Bulletin No. 1997–36

Internal Revenue

bulletin

Bulletin No. 1997–36

September 8, 1997

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.

SPECIAL ANNOUNCEMENT

Announcement 97–95, page 12.

This announcement changes the location of the public hearing that will be held on October 28, 1997, on proposed regulations (REG–107644–97, 1997–32 I.R.B. 24) that would

permit an amendment to a qualified plan that eliminates certain preretirement optional forms of benefit.

INCOME TAX

Rev. Rul. 97–36, page 5.

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 September 1997.

T.D. 8724, page 4.

Final regulations under section 1059 of the Code relate to

extraordinary dividends.

Notice 97–49, page 8.

Electing Small Business Trust (ESBT) and qualification

and treatment of distributions. This notice clarifies the

definitions of beneficiary and potential current beneficiary. It

also clarifies the treatment of ESBT distributions.

EMPLOYEE PLANS

Announcement 97–89, page 10.

Beginning October 1, 1997, requests for employee plan

Finding Lists begin on page 14.

Department of the Treasury

Internal Revenue Service

determination letters and applications for recognition of tax

exemption, formerly sent to the district office in Brooklyn,

New York, should be sent to the Internal Revenue Service

Center in Covington, Kentucky.

EXEMPT ORGANIZATIONS

Announcement 97–89, page 10.

Beginning October 1, 1997, requests for employee plan

determination letters and applications for recognition of tax

exemption, formerly sent to the district office in Brooklyn,

New York, should be sent to the Internal Revenue Service

Center in Covington, Kentucky.

Announcement 97–90, page 10.

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

ADMINISTRATIVE

Announcement 97–93, page 11.

REG–252487–96, 1997–25 I.R.B. