911(d)(1). An individual

will be treated as a qualified individual

with respect to a period in which the indi-

vidual was a bona fide resident of, or was

present in, a foreign country if the individual left the country during a period for

which the Secretary of the Treasury, after

consultation with the Secretary of State,

determines that individuals were required

to leave because of war, civil unrest, or

similar adverse conditions that precluded

the normal conduct of business. An individual must establish that but for those

conditions the individual could reasonably have been expected to meet the eligibility requirements.

04. For 1998, the Secretary of the Treasury in consultation with the Secretary of

State, has determined that war, civil unrest, or similar adverse conditions that precluded the normal conduct of business existed in the following countries beginning

on or after the specified dates:

Date of Departure

Country

On or After

Albania

Democratic

Republic of

the Congo

Eritrea

Guinea-Bissau

Indonesia

Pakistan

Sierra Leone

Serbia-Montenegro

August 14, 1998

August 5, 1998

June 5, 1998

June 10, 1998

May 15, 1998

August 16, 1998

December 23, 1998

October 11, 1998

05. Accordingly, for purposes of § 911

of the Code, an individual who left one of

the foregoing countries on or after the

specified departure date shall be treated as

a qualified individual with respect to the

period during which that individual was

present in, or was a bona fide resident of,

April 5, 1999

such foreign country if the individual establishes a reasonable expectation of

meeting the requirements of § 911(d) but

for those conditions.

06. To qualify for relief under

§ 911(d)(4) of the Code, an individual

must have established residency or have

been physically present in the foreign

country on or prior to the date that the

Secretary of the Treasury determines that

individuals were required to leave the for-

eign country. Individuals who establish

residency or are first physically present in

the foreign country after the date that the

Secretary prescribes, shall not be treated

as qualified individuals under § 911(d)(4)

of the Code pursuant to § 911(d)(4)(C).

For example, individuals who are first

physically present in Albania after August

14, 1998, are not eligible to qualify for the

exemption prescribed in § 911(d)(4) of

the Code for taxable year 1998.

07. In order to assist those individuals

who are filing prior year or amended tax

returns, the Internal Revenue Service is

republishing the countries added to the

list for tax years 1995, 1996 and 1997, for

which the eligibility requirements of

§ 911(d)(1) of the Code are waived under

§ 911(d)(4):

Tax Year 1995 - No new departure

dates were added to the list.

Tax Year 1996–

Date of Departure

Country

On or After

On or Before

Central African Republic

May 21, 1996

September 12, 1996

Tax Year 1997–

Date of Departure

Country

On or After

Albania

Cambodia

Central African Republic

Democratic Republic of the Congo

Republic of the Congo

Sierra Leone

Tajikistan

March 12,1997

July 9, 1997

March 28, 1997

May 3, 1997

June 7, 1997

May 28, 1997

November 26, 1997

SEC. 3. INQUIRES

A taxpayer who needs assistance on

how to claim this exclusion, or on how to

file an amended return, should contact a

local IRS Office or, for a taxpayer residing or traveling outside the United States,

the nearest overseas IRS office.

April 5, 1999

SEC. 4. EFFECT ON OTHER

DOCUMENTS

Rev. Proc. 98–38, 1998–27 I.R.B. 29 is

supplemented.

procedure is Kate Y. Hwa of the Office of

Associate Chief Counsel (International).

For further information regarding this

revenue procedure contact Ms. Hwa at

(202) 622-3840 (not a toll-free call).

DRAFTING INFORMATION

The principal author of this revenue

1999–14 I.R.B.

Part IV. Items of General Interest

Notice of Proposed Rulemaking

and Notice of Public Hearing

Electronic Funds Transfers of

Federal Deposits

REG–100729–98

AGENCY: Internal Revenue Service

(IRS), Treasury.

ACTION: Notice of proposed rulemaking and notice of public hearing.

SUMMARY: This document contains

proposed regulations relating to the deposit of Federal taxes by electronic funds

transfer (EFT). The proposed regulations

affect certain taxpayers required to make

deposits of Federal taxes. For calendar

years beginning after 1999, the proposed

regulations provide rules under which

certain taxpayers must make deposits by

EFT.

DATES: Written and electronic comments must be received by May 24, 1999.

Outlines and topics to be discussed at the

public hearing scheduled for May 11,

1999, at 10 a.m. must be received by

April 20, 1999.

ADDRESSES: Send submissions to:

CC:DOM:CORP:R (REG–100729–98),

room 5226, Internal Revenue Service,

POB 7604, Ben Franklin Station, Washington, DC 20044. Submissions may be

hand delivered Monday through Friday

between the hours of 8 a.m. and 5 p.m. to:

CC:DOM:CORP:R (REG–100729–98),

Courier’s Desk, Internal Revenue Service, 1111 Constitution Avenue NW,

Washington, DC. Alternatively, taxpayers

may submit comments electronically via

the Internet by selecting the “Tax Regs”

option on the IRS Home Page, or by submitting comments directly to http://www.

irs.ustreas.gov/prod/tax_regs/comments.

html (the IRS Internet address). The public hearing will be held in room 2615, Internal Revenue Building, 1111 Constitution Ave. NW, Washington, DC.

FOR FURTHER INFORMATION CONTACT: Concerning the proposed regulations, Vincent Surabian, (202) 622-4940;

concerning submission of comments, the

1999–14 I.R.B.

hearing, and/or to be placed on the building access list to attend the hearing,

Michael Slaughter, (202) 622-7190 (not

toll-free numbers).

SUPPLEMENTARY INFORMATION:

Background

This document contains proposed

amendments to the Income Tax Regulations (26 CFR part 1), the Estate Tax Regulations (26 CFR part 20), the Gift Tax

Regulations (26 CFR part 25), the Employment Taxes and Collection of Income

Tax at Source Regulations (26 CFR part

31), and the Excise Tax Procedural Regulations (26 CFR part 40).

On July 14, 1997, the IRS issued final

regulations under section 6302(h) of the

Internal Revenue Code relating to the deposit of Federal taxes by EFT (T.D. 8723,

62 F.R. 37490).

Those final regulations gradually phase

taxpayers into the EFT system through

1999. In the final stages of the phase-in

under those regulations, taxpayers with

more than $50,000 in employment tax deposits during calendar year 1995, 1996, or

1997, and taxpayers that, in any of those

years, had no employment tax deposits

but made deposits of other depository

taxes exceeding $50,000, were required to

begin to deposit by EFT.

At present, the regulations do not require EFT use by a new or growing taxpayer with annual deposits that did not

exceed the prescribed threshold for the

first time before 1998.

Explanation of Provisions

1. Increase in Current $50,000 Threshold

Section 6302(h) requires that in fiscal

year 1999 and subsequent years 94 percent of employment taxes and 94 percent

of other depository taxes be collected by

EFT. The IRS and Treasury Department

previously concluded that the deposit

threshold had to be set at $50,000 to satisfy this statutory requirement. More recent experience suggests, however, that

the statutory requirement can be satisfied

even if the threshold is set at a substantially higher level. Moreover, an increase

in the threshold would allow small businesses to make the transition to the EFT

system at their own pace as they adopt

electronic funds transfer in their other

business operations. Accordingly, the

proposed regulations increase the deposit

threshold to $200,000 in aggregate Federal tax deposits during a calendar year.

The new threshold will be applied initially to 1998 deposits, and taxpayers that

exceed the threshold in 1998 will be required to deposit by EFT in 2000 and subsequent years. Taxpayers that first exceed

the threshold in 1999 or a subsequent year

will similarly be required to deposit by

EFT after a one-year grace period. A taxpayer that exceeds the threshold will not be

permitted to resume making paper coupon

deposits if its deposits fall below $200,000

in a subsequent year. Although a similar

rule applies under the current regulations,

taxpayers that are currently required to deposit by EFT will be given a fresh start and

will not be required to use EFT unless they

exceed the $200,000 threshold in 1998 or a

subsequent calendar year.

Under the new rules, only 9 percent of

all business taxpayers that make Federal

tax deposits will be required to deposit by

EFT. The fresh start will allow 65 percent

of the taxpayers subject to the EFT requirement under the current regulations to

resume making paper coupon deposits beginning in 2000. The IRS and Treasury

Department are confident, however, that

most of these taxpayers have come to appreciate the simplicity and convenience of

the EFT system and will continue to deposit by EFT on a voluntary basis. The

continued participation of these taxpayers,

coupled with ongoing efforts to encourage

voluntary enrollment, should assure 94

percent collections by EFT notwithstanding the increase in the threshold.

2. Taxes Taken into Account in Applying

Threshold

The current regulations prescribe one

threshold ($50,000 in employment taxes)

for depositors liable for employment

taxes and a separate threshold ($50,000 in

other taxes) for taxpayers with no employment tax liability. Thus, taxpayers

that deposit employment taxes but do not

exceed the applicable $50,000 threshold

are not subject to the EFT requirement

even if they deposit large amounts of

April 5, 1999

other depository taxes. In Notice 97–43

(1997–2 C.B. 294), the IRS and Treasury

Department invited public comment on

two alternatives to these rules and also

welcomed any suggestions for a different

rule. The first alternative presented in

Notice 97–43 is a two-pronged test under

which a taxpayer that deposits more than

the threshold amount of the employment

taxes imposed by chapters 21, 22, and 24

or more than the threshold amount of

other depository taxes would be required

to deposit by EFT. The second alternative

is an aggregate deposits test under which

a taxpayer that deposits more than the

threshold amount of employment and

other taxes combined would be required

to deposit by EFT.

The IRS received six comments in response to Notice 97–43. Two commentators stated that the aggregate deposits test

would be the most satisfactory. One of

these commentators stated that an aggregate test (1) is simple for taxpayers to calculate; (2) is easy for financial institutions

to calculate; and (3) is easy for the IRS to

monitor and maintain. The second commentator favored an aggregate deposits

test because it would introduce a larger

number of taxpayers to the advantages

and efficiencies of the EFT system.

Two commentators stated that the present system should be retained because of

its simplicity. One of these commentators

stated that a taxpayer need consider only

one set of figures, its employment taxes,

to determine if it is subject to EFT. If the

taxpayer has no employment taxes, then

the taxpayer would simply look at its

other depository taxes. The second commentator favored the present rule because

of its belief that the adoption of either of

the two proposals described in Notice 9743 would bring additional smaller employers into the EFT system. The commentator stated that it is unnecessary to

bring additional employers into the EFT

system because, under the current rule,

the IRS is satisfying the requirement of

section 6302(h) that more than 94 percent

of all depository taxes be deposited by

EFT for fiscal year 1999 and thereafter.

The proposed regulations adopt an aggregate deposits test. As the comments illustrate, there is disagreement concerning

the relative simplicity of the various options. The view of the IRS and Treasury

Department, based on experience with the

April 5, 1999

current system, is that an aggregate deposits test would be, on balance, simpler,

less confusing to taxpayers, and more easily administered than a two-threshold

rule. The aggregate deposits test also has

the advantage of eliminating the anomalous current treatment of taxpayers that

deposit small amounts of employment

taxes and large amounts of other taxes as

if they were smaller than taxpayers that

deposit no employment taxes but are otherwise similarly situated. The IRS and

Treasury Department believe that the

other concern expressed in the comments,

that the aggregate deposits test would unnecessarily extend the EFT system to additional small employers, has been adequately addressed by the proposed

increase in the threshold.

A fifth commentator suggested that a

rule be considered under which a taxpayer

could be relieved of the EFT deposit requirement if the taxpayer, after being

mandated into the system, fails to deposit

the threshold amount during succeeding

calendar years. This suggestion has not

been adopted because of concerns that it

would be more complex and more difficult to administer than the proposed rule.

A final commentator stated that the current regulations make no provision for the

consciences of persons whose religious

beliefs restrict the use of computer equipment in their businesses. The IRS and

Treasury Department are continually sensitive to the limited nature of the technology available to many taxpayers and, for

that reason, have developed a system

under which, using the ACH debit option,

equipment no more complex than a rotary

or touch-tone telephone is all that is necessary to make an EFT deposit. A computer is not required.

3. Expansion of Voluntary Payments by

EFT

Finally, the current regulations allow

the voluntary payment by EFT of certain

nondepository taxes, specifically individual income taxes (including estimated

taxes). These proposed regulations expand the types of nondepository tax payments for which voluntary payment by

EFT is allowed to include nondepository

payments of Federal income, estate and

gift, employment, and various specified

excise taxes.

Special Analyses

It has been determined that this notice

of proposed rulemaking is not a significant regulatory action as defined in EO

12866. Therefore, a regulatory assessment is not required. It also has been determined that section 553(b) of the Administrative Procedure Act (5 U.S.C.

chapter 5) does not apply to these regulations and, because these regulations do

not impose a collection of information requirement on small entities, the Regulatory Flexibility Act (5 U.S.C. chapter 6)

does not apply. Pursuant to section

7805(f) of the Internal Revenue Code,

this notice of proposed rulemaking will be

submitted to the Chief Counsel for Advocacy of the Small Business Administration for comment on its impact on small

business.

Proposed Effective Date

The regulations are proposed to become effective on the date final regulations are published in the Federal Register.

Comments and Public Hearing

Before these proposed regulations are

adopted as final regulations, consideration will be given to any electronic and

written comments (a signed original and

eight (8) copies) that are submitted timely

to the IRS. The IRS and Treasury Department specifically request comments on

the clarity of the proposed regulations and

how they can be made easier to understand. All comments will be available for

public inspection and copying.

A public hearing has been scheduled

for May 11, 1999, beginning at 10 a.m.

The hearing will be held in room 2615,

Internal Revenue Building, 1111 Constitution Avenue, NW, Washington, DC.

Due to building security procedures, visitors must enter at the 10th Street entrance,

located between Constitution and Pennsylvania Avenues, NW. In addition, all

visitors must present photo identification

to enter the building. Because of access

restrictions, visitors will not be admitted

beyond the immediate entrance area more

than 15 minutes before the hearing starts.

For information about having your name

placed on the building access list to attend

the hearing, see the FOR FURTHER IN-

1999–14 I.R.B.

FORMATION CONTACT section of this

preamble.

The rules of 26 CFR 601.601(a)(3)

apply to the hearing. Persons who wish to

present oral comments at the hearing must

submit written or electronic comments by

May 24, 1999, and submit an outline of

topics to be discussed and the time to be

devoted to each topic (a signed original

and eight (8) copies) by April 20, 1999.

A period of 10 minutes will be allotted

to each person for making comments.

An agenda showing the scheduling of

the speakers will be prepared after the

deadline for receiving outlines has

passed. Copies of the agenda will be

available free of charge at the hearing.

Drafting Information

The principal author of these regulations is Vincent Surabian, Office of Assistant Chief Counsel (Income Tax & Accounting). However, other personnel

from the IRS and Treasury Department

participated in their development.

* * * * *

Proposed Amendments to the Regulations

Accordingly, 26 CFR parts 1, 20, 25,

31, and 40 are proposed to be amended as

follows:

PART 1—INCOME TAXES

Paragraph 1. The authority citation for

part 1 is amended by revising the entry for

§1.6302–4 to read as follows:

Authority: 26 U.S.C. 7805 * * *

Section 1.6302–4 also issued under

sections 6302(a), (c), and (h). * * *

Par. 2. Section 1.6302-4 is revised to

read as follows:

§1.6302–4 Use of financial institutions

in connection with income taxes;

voluntary payments by electronic funds

transfer.

Any person may voluntarily remit by

electronic funds transfer any payment of

tax imposed by subtitle A of the Internal

Revenue Code, including any payment of

estimated tax. Such payment must be

made in accordance with procedures prescribed by the Commissioner.

1999–14 I.R.B.

PART 20—ESTATE TAX; ESTATES OF

DECEDENTS DYING AFTER

AUGUST 16, 1954

Par. 3. The authority citation for part

20 is amended by adding an entry in numerical order to read as follows:

Authority: 26 U.S.C. 7805 * * *

Section 20.6302–1 also issued under

sections 6302(a) and (h). * * *

Par. 4. Section 20.6302–1 is added to

read as follows:

§20.6302–1 Voluntary payments of estate

taxes by electronic funds transfer.

Any person may voluntarily remit by

electronic funds transfer any payment of

tax to which this part 20 applies. Such

payment must be made in accordance

with procedures prescribed by the Commissioner.

PART 25—GIFT TAX; GIFTS MADE

AFTER DECEMBER 31, 1954

Par. 5. The authority citation for part

25 is amended by adding an entry in numerical order to read as follows:

Authority: 26 U.S.C. 7805 * * *

Section 25.6302–1 also issued under

sections 6302(a) and (h). * * *

Par. 6. Section 25.6302–1 is added to

read as follows:

§25.6302–1 Voluntary payments of gift

taxes by electronic funds transfer.

Any person may voluntarily remit by

electronic funds transfer any payment of

tax to which this part 25 applies. Such

payment must be made in accordance

with procedures prescribed by the Commissioner.

PART 31—EMPLOYMENT TAXES

AND COLLECTION OF INCOME TAX

AT SOURCE

Par. 7. The authority citation for part

31 continues to read in part as follows:

Authority: 26 U.S.C. 7805 * * *

Par. 8. Section 31.6302-1 is amended

as follows:

1. The heading for paragraph (h)(2) is

revised.

2. A heading is added for paragraph

(h)(2)(i).

3. New paragraph (h)(2)(i)(C) is

added.

4. Paragraph (h)(2)(ii) is revised

5. Paragraph (h)(2)(iii) is added.

6. Paragraph (m) is redesignated as

paragraph (n).

7. Paragraph (k) is redesignated as

paragraph (m).

8. Paragraph (j) is redesignated as

paragraph (k).

9. New paragraph (j) is added.

The additions and revisions read as follows:

§31.6302–1 Federal tax deposit rules for

withheld income taxes and taxes under

the Federal Insurance Contributions Act

(FICA) attributable to payments made

after December 31, 1992.

* * * * *

(h) * * *

(2) Applicability of requirement—(i)

Deposits for return periods beginning before January 1, 2000. * * *

only to deposits required to be made for

return periods beginning before January

1, 2000. Thus, a taxpayer, including a

taxpayer that is required under this paragraph (h)(2)(i) to make deposits by electronic funds transfer beginning in 1999 or

an earlier year, is not required to use electronic funds transfer to make deposits for

return periods beginning after December

31, 1999, unless deposits by electronic

funds transfer are required under paragraph (h)(2)(ii) of this section.

(ii) Deposits for return periods beginning after December 31, 1999. Unless

exempted under paragraph (h)(5) of this

section, a taxpayer that deposits more

than $200,000 of taxes described in paragraph (h)(3) of this section during a calendar year beginning after December 31,

1997, must use electronic funds transfer

(as defined in paragraph (h)(4) of this section) to make all deposits of those taxes

that are required to be made for return periods beginning after December 31 of the

following year and must continue to deposit by electronic funds transfer in all

succeeding years. Thus, a taxpayer that

exceeds the $200,000 deposit threshold

during calendar year 1998 is required to

April 5, 1999

make deposits for return periods beginning in calendar year 2000 by electronic

funds transfer.

(iii) Voluntary deposits. A taxpayer

that is not required by this section to use

electronic funds transfer to make a deposit of taxes described in paragraph

(h)(3) of this section may voluntarily

make the deposit by electronic funds

transfer, but remains subject to the rules

of paragraph (i) of this section, pertaining

to deposits by Federal tax deposit (FTD)

coupon, in making deposits other than by

electronic funds transfer.

* * * * *

(j) Voluntary payments by electronic

funds transfer. Any person may voluntarily remit by electronic funds transfer any

payment of tax imposed by subtitle C of

the Internal Revenue Code. Such payment must be made in accordance with

procedures prescribed by the Commissioner.

* * * * *

PART 40—EXCISE TAX

PROCEDURAL REGULATIONS

Par. 9. The authority citation for part

40 is amended by adding an entry in numerical order to read in part as follows:

April 5, 1999

Authority: 26 U.S.C. 7805 * * *

Section 40.6302(a)-1 also issued under

26 U.S.C. 6302(a) and (h). * * *

Par. 10. Section 40.6302(a)-1 is added

to read as follows:

§40.6302(a)–1 Voluntary payments of

excise taxes by electronic funds transfer.

Any person may voluntarily remit by

electronic funds transfer any payment of

tax to which this part 40 applies. Such

payment must be made in accordance

with procedures prescribed by the Commissioner.

Robert E. Wenzel,

Deputy Commissioner of

Internal Revenue.

(Filed by the Office of the Federal Register on

March 22, 1999, 8:45 a.m., and published in the

issue of the Federal Register for March 23, 1999, 64

F.R. 13940)

Proposed Form 1042-S, Foreign

Person’s U.S. Source Income

Subject to Withholding

Announcement 99–24

The Internal Revenue Service announces that it is requesting comments

from the public on proposed revisions to

Form 1042-S. The form is being revised

as a result of final regulations (T.D. 8734,

62 F.R. 53387; 1997–2 C.B. 109) published on October 14, 1997, relating to the

withholding of income tax under sections

1441, 1442, and 1443 on certain U.S.

source income paid to foreign persons.

Form 1042-S is used by U.S. withholding agents to report the withholding of

U.S. income tax on certain U.S. source income paid to foreign persons.

This announcement provides a draft

copy of proposed revisions to Form 1042S. The form is being issued so that withholding agents can adapt their systems to

comply with the regulations. Filers and

recipients of the form are advised that the

form may be revised based on further developments and comments. The form, together with instructions, will be re-issued

for further comment as part of the OMB

approval process.

The IRS would like to receive comments on this proposed draft form from

all interested persons by May 5, 1999.

Please send comments to Chairman, Tax

Forms Coordinating Committee, Internal

Revenue Service, OP:FS:FP, Room 5577,

1111 Constitution Avenue, NW, Washington, DC 20224. Alternatively, you may email your comments to tfpmail@publish.no.irs.gov.

1999–14 I.R.B.

April 5, 1999

1999–14 I.R.B.

April 5, 1999

1999–14 I.R.B.

April 5, 1999

1999–14 I.R.B.

April 5, 1999

New Revision of Publication

954, Tax Incentives for

Empowerment Zones and Other

Distressed Communities

Announcement 99–26

Publication 954, revised February

1999, is now available from the Internal

Revenue Service. It replaces the March

1998 revision.

This publication is primarily for business owners who want to find out whether

they qualify for certain tax incentives created to increase business activity in distressed communities.

You can get a copy of this publication

by calling 1-800-TAX-FORM (1-800829-3676). You can also write to the IRS

Forms Distribution Center nearest you.

Check your income tax package for the

address. The publication is also available

on the IRS Internet Web site at www.irs.

ustreas.gov.

Foundations Status of Certain

Organizations

Announcement 99–32

The following organizations have

failed to establish or have been unable to

maintain their status as public charities or

as operating foundations. Accordingly,

grantors and contributors may not, after

this date, rely on previous rulings or designations in the Cumulative List of Organizations (Publication 78), or on the presumption arising from the filing of notices

under section 508(b) of the Code. This

listing does not indicate that the organizations have lost their status as organizations described in section 501(c)(3), eligible to receive deductible contributions.

Former Public Charities. The following

organizations (which have been treated as

organizations that are not private foundations described in section 509(a) of the

Code) are now classified as private foundations:

Argonne Publishing Inc., Durham, NC

Birmingham Area Council of

Beautification Boards, Birmingham, AL

Careplus Endowment Program,

Washington Grove, MD

Class Inc., Santa Fe, NM

Community Evangelism & Discipleship,

Ooleteway, TN

April 5, 1999

Community Network, Inc., Chester, PA

D & R Inc. of Myrtle Beach, Myrtle,

Beach, SC

D & T Kare, New Orleans, LA

David H. Patterson Ministries, Inc.,

Kernersville, NC

D E L V A House Inc., Marinette, WI

D FY IT, Inc., Tucson, AZ

Daedalus Foundation, Philadelphia, PA

Dallas A&M Club, Dallas, TX

Dallas Family Resources Inc., Dallas, TX

Dalton Benefit Association, Dalton, MA

Damas Unidas Latino-Americanas Inc.,

Bellerose, NY

Damascus Road Ministries Inc.,

Arkansas, City, KS

Dance Experience, Columbia, SC

Dance Kids Inc., Carmel, CA

Dance Theatre of Corpus Christi, Corpus

Christi, TX

Danceart Isadora Inc., New York, NY

Dancers Edge, Austin, TX

Dane County Democratic Party

Education Scholarship Fund Inc.,

Madison, WI

Danvers American Legion Baseball Fund

Post 180, Danvers, MA

Das Yosef Charity TR, Brooklyn, NY

Daughters in Progress Clubs, Bay City,

Daves Arid Club Inc., Nocona, TX

David Layne Ministries Inc., Farmville,

David Smiles, Grand Junction, CO

David Young Ministries Inc., Broken

Arrow, OK

De Best Shared Housing Inc., Baltimore,

Deaf AIDS Coalition, Chicago, IL

Deaf Childrens Athletic Association,

Fountain Valley, CA

Deb Scholarship Fund, W Wareham,

Debra Lynn Woods Theatre, Dallas, TX

Deep Creek Raptor and Wildlife

Rehabilitation Center, Missoula, MT

Deerfield Neighborhood Association,

Colorado Springs, CO

Delaware Teachers Academy for Service

Learning Association, Seaford, DE

Delaware Valley Concerned Citizens

Preservation Inc., Paulsboro, NJ

Delaware Valley Ethics Committee

Network, Laverock, PA

Delegation Established to End

Recividism Inc., New York, NY

Deliverance Centers of Hope Inc.,

Philadelphia, PA

Deliverance Grocery & Deli Institute

Inc., Houston, TX

Denny Plattner Memorial scholarship

Fund Inc., Cold Spring, KY

Deporres Eagles Club, Southfield, MI

Derek Scott Ministries, Dallas, TX

Des Moines Housing Authority

Foundation Inc., Des Moines, IA

Desiree Dottoli Scholarship Fund Inc.,

Waterford, NJ

Desoto County Soccer Association,

Memphis, TN

Developing Economical and Better

Living Inc., Chicago, IL

Developing Education Leadership and

Occupations for Neighborhood,

Paterson, NJ

Developing Industrial Skills &

Knowledge Inc., New York, NY

Dew of Hermon China Mission, Garden

Grove, CA

Diamond in the Rough, Riverside, CA

Diamond Management Youth Corp.,

Jersey City, NJ

Dick Tate Productions Inc., Milwaukee,

Dillon Alano Club, Dillon, MT

Dine Foundation Inc., Amherst, NY

Disabled Travelers Friendship Network

Inc., Orlando, FL

Disaster Survival Foundation Inc.,

Ardsley, NY

Distinguished Men and Women Youth

Development Agency Inc., Dallas,

District 200 CO Curricular Boosters,

Woodstock, IL

Diversity Inc., Indianapolis, IN

Divine Light Service Inc., Bayside, WI

Divorce Prevention International

Foundation, Rancho Cordova, CA

DLM Health Services, Guilford, ME

Dodi Yavoh, Collinsville, IL

DOE Valley Volunteer Fire Department,

Mountain City, TN

Doingsomething Inc., Minneapolis, MN

Dollie Lowther Robinson Foundation

Inc., New York, NY

Dolphinback Theatre Company, Chicago,

Domestic Violence Training and

Resource Institute, Acton, MA

Don Bosco Club DBC Inc., Brooklyn,

Don Jackson Ministries Inc.,

Thermopolis, WY

Door to Hope Inc., Jacksonville, FL

Dorothys Kitchen, Chadron, NE

1999–14 I.R.B.

Dothan Independent Living Center Inc.,

Dothan, AL

Douglass Policy Institute, Washington,

Downstate Sickle Cell Anemia

Association, Peoria, IL

Downtown Middletown Partnership Inc.,

Middletown, OH

Dr Huey P Newton Foundation, Berkeley,

Dr Jorge Prieto Community Clinic,

Chicago, IL

Dream, Nashville, TN

Dredf Development Partnership Inc.,

Berkeley, CA

Dress for Success Inc., North Potomac,

Dress Smart Inc., Milwaukee, WI

Drug and Life Style and Addiction

Project Inc., Atlanta, GA

Dufour Baldwin House Museum &

Gardens Inc., New Orleans, LA

Dumas Community Rescue Mission,

Dumas, AR

Dunamis, Detroit, MI

Dupage County Crime Stoppers,

Wheaton, IL

Durham County Friends of Black

Children Council, Durham, NC

Educational Software Fdn., Rochester

Hills, MI

F A C T Net Inc. – Fight Against

Coercive Tactics Network, Golden, CO

F and M Community Corporation Inc.,

Youngstown, OH

F L A M E Inc., Framingham, MA

F R I E N D S 7, Jacksonville, NC

Fair Play for Women Athletes an Oregon

Non-profit Organization, Hood River,

Fairfield Jets Track Club Association,

Fairfield, CA

Fairfield Residential Program Inc.,

Fairfield, CA

Fairgrounds Racing Museum Inc.,

New Orleans. LA

Faith Bible Christian Center, Dallas, TX

Faith Community Singers Inc., Houston,

Faith Forum Inc., Atlanta, GA

Faith in Action International Inc., Burr

Ridge, IL

Faith in Serving Humanity Inc., Monroe,

Fall River Five Cents Savings Bank, Fall

River, MA

Falstaff Presents, New York, NY

1999–14 I.R.B.

Families Against Drugs and Abuse Inc.,

Margate, FL

Families and Mentors Instituting

Leadership for Youth, Hollandale, MS

Families are Important to Him, Green

Camp, OH

Families are Special Inc., N Little Rock,

Family & Friends in Support of Children

of Divorce Inc., Phoenix, AZ

Family Advisory Council on Education,

Greensboro, NC

Family Awareness Project, Sioux Falls,

Family Day Care Association of Nassau

County Inc., W Hempstead, NY

Family Focus Inc., Reedsburg, WI

Family Health Organization Inc.,

Bayside, WI

Family Life and Christian Womens

Foundation, Englewood, CO

Family Memories Foundation Inc.,

Stanhope, NJ

Family Nurturing Center of Indiana Inc.,

Indianapolis, IN

Family Outreach of Magnolia Columbia

County Inc., Magnolia, AR

Family Psychological Center of Elk

Grove, Elk Grove, CA

Family Reflections Nonprofit Housing

Corporation, East Lansing, MI

Family Resource Center Advisory Board

Inc., Eagle Pass, TX

Family Support Systems Unlimited

Housing Developments Fund Corp.,

Bronx, NY

Family Worship Center Church Inc.,

Penns Grove, NJ

Farleys Aquatic Research Laboratory

Inc., Tallahassee, FL

Farm Financial Standards Task Force,

Omaha, NE

Farm Workers Housing Inc., Manning,

Farragut High School Football Boosters

Club Inc., Knoxville, TN

Fashion Outreach Inc., New York, NY

Fathers Against Violence Inc., Carlisle,

Fathers Education Network Inc., Detroit,

Fathers Network of Orange County,

Irvine, CA

Fathers Raising Children Alone Inc.,

Pasadena, TX

Fathers Working with Fathers, Dayton,

Fayetteville Baseball Boosters Assn.,

Fayetteville, AR

Feagin Day Care Center, North Long

Beach, CA

Fearless, Grinnell, IA

Federal Gay Lesbian Bi-Sexual

Employees of Texas Inc., Dallas, TX

Federal Way Veterans Center &

Homestart Transition Program, Federal

Way, WA

Federation of Gujarati Associations in

North America, Spring Valley, OH

Fedohny Inc., New York, NY

Feed my Sheep by the Word of God

Outreach Inc., Houston, TX

Feed the People, Beaumont, TX

Feline Friends Inc., Hudson, NY

Fellowship Development Group Inc.,

Milwaukee, WI

Fertile Ground Inc., New York, NY

Fflair Productions Inc., Miami, FL

Fieldhome Community Inc., Peekskill,

Fifth Step House Society Inc., Seattle,

Filarmonica Santo Antonio Inc.,

Cambridge, MA

Filipino American Scholarship

Foundation Inc., American Fork, UT

Financial and Estate Planning

Educational Foundation for Women,

Weston, MA

If an organization listed above submits

information that warrants the renewal of

its classification as a public charity or as a

private operating foundation, the Internal

Revenue Service will issue a ruling or determination letter with the revised classification as to foundation status. Grantors

and contributors may thereafter rely upon

such ruling or determination letter as provided in section 1.509(a)–7 of the Income

Tax Regulations. It is not the practice of

the Service to announce such revised classification of foundation status in the Internal Revenue Bulletin.

New Revisions of Publication

547, Casualties, Disasters, and

Thefts (Business and Nonbusiness),

and Publication 584, Casualty,

Disaster, and Theft Loss Workbook

(Personal-Use Property)

Announcement 99–33

April 5, 1999

The February 1999 revisions of Publication 547 and Publication 584 are now

available from the Internal Revenue Service. These revisions replace the February 1998 revision of Publication 547 and

the November 1991 revision of Publication 584.

Publication 547 is primarily for individuals who want to find out about the tax

treatment of casualties, disasters, and

thefts. Publication 584 contains schedules

individuals can use to figure the loss on

their main home, its contents, and their

motor vehicles.

You can get copies of these publications by calling 1-800-TAX-FORM (1800-829-3676). You can also write to the

IRS Forms Distribution Center nearest

you. Check your income tax package for

the address. These publications are also

available on the IRS Internet Web site at

www.irs.ustreas.gov.

Passive Foreign Investment

Companies; Definition of

Marketable Stock; Correction

Announcement 99–35

AGENCY: Internal Revenue Service

(IRS), Treasury.

ACTION: Correction to notice of proposed rulemaking.

SUMMARY: This document contains a

correction to the notice of proposed rulemaking (REG–113744–98, 1999–10

I.R.B. 59), which was published in the

Federal Register Tuesday, February 2,

1999 (64 F.R. 5012), relating to the new

April 5, 1999

mark to market election for stock of a passive foreign investment company.

FOR FURTHER INFORMATION CONTACT: Robert Laudeman (202) 6223840 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

Background

The notice of proposed rulemaking that

is the subject of this correction is under

section 1296 of the Internal Revenue

Code.

Need for Correction

As published, REG–113744–98 contains an error which may prove to be misleading and is in need of clarification.

Correction of Publication

Accordingly, the publication of the notice of proposed rulemaking (REG–

113744–98), which was the subject of FR

Doc. 99-1666, is corrected as follows:

On page 5012, column 1, in the preamble under the caption “ADDRESSES”,

line 9, the language “to: CC:DOM:

CORP:R (REG–110524–98),” is corrected to read “to: CC:DOM:CORP:R

(REG–113744–98),”.

Cynthia E. Grigsby,

Chief, Regulations Unit,

Assistant Chief Counsel (Corporate).

(Filed by the Office of the Federal Register on

March 22, 1999, 8:45 a.m., and published in the

issue of the Federal Register for March 23, 1999, 64

F.R. 13939)

Section 7428(c) Validation of

Certain Contributions Made

During Pendency of Declaratory

Judgment Proceedings

This announcement serves notice to potential donors that the organizations listed

below have recently filed timely declaratory judgment suits under section 7428 of

the Code, challenging revocation of their

status as eligible donees under section

170(c)(2).

Protection under section 7428(c) of the

Code begins on the date that the notice of

revocation is published in the Internal

Revenue Bulletin and ends on the date on

which a court first determines that an organization is not described in section

170(c)(2), as more particularly set forth in

section 7428(c)(1). In the case of individual contributors, the maximum amount of

contributions protected during this period

is limited to $1,000.00, with a husband

and wife being treated as one contributor.

This protection is not extended to any individual who was responsible, in whole or

in part, for the acts or omissions of the organization that were the basis for the revocation. This protection also applies

(but without limitation as to amount) to

organizations described in section

170(c)(2) which are exempt from tax

under section 501(a). If the organization

ultimately prevails in its declaratory judgment suit, deductibility of contributions

would be subject to the normal limitations

set forth under section 170.

Abraham Lincoln Opportunity

Foundation, Denver, CO

The Freedom Alliance

Dulles, VA

1999–14 I.R.B.

Announcement of the Consent Voluntary Suspension of Attorneys,

Certified Public Accountants, Enrolled Agents, and Enrolled Actuaries

From Practice Before the Internal Revenue Service

Under 31 Code of Federal Regulations,

Part 10, an enrolled agent, in order to

avoid the institution or conclusion of a

proceeding for his disbarment or suspension from practice before the Internal

Revenue Service, may offer his resignation from such practice. The Director of

Practice, in his discretion, may suspend

an enrolled agent in accordance with the

consent offered.

Attorneys, certified public accountants,

enrolled agents, and enrolled actuaries are

prohibited in any Internal Revenue Ser-

vice matter from directly or indirectly employing, accepting assistance from, being

employed by or sharing fees with, any enrolled agent who has resigned from practice before the Internal Revenue Service.

To enable attorneys, certified public accountants, enrolled agents, and enrolled

actuaries to identify former enrolled

agents who have resigned from practice

before the Internal Revenue Service, the

Director of Practice will announce in the

Internal Revenue Bulletin the names and

addresses of former enrolled agents who

have resigned from such practice, and

date of resignation. This announcement

will appear in the weekly Bulletin at the

earliest practicable date after such action

and will continue to appear in the weekly

Bulletins for five successive weeks or for

as many weeks as is practicable for each

enrolled agent, who has resigned, and will

be consolidated and published in the Cumulative Bulletin.

The following individual has offered

his resignation as an enrolled agent:

Name

Address

Date of Resignation

Ellis, Ronald C.

Billings, MT

October 6, 1998

1999–14 I.R.B.

April 5, 1999

Announcement of the Expedited Suspension of Attorneys, Certified Public

Accountants, Enrolled Agents, and Enrolled Actuaries From Practice

Before the Internal Revenue Service

Under Title 31 of the Code of Federal

Regulations, section 10.76, the Director

of Practice is authorized to immediately

suspend from practice before the Internal

Revenue Service any practitioner who,

within five years, from the date the expedited proceeding is instituted, (1) has had

a license to practice as an attorney, certified public accountant, or actuary suspended or revoked for cause; or (2) has

been convicted of any crime under title 26

of the United States Code or, of a felony

under title 18 of the United States Code

involving dishonesty or breach of trust.

Attorneys, certified public accountants,

enrolled agents, and enrolled actuaries are

prohibited in any Internal Revenue Service

matter from directly or indirectly employing, accepting assistance from, being employed by, or sharing fees with, any practitioner disbarred or suspended from practice

before the Internal Revenue Service.

To enable attorneys, certified public accountants, enrolled agents, and enrolled actuaries to identify practitioners under expedited suspension from practice before the

Internal Revenue Service, the Director of

Practice will announce in the Internal Revenue Bulletin the names and addresses of

practitioners who have been suspended

from such practice, their designation as attorney, certified public accountant, en-

rolled agent, or enrolled actuary, and date

or period of suspension. This announcement will appear in the weekly Bulletin at

the earliest practicable date after such action and will continue to appear in the

weekly Bulletins for five successive weeks

or for as many weeks as is practicable for

each attorney, certified public accountant,

enrolled agent, or enrolled actuary so suspended and will be consolidated and published in the Cumulative Bulletin.

The following individual have been

placed under suspension from practice before the Internal Revenue Service by virtue

of the expedited proceeding provisions of

the applicable regulations:

Name

Address

Designation

Date of Suspension

Pierce, Steven J.

Aventura, FL

Attorney

Indefinite from October 15, 1998

Baker, Charles C.

Kantor, Stanley L.

Monteagle, TN

New York, NY

Attorney

Indefinite from October 15, 1998

Wagner, Richard E.

Spencerport, NY

Enrolled Agent

Indefinite from October 15, 1998

Tuohey, Seamus

Montclair, NJ

Attorney

Indefinite from October 15, 1998

Burke, Beau E.

Santa Rosa, CA

CPA

Indefinite from October 15, 1998

Marn, Eric Y.

Honolulu, HI

Attorney

Indefinite from October 15, 1998

Todd, Kenneth

Tulsa, OK

Attorney

Indefinite from November 4, 1998

April 5, 1999

1999–14 I.R.B.

Announcement of the Disbarment and Suspension of Attorneys, Certified

Public Accountants, Enrolled Agents, and Enrolled Actuaries From

Practice Before the Internal Revenue Service

Under 330, Title 31 of the United

States Code, the Secretary of the Treasury, after due notice and opportunity for

hearing, is authorized to suspend or disbar from practice before the Internal Revenue Service any person who has violated the rules and regulations governing

the recognition of attorneys, certified

public accountants, enrolled agents, or

enrolled actuaries to practice before the

Internal Revenue Service.

Attorneys, certified public accountants,

enrolled agents, and enrolled actuaries are

prohibited in any Internal Revenue Service

matter from directly or indirectly employ-

ing, accepting assistance from, being employed by, or sharing fees with, any practitioner disbarred or under suspension from

practice before the Internal Revenue Service.

To enable attorneys, certified public accountants, enrolled agents, and enrolled

actuaries to identify such disbarred or suspended practitioners, the Director

of Practice will announce in the Internal

Revenue Bulletin the names and addresses of practitioners who have been

suspended from such practice, their designation as attorney, certified public accountant, enrolled agent, or enrolled actu-

ary, and date of disbarment or period of

suspension. This announcement will appear in the weekly Bulletin for five successive weeks or as long as it is practicable for each attorney, certified public

accountant, enrolled agent, or enrolled actuary so suspended or disbarred and will

be consolidated and published in the Cumulative Bulletin.

After due notice and opportunity for

hearing before an administrative law

judge, the following individuals have

been disbarred from further practice before the Internal Revenue Service:

Name

Address

Designation

Effective Date

Shaw-Boatner, Deborah

Hannum, David

Miller, Theodore

Austin, TX

Philadelphia, PA

Neshaminy Valley, PA

CPA

Enrolled Agent

CPA

September 24, 1998

September 30, 1998

February 27, 1999

1999–14 I.R.B.

April 5, 1999

Announcement of the Consent Voluntary Suspension of Attorneys,

Certified Public Accountants, Enrolled Agents, and Enrolled Actuaries

From Practice Before the Internal Revenue Service

Under 31 Code of Federal Regulations,

Part 10, an attorney, certified public accountant, enrolled agent, or enrolled actuary, in order to avoid the institution or

conclusion of a proceeding for his disbarment or suspension from practice before

the Internal Revenue Service, may offer

his consent to suspension from such practice. The Director of Practice, in his discretion, may suspend an attorney, certified public accountant, enrolled agent, or

enrolled actuary in accordance with the

consent offered.

Attorneys, certified public accountants,

enrolled agents, and enrolled actuaries are

prohibited in any Internal Revenue Ser-

vice matter from directly or indirectly employing, accepting assistance from, being

employed by, or sharing fees with any

practitioner disbarred or suspended from

practice before the Internal Revenue Service.

To enable attorneys, certified public accountants, enrolled agents, and enrolled

actuaries to identify practitioners under

consent suspension from practice before the

Internal Revenue Service, the Director

of Practice will announce in the Internal

Revenue Bulletin the names and addresses of practitioners who have been

suspended from such practice, their designation as attorney, certified public ac-

countant, enrolled agent, or enrolled actuary, and date or period of suspension. This

announcement will appear in the weekly

Bulletin at the earliest practicable date

after such action and will continue to appear in the weekly Bulletins for five successive weeks or for as many weeks as is

practicable for each attorney, certified

public accountant, enrolled agent, or enrolled actuary so suspended and will be

consolidated and published in the Cumulative Bulletin.

The following individuals have been

placed under consent suspension from

practice before the Internal Revenue Service:

Name

Address

Designation

Date of Suspension

Cohn, Irving

Baltimore, MD

Attorney

September 4, 1998 to September 3, 2000

Hwang, Catherine T.

Livingston, NJ

CPA

October 1, 1998 to September 30, 1999

Bratek, Ronald

N. Brunswick, NJ

CPA

October 5, 1998 to July 4, 2000

Walker, Frank O.

Bay City, TX

CPA

October 5, 1998 to April 4, 2001

Ng, Peter J.

Monticello, NY

Attorney

October 5, 1998 to May 4, 2002

Sopkovich, Carol

Girard, OH

Attorney

October 5, 1998 to October 4, 2001

Kappler, John E.

Evansville, IN

CPA

October 8, 1998 to October 7, 1999

Sarcia, Jerry J.

Libertyville, IL

CPA

October 30, 1998 to August 29, 2002

Spey, Gregory E.

Youngstown, OH

CPA

November 1, 1998 to April 30, 2001

Jacobson, Kenneth

Jacksonville, FL

CPA

November 9, 1998 to November 8, 2000

Lopshire, Larry

Whiteland, IN

CPA

December 2, 1998 to December 1, 1999

Lederer, Christine L.

Somers, CT

Attorney

December 7, 1998 to December 6, 2001

Kieffer, Richard D.

Olney, IL

CPA

December 15, 1998 to December 14, 1999

Cleaver Jr., Thomas E.

Severna Park, MD

Enrolled Agent

December 23, 1998 to June 22, 2002

Trent, Douglas I.

Allen, TX

CPA

January 1, 1999 to December 31, 1999

Winters, John E.

Bayonne, NJ

CPA

January 1, 1999 to September 30, 1999

Todd Jr., Emory S.

Chester Springs

CPA

January 15, 1999 to July 14, 1999

Hawkins, William M.

Indianapolis, IN

Attorney

February 1, 1999 to January 31, 2002

Gimbal, Peter

Union City, NJ

CPA

April 1, 1999 to September 30, 2000

Ryan, Thomas J.

Danbury, CT

Attorney

May 1, 1999 to October 30, 2000

April 5, 1999

1999–14 I.R.B.

Definition of Terms

Revenue rulings and revenue procedures

(hereinafter referred to as “rulings”)

that have an effect on previous rulings

use the following defined terms to describe the effect:

Amplified describes a situation where

no change is being made in a prior published position, but the prior position is

being extended to apply to a variation of

the fact situation set forth therein. Thus,

if an earlier ruling held that a principle

applied to A, and the new ruling holds

that the same principle also applies to B,

the earlier ruling is amplified. (Compare

with modified, below).

Clarified is used in those instances

where the language in a prior ruling is

being made clear because the language

has caused, or may cause, some confusion. It is not used where a position in a

prior ruling is being changed.

Distinguished describes a situation

where a ruling mentions a previously

published ruling and points out an essential difference between them.

Modified is used where the substance

of a previously published position is

being changed. Thus, if a prior ruling

held that a principle applied to A but not

to B, and the new ruling holds that it ap-

plies to both A and B, the prior ruling is

modified because it corrects a published

position. (Compare with amplified and

clarified, above).

Obsoleted describes a previously published ruling that is not considered determinative with respect to future transactions. This term is most commonly used

in a ruling that lists previously published

rulings that are obsoleted because of

changes in law or regulations. A ruling

may also be obsoleted because the substance has been included in regulations

subsequently adopted.

Revoked describes situations where the

position in the previously published ruling is not correct and the correct position

is being stated in the new ruling.

Superseded describes a situation where

the new ruling does nothing more than

restate the substance and situation of a

previously published ruling (or rulings).

Thus, the term is used to republish under

the 1986 Code and regulations the same

position published under the 1939 Code

and regulations. The term is also used

when it is desired to republish in a single

ruling a series of situations, names, etc.,

that were previously published over a period of time in separate rulings. If the

new ruling does more than restate the

substance of a prior ruling, a combination

of terms is used. For example, modified

and superseded describes a situation

where the substance of a previously published ruling is being changed in part and

is continued without change in part and it

is desired to restate the valid portion of

the previously published ruling in a new

ruling that is self contained. In this case

the previously published ruling is first

modified and then, as modified, is superseded.

Supplemented is used in situations in

which a list, such as a list of the names of

countries, is published in a ruling and

that list is expanded by adding further

names in subsequent rulings. After the

original ruling has been supplemented

several times, a new ruling may be published that includes the list in the original

ruling and the additions, and supersedes

all prior rulings in the series.

Suspended is used in rare situations to

show that the previous published rulings

will not be applied pending some future

action such as the issuance of new or

amended regulations, the outcome of

cases in litigation, or the outcome of a

Service study.

Abbreviations

E.O.—Executive Order.

ER—Employer.

ERISA—Employee Retirement Income Security Act.

EX—Executor.

F—Fiduciary.

FC—Foreign Country.

FICA—Federal Insurance Contribution Act.

FISC—Foreign International Sales Company.

FPH—Foreign Personal Holding Company.

F.R.—Federal Register.

FUTA—Federal Unemployment Tax Act.

FX—Foreign Corporation.

G.C.M.—Chief Counsel’s Memorandum.

GE—Grantee.

GP—General Partner.

GR—Grantor.

IC—Insurance Company.

I.R.B.—Internal Revenue Bulletin.

LE—Lessee.

LP—Limited Partner.

LR—Lessor.

M—Minor.

Nonacq.—Nonacquiescence.

O—Organization.

P—Parent Corporation.

PHC—Personal Holding Company.

PO—Possession of the U.S.

PR—Partner.

PRS—Partnership.

PTE—Prohibited Transaction Exemption.

Pub. L.—Public Law.

REIT—Real Estate Investment Trust.

Rev. Proc.—Revenue Procedure.

Rev. Rul.—Revenue Ruling.

S—Subsidiary.

S.P.R.—Statements of Procedral Rules.

Stat.—Statutes at Large.

T—Target Corporation.

T.C.—Tax Court.

T.D.—Treasury Decision.

TFE—Transferee.

TFR—Transferor.

T.I.R.—Technical Information Release.

TP—Taxpayer.

TR—Trust.

TT—Trustee.

U.S.C.—United States Code.

X—Corporation.

Y—Corporation.

Z—Corporation.

The following abbreviations in current use and formerly used will appear in material published in the

Bulletin.

A—Individual.

Acq.—Acquiescence.

B—Individual.

BE—Beneficiary.

BK—Bank.

B.T.A.—Board of Tax Appeals.

C.—Individual.

C.B.—Cumulative Bulletin.

CFR—Code of Federal Regulations.

CI—City.

COOP—Cooperative.

Ct.D.—Court Decision.

CY—County.

D—Decedent.

DC—Dummy Corporation.

DE—Donee.

Del. Order—Delegation Order.

DISC—Domestic International Sales Corporation.

DR—Donor.

E—Estate.

EE—Employee.

1999–14 I.R.B.

April 5, 1999

Numerical Finding List1

Bulletins 1999–1 through 1999–13

Announcements:

99–1, 1999–2 I.R.B. 41

99–2, 1999–2 I.R.B. 44

99–3, 1999–3 I.R.B. 15

99–4, 1999–3 I.R.B. 15

99–5, 1999–3 I.R.B. 16

99–6, 1999–4 I.R.B. 24

99–7, 1999–2 I.R.B. 45

99–8, 1999–4 I.R.B. 24

99–9, 1999–4 I.R.B. 24

99–10, 1999–5 I.R.B. 63

99–11, 1999–5 I.R.B. 64

99–12, 1999–5 I.R.B. 65

99–13, 1999–6 I.R.B. 18

99–14, 1999–7 I.R.B. 60

99–15, 1999–8 I.R.B. 78

99–16, 1999–8 I.R.B. 80

99–17, 1999–9 I.R.B. 59

99–18, 1999–13 I.R.B. 22

99–19, 1999–10 I.R.B. 63

99–20, 1999–11 I.R.B. 53

99–21, 1999–11 I.R.B. 55

99–22, 1999–12 I.R.B. 32

99–25, 1999–12 I.R.B. 35

99–27, 1999–13 I.R.B. 23

99–28, 1999–13 I.R.B. 26

99–29, 1999–13 I.R.B. 26

99–30, 1999–13 I.R.B. 27

99–31, 1999–13 I.R.B. 27

Notices:

99–1, 1999–2 I.R.B. 8

99–2, 1999–2 I.R.B. 8

99–3, 1999–2 I.R.B. 10

99–4, 1999–3 I.R.B. 9

99–5, 1999–3 I.R.B. 10

99–6, 1999–3 I.R.B. 12

99–7, 1999–4 I.R.B. 23

99–8, 1999–5 I.R.B. 26

99–9, 1999–4 I.R.B. 23

99–10, 1999–6 I.R.B. 14

99–11, 1999–8 I.R.B. 56

99–12, 1999–9 I.R.B. 44

99–13, 1999–10 I.R.B. 26

99–14, 1999–11 I.R.B. 7

99–15, 1999–12 I.R.B. 20

99–16, 1999–13 I.R.B. 10

Proposed Regulations:

REG–209103–89, 1999–11 I.R.B. 10

REG–209619–93, 1999–10 I.R.B. 28

REG–245562–96, 1999–9 I.R.B. 45

REG–104072–97, 1999–11 I.R.B. 12

REG–114663–97, 1999–6 I.R.B. 15

REG–114664–97, 1999–11 I.R.B. 21

REG–116826–97, 1999–10 I.R.B. 40

REG–118620–97, 1999–9 I.R.B. 46

REG–120168–97, 1999–12 I.R.B. 21

REG–121806–97, 1999–10 I.R.B. 46

REG–104924–98, 1999–10 I.R.B. 47

REG–105964–98, 1999–12 I.R.B. 22

REG–106177–98, 1999–12 I.R.B. 25

REG–106219–98, 1999–9 I.R.B. 51

REG–106386–98, 1999–12 I.R.B. 31

REG–106388–98, 1999–11 I.R.B. 27

REG–106564–98, 1999–10 I.R.B. 53

Proposed Regulations—Continued

Treasury Decisions—Continued

REG–106902–98, 1999–8 I.R.B. 57

REG–106905–98, 1999–11 I.R.B. 39

REG–110524–98, 1999–10 I.R.B. 55

REG–111435–98, 1999–7 I.R.B. 55

REG–113694–98, 1999–7 I.R.B. 56

REG–111435–98, 1999–7 I.R.B. 55

REG–113744–98, 1999–10 I.R.B. 59

REG–114841–98, 1999–11 I.R.B. 41

REG–115433–98, 1999–9 I.R.B. 54

REG–116099–98, 1999–12 I.R.B. 34

REG–116824–98, 1999–7 I.R.B. 57

REG–117620–98, 1999–7 I.R.B. 59

REG–118662–98, 1999–13 I.R.B. 14

REG–119192–98, 1999–11 I.R.B. 45

REG–121865–98, 1999–8 I.R.B. 63

8803, 1999–12 I.R.B. 15

8804, 1999–12 I.R.B. 5

8805, 1999–5 I.R.B. 14

8806, 1999–6 I.R.B. 4

8807, 1999–9 I.R.B. 33

8808, 1999–10 I.R.B. 21

8809, 1999–7 I.R.B. 27

8810, 1999–7 I.R.B. 19

8811, 1999–10 I.R.B. 19

8812, 1999–8 I.R.B. 19

8813, 1999–9 I.R.B. 34

8814, 1999–9 I.R.B. 4

8815, 1999–9 I.R.B. 31

8816, 1999–8 I.R.B. 4

8817, 1999–8 I.R.B. 51

Revenue Procedures:

99–1, 1999–1 I.R.B. 6

99–2, 1999–1 I.R.B. 73

99–3, 1999–1 I.R.B. 103

99–4, 1999–1 I.R.B. 115

99–5, 1999–1 I.R.B. 158

99–6, 1999–1 I.R.B. 187

99–7, 1999–1 I.R.B. 226

99–8, 1999–1 I.R.B. 229

99–9, 1999–2 I.R.B. 17

99–10, 1999–2 I.R.B. 11

99–11, 1999–2 I.R.B. 14

99–12, 1999–3 I.R.B. 13

99–13, 1999–5 I.R.B. 52

99–14, 1999–5 I.R.B. 56

99–15, 1999–7 I.R.B. 42

99–16, 1999–7 I.R.B. 50

99–17, 1999–7 I.R.B. 52

99–18, 1999–11 I.R.B. 7

99–19, 1999–13 I.R.B. 10

Revenue Rulings:

99–1, 1999–2 I.R.B. 4

99–2, 1999–2 I.R.B. 5

99–3, 1999–3 I.R.B. 4

99–4, 1999–4 I.R.B. 19

99–5, 1999–6 I.R.B. 8

99–6, 1999–6 I.R.B. 6

99–7, 1999–5 I.R.B. 4

99–8, 1999–6 I.R.B. 8

99–9, 1999–7 I.R.B. 14

99–10, 1999–10 I.R.B. 10

99–11, 1999–10 I.R.B. 18

99–12, 1999–11 I.R.B. 6

99–13, 1999–10 I.R.B. 4

99–14, 1999–13 I.R.B. 3

99–15, 1999–12 I.R.B. 4

99–16, 1999–13 I.R.B. 5

Treasury Decisions:

8789, 1999–3 I.R.B. 5

8791, 1999–5 I.R.B. 7

8792, 1999–7 I.R.B. 36

8793, 1999–7 I.R.B. 15

8794, 1999–7 I.R.B. 4

8795, 1999–7 I.R.B. 8

8796, 1999–4 I.R.B. 16

8797, 1999–5 I.R.B. 5

8798, 1999–12 I.R.B. 16

8799, 1999–6 I.R.B. 10

8800, 1999–4 I.R.B. 20

8801, 1999–4 I.R.B. 5

8802, 1999–4 I.R.B. 10

1 A cumulative list of all revenue rulings, revenue

procedures, Treasury decisions, etc., published in

Internal Revenue Bulletins 1998–1 through 1998–52

will be found in Internal Revenue Bulletin 1999–1,

dated January 4, 1999.

April 5, 1999

1999–14 I.R.B.

Finding List of Current Action on

Previously Published Items1

Bulletins 1999–1 through 1999–13

Revenue Procedures:

78–10

Obsoleted by

99–12, 1999–3 I.R.B. 13

94–56

Superseded by

99–9, 1999–2 I.R.B. 17

97–23

Superseded by

99–3, 1999–1 I.R.B. 103

98–1

Superseded by

99–1, 1999–1 I.R.B. 6

98–2

Superseded by

99–2, 1999–1 I.R.B. 73

98–3

Superseded by

99–3, 1999–1 I.R.B. 103

98–4

Superseded by

99–4, 1999–1 I.R.B. 115

98–5

Superseded by

99–5, 1999–1 I.R.B. 158

98–6

Superseded by

99–6, 1999–1 I.R.B. 187

98–7

Superseded by

99–7, 1999–1 I.R.B. 226

98–8

Superseded by

99–8, 1999–1 I.R.B. 229

98–22

Modified and amplified by

99–13, 1999–5 I.R.B. 52

98–56

Superseded by

99–3, 1999–1 I.R.B. 103

98–63

Modified by announcement

99–7, 1999–2 I.R.B. 45

Revenue Rulings:

92–19

Supplemented in part by

99–10, 1999–10 I.R.B. 10

1 A cumulative finding list for previously published

items mentioned in Internal Revenue Bulletins

1998–1 through 1998–52 will be found in Internal

Revenue Bulletin 1999–1, dated January 4, 1999.

1999–14 I.R.B.

April 5, 1999

Index

ESTATE TAX

INCOME TAX—Continued

Internal Revenue Bulletins

1999–1 Through 1999–13

Adequate disclosure of gifts (Ann. 28) 13,

For the index of items published during

1998, see I.R.B. 1999–1, dated January 4, 1999.

EXCISE TAX

(Notice 11) 8, 56; March 1999

(Notice 15) 12, 21

Individual retirement arrangements:

Payroll deductions (Ann. 2) 2, 44

Recharacterizations and reconversions (Ann. 5) 3, 16

Letter rulings, etc. (RP 4) 1, 115

Plan administration (Notice 1) 2, 8

Regulations:

26 CFR 1.411(a)–11(c)(2)(ii), revised; 1.411(a)–11(c)(2)(iii), (iv),

(v), and (c)(8), added; 1.411(a)–

11T, removed; 1.417(e)– 1(b)(3),

revised; (b)(4), added; 1.417(e)–

1T, amended; qualified retirement

plans (TD 8796) 4, 16

Tax-sheltered annuities (RP 13) 5, 52

Technical advice (5) 1, 158

User fees (RP 8) 1, 229

Exclusions-inclusions:

Payments for Temporary Assistance for

Needy Families (Notice 3) 2, 10

Exempt Organizations:

Letter rulings, etc. (RP 4) 1, 115

List of organizations classified as private foundations (Ann 10) 5, 63; (Ann 13)

6, 20; (Ann 15) 8, 78; (Ann. 19) 10, 63;

(Ann. 20) 11, 53; (Ann. 22) 12, 32; (Ann.

27) 13, 22

Private foundations (Ann. 9) 4, 24

Technical advice (RP 5) 1, 158

User fees (RP 8) 1, 229

Failure by certain charitable organizations

to meet certain qualified requirements;

taxes on excess benefit transactions

(Ann. 21) 11, 55

Failure to deposit federal tax; penalties

(RP 10) 2, 11

Federal rates; adjusted federal rates; adjusted federal long-term rate, long-term

exempt rate for February 1999 (RR 8)

6, 10

Form:

1040NR instructions for 1998, corrected (Ann. 8) 4, 24

8866 (Ann 16) 8, 80

Insurance companies:

Tentative differential earnings rate for

1998 (Notice 13) 10, 26

Prevailing state assumed interest rates

(RR 10) 10, 10

Discounting estimated salvage recoverable (RP 16) 7, 50

Loss reserves; discounting unpaid

losses (RP 15) 7, 42

The abbreviation and number in parenthesis following the index entry refer to

the specific item; numbers in roman and

italic type following the parenthesis refer

to the Internal Revenue Bulletin in which

the item may be found and the page

number on which it appears.

Key to Abbreviations:

Revenue Ruling

Revenue Procedure

Treasury Decision

Court Decision

Public Law

Executive Order

Delegation Order

TDO

Treasury Department Order

Tax Convention

SPR

Statement of Procedural

Rules

PTE

Prohibited Transaction

Exemption

EMPLOYEE PLANS

Proposed Regulations:

26 CFR 1.402(f)–1, amended; required

explanation of eligible rollover distributions; questions and answers

(REG–118662–98) 13, 13

26 CFR 1.411(a)–11, amended; restriction and valuation of distributions

(REG–118662–98) 13, 13

26 CFR 35.3405–1, amended; questions and answers relating to withholding on pensions, annuities, and

certain other deferred income

(REG–118662–98) 13, 13

EMPLOYMENT TAX

Deferred compensation:

Change in method of accounting

(Notice 16) 13, 10

Disregarded entities (Notice 6) 3, 12

Penalty:

Failure to deposit penalty using electronic funds transfer on or after July

1, 1997 (Notice 12) 9, 44

April 5, 1999

Regulations:

26 CFR 49.4251–4, added; communications excise tax; prepaid telephone

cards (REG–118620–97) 9, 46

INCOME TAX

Abatement of interest (TD 8789) 3, 5

Automobile owners and lessees (RP 14)

5, 56

Business expenses:

Lease-in / lease-out transactions (RR

14) 13, 3

Chief Counsel advice available for public

inspection (Ann. 4) 3, 15

Court decisions in 1999–4 I.R.B. 4; correction (Ann. 17) 9, 59

Child support enforcement program (RP

12) 3, 13

Commodities dealers; securities or commodities traders; procedures for making elections (RP 17) 7, 52

Correction of Rev. Proc. 98–44 (Ann 12)

5, 65

Daily transportation expenses; commuting expenses; business expenses; personal expenses (RR 7) 5, 4

Debt roll-ups; election to treat certain debt

substitutions as realization events (RP

18) 11, 7

Deficiencies:

Interest abatement, Presidentially declared disasters (Notice 2) 2, 8

Disregarded entity to partnership (RR 5)

6, 8

Election in respect of losses attributable to

a disaster (RR 13) 10, 4

Electronic:

Filing; magnetic media; 1998 Form

8596 (RP 9) 2, 17

Submission of Form W-5 (Ann. 3) 3,

15; Forms W-4P, W-4S and W-4V

(Ann. 6) 4, 24

Employee plans:

Determination letters (RP 6) 1, 187

Eligible rollover distributions; transitional relief (Notice 5) 3, 10

Funding:

Full funding limitations, weighted average interest rate for January 1999

(Notice 7) 4, 23; February 1999

1999–14 I.R.B.

INCOME TAX—Continued

Interest:

Investment:

Federal short-term, mid-term, and

long-term rates for January 1999

(RR 2) 2, 5; February (RR 8) 6,

10; March 1999 (RR 11) 10, 18

Rates:

Underpayments and overpayments

for calender quarter beginning

April 1, 1999 (RR 16) 13, 5

Interest netting for interest accruing before October 1, 1998 (RP 19) 13, 10

Inventory:

LIFO:

Price indexes; department stores for

November 1998 (RR 4) 4, 19;

December 1998 (RR 9) 7, 14;

January 1999 (RR15) 12, 4

Joint Board for the Enrollment of

Actuaries (Ann. 25) 12, 35

Letter rulings, determination letters, and

information letters issued by Associate

Chief Counsel (Domestic), Associate

Chief Counsel (EBEO), Associate

Chief Counsel (Enforcement Litigation), and Associate Chief Counsel

(International) (RP 1) 1, 6

Long-term capital gain treatment for fiscal year individuals, estates, partnerships, and S corporations (Ann 11) 5,

Low-income housing credit:

Alternative collateral program (RP 11)

2, 14

Low-income housing tax credit:

1999 calendar year resident population

estimates (Notice 10) 6, 16

Satisfactory bond; “bond factor”

amounts for the period October

through December 1998 (RR 1) 2, 4

Low-income taxpayer clinics grant program (Notice 9) 4, 23

Mark-to-market election for regulated

investment companies that are shareholders of PFICs (Notice 14) 11, 7

Model qualified intermediary withholding

agreement (Notice 8) 5, 26

Mutual holding company conversions

(RR 3) 3, 4

Notice of significant reduction in the rate

of future benefit accrual, T.D. 8795;

correction (Ann. 31) 13, 26

Optional standard mileage rates; effective

date (Ann. 7) 2, 45

Partnership to disregarded entity (RR 6) 6,

Penalties:

Designation of Federal Tax Deposits

(RP 10) 2, 11

Penalty and interest study (Notice 4) 3, 9

Proposed regulations:

26 CFR 1.25A–0 thru 1.25A–5, added;

calculation of education credit and

general eligibility requirements

(REG– 106388–98) 11, 27

26 CFR 1.42–5, –6, –11, –12, –13,

amended; 1.42–17, added; low-income housing credit; compliance

monitoring, etc. (REG–114664–97)

11, 21

26 CFR 1.79–3, amended; group-term

insurance: uniform programs

(REG–209103–89) 11, 10

26 CFR 1.221–1, added; deduction for

interest on qualified education loans

(REG–116826–97), 10, 40

26 CFR 1.401(a)(31)–1, amended; Relief from disqualification for plans

accepting rollovers (REG–245562–

96) 9, 45

26 CFR 1.411(a)–7, –11, 1.417(e)–1,

amended; increase in cash-out limit

under sections 411(a)(7), 411(a)(11)

and 417(e)(1) for qualified retirement plans (REG–113694–98) 7, 56

26 CFR 1.446–1, added; 1.471–12,

added; 1.475(c)–1, revised; 1.475(c)–

2, added; 1.475(e)–1, redesignated as

1.475(g)–1; 1.475(e)–1, added;

1.475(f)–1, –2, added; 1.475(g)–1,

amended; mark-to-market accounting for dealers in commodities and

traders in securities or commodities

(REG– 104924–98) 10, 47

26 CFR 1.453–12, added; capital gains,

installment sales, unrecaptured section 1250 gain (REG–110524–98)

10, 55

26 CFR 1.468B–0, amended;

1.468B–1, amended; 1.468B–5,

amended; 1.468B–6 thru 1.468B–9,

and intermediary sections, added;

1.1031(k)–1, amended; escrow funds

and

other

similar

funds

(REG–209619–93) 10, 28

26 CFR 1.1502–3, amended; 1.1502–

9A, added; new 1.1502–9, added;

consolidated overall foreign losses

and separate limitation losses (REG–

106902–98) 8, 57

26 CFR 1.663(c)–1, amended;

1.663(c)–2, revised; 1.663(c)–3,

amended; 1.663(c)–4, redesignated;

1.663(c)–4, added; 1.663(c)–5,

amended; 1.663(c)–6, added; separate share rules applicable to estates

(REG–114841–98) 11, 41

26 CFR 1.861–8, amended; 1.865–1,

added; 1.865–2, amended; allocation

of loss with respect to stock and other

personal property (REG–106905–98)

11, 39

26 CFR 1.1296(e)–1, added; passive

foreign investment companies; definitions of marketable stocks (REG–

113744–98), 10, 59

26 CFR 1.1362–3, amended; 1.1502–

76, amended; acquisition of an S corporation by a member of a consolidated group (REG–106219–98) 9, 51

26 CFR 1.1502–13, amended; intercompany transactions (REG–

105964–98) 12, 22

26 CFR 1.6695–1, amended; retention

of income tax return preparer’s signature (REG–106386–98) 12, 15

26 CFR 1.6695–2, added; preparer due

diligence requirements for determining earned income credit eligibility

(REG–120168–97) 12, 16

26 CFR 1.7701(1)–3, added; 1.1441–7,

amended; recharacterizing financing

arrangements involving fast–pay

stock (REG– 104072–97) 11, 12

26 CFR 20.2001–1, revised; valuation

of adjusted taxable gifts and section

2701(d) taxable events (REG–

106177–98) 12, 25

26 CFR 25.2504–2, revised; valuation

of certain gifts for preceding calender

periods (REG– 106177–98) 12, 25

26 CFR 20.2055–1(d)(6), added;

20.2056(b)–4, amended; marital deduction; valuation of interest passing

to surviving spouse (REG–114663–

97) 6, 17

26 CFR 54.4980B, amended; continuation coverage requirements of group

health plans (REG–121865–98) 8, 63

26 CFR 301.6103(j)(1)–1, amended;

disclosure of return information to

the Bureau of Census (REG–

121806–97) 10, 46

26 CFR 301.6103(k)(9)–1, added;

301.6311–1(a)(1)(i), amended; payment of tax by credit card or debit

card (REG–111435–98) 7, 55

26 CFR 301.6221–1, amended;

301.6223(c)–1,

amended;

301.6224(c)–3,

amended;

1999–14 I.R.B.

April 5, 1999

INCOME TAX—Continued

301.6229(b)– 2, added; 301.6229(f)–

1, added; 301.6231(a)(1)–1,

amended;

301.6231(a)(6)–1,

amended;

301.6231(a)(7)–1,

amended; modifications and additions to the unified partnership audit

procedures (REG–106564–98) 10, 53

26 CFR 301.6320–1, added; notice and

opportunity for hearing upon filing of

notice of lien (REG–116824–98) 7,

26 CFR 301.6330–1, added; notice and

opportunity for hearing prior to levy

(REG–117620–98) 7, 59

26 CFR 301.6501(c)–1, amended; adequate disclosure of gifts (REG–

106177–98) 12, 25

26 CFR 301.7502–1, revised;

301.7502–2, added; Timely mailing

treated as timely filing / electronic

postmark (REG– 115433–98) 9, 54

26 CFR 801.0–1 thru 801.0–5, and intermediary sections, added; establishment of a balanced measurement

system (REG–119192–98) 11, 45

Proposed update of Rev. Proc. 65–17

(Ann. 1) 2, 41

Recharacterizing financing arrangements

involving fast-pay stock, REG–

104072–97; correction (Ann. 30) 11, 26

Regulations:

26 CFR 1.148–5(d)(6)(iii), revised;

1.148–5(e)(2)(iv), added; arbitrage

restrictions on tax-exempt bond

(T.D. 8801) 4, 5

26 CFR 1.195–1, added; election to

amortize start-up expenditures for

active trades or businesses (T.D.

8797)5, 5

26 CFR 1.337(d)–4, added; certain

asset transfers to a tax-exempt entity

(T.D. 8802) 4, 10

26 CFR 1.408A–0 through –9 and intermediary sections, added; Roth

IRAs (T.D. 8816) 8, 4

26 CFR 1.411(a)–7, –11, amended;

1.411(a)–7T, –11T, added; increase

in cash-out limit under sections

411(a)(7), 411(a)(11) and 417(e)(1)

for qualified retirement plans (T.D.

8794) 7, 4

26 CFR 1.411(d)(4), amended;

1.411(d)–4T, removed; employee

stock ownership plans qualified retirement plan benefits (T.D. 8806)

6, 4

26 CFR 1.411(d)–6T, removed;

1.411(d)–6, added; notice of significant reduction in the rate of future

benefit accrual (T.D. 8795) 7, 8

26 CFR 1.469–10, revised; 1.7704–3,

added; certain investment income

under the qualifying income provisions and the application of the passive activity loss rules to publicly

traded partnerships (T.D. 8799) 6, 12

26 CFR 1.664–1(a)(7), (d)(1)(iii),

(f)(4), added; 1.664–2(a)(1)(i), revised; 1.664–3, amended; 25.2702–

1(c)(3), revised; charitable remainder trusts and special valuation rules

for transfers of interests in trusts

(T.D. 8791) 5, 7

26 CFR 1.861–8, amended; 1.861–8T,

amended; 1.865–1T, added; 1.865–2,

added; 1.865–2T, added; 1.904–0,

amended; 1904–4, amended; allocation of loss with respect to stocks

and other personal property (T.D.

8805) 5, 14

26 CFR 1.871–14, revised; rules relating to repeal of tax on interest of

nonresident alien individuals and

foreign corporations received from

certain portfolio debt investments

(T.D. 8804) 12, 5

26 CFR 1.881–3, corrected conduit

arrangement regulations (Ann 14) 7,

26 CFR 1.1441–1, –5, –6, –9, revised;

1.1441–4, amended; 1.1441–8, redesignated and amended; 1.1443–1,

revised; requirements for the deduction and withholding of tax on payments to foreign persons (T.D. 8804)

12, 5

26 CFR 1.6038B–1, amended;

1.6038B–2, added; notice of certain

transfers to foreign partnerships and

foreign corporations (T.D. 8817) 8,

26 CFR 1.6042–3, amended; dividends

subject to reporting; 1.6045–1,

amended; returns of information of

brokers and barter exchanges;

1.6049–5, amended; interest and

original issue discount subject to reporting after December 31, 1982

(T.D. 8804) 12, 5

26 CFR 1.6695–1, amended;

1.6695–1T, added; retention of income tax return preparer’s signature

(temporary) (T.D. 8803) 12, 15

26 CFR 1.6695–2T, added; preparer

due diligence requirements for determining earned income credit eligibility (temporary) (T.D. 8798) 12, 16

26 CFR 1.7702B–1, –2, added; qualified long-term care insurance contracts (T.D. 8792) 7, 36

26 CFR 31.3306(r)(2)–1, added; FUTA

tax amounts under employee benefit

plans (T.D. 8815) 9, 31

26 CFR 31.3121(v)(2)–1, –2, added;

FICA tax amounts under employee

benefit plans (T.D. 8814) 9, 4

26 CFR 54.4980B–0 through –8 and

intermediary sections, added; continuation coverage requirements of

group health plans (T.D. 8812) 8, 19

26 CFR 301.6103(j)(1)–1, amended;

301.6103(j)(1)–1T, added; disclosure of return information to the Bureau of Census (T.D. 8811) 10, 19

26 CFR 301.6103(k)(9)–1T, –2T,

added; payment of tax by credit card

or debit card (T.D. 8793) 7, 15

26 CFR 301.6221–1T, amended;

301.6223(c)–1T,

amended;

301.6224(c)–3T,

amended;

301.6229(b)–2T,

added;

301–6229(f)–1T,

added;

301.6231(a)(1)–1T, amended;

301.6231(a)(6)–1T, amended;

301.6231(a)(7)–1,

amended;

301.6231(a)(7)–1, added; modifications and additions to the unified

partnership audit procedures (T.D.

8808) 10, 21

26 CFR 301.6320–1T, added; notice

and opportunity for hearing upon filing of notice of lien (T.D. 8810) 7, 19

26 CFR 301.6330–1T, added; notice

and opportunity for hearing prior to

levy (T.D. 8809) 7, 27

26 CFR 301.7502–1, amended;

301.7502–1T, added; Timely mailing

treated as timely filing / electronic

postmark (T.D. 8807) 9, 33

26 CFR 301.7701–5, amended;

301.7701–7, added; residence of

trusts and estates (T.D. 8813) 9, 34

26 CFR 1.1502–3T, –9(a), –9T(b)(1)(v)

and (vi), amended; consolidated returns, limitation on recapture of

overall foreign loss accounts (T.D.

8800) 4, 20

Requirements for the deduction and withholding of tax on certain U.S. source

April 5, 1999

1999–14 I.R.B.

INCOME TAX—Continued

income paid to foreign persons, T.D.

8804; correction (Ann. 29) 13, 25

Roth IRAs:

Conversions on Form 8606, Nondeductible IRAs (Ann. 18) 13, 21

Rulings:

Areas in which advance rulings will not

be issued:

Associate Chief Counsel (Domes-

tic), Associate Chief Counsel

(EBEO) (RP 3) 1, 103

Associate Chief Counsel (International) (RP 7) 1, 226

Standard Industry Fare Level (SIFL) rates

for the first half of 1999 (RR 12) 11,6

Technical advice to district directors and

chiefs, appeals offices, Associate Chief

Counsel (Domestic), Associate Chief

Counsel (EBEO), Associate Chief

Counsel (Enforcement Litigation), and

Associate Chief Counsel (International)

(RP 2) 1, 73

Valuation of adjusted taxable gifts and

section 2701(d) taxable events, REG–

106177–98; correction (Ann. 28) 13, 25

1999–14 I.R.B.

April 5, 1999

Notes

April 5, 1999

1999–14 I.R.B.

INTERNAL REVENUE BULLETIN

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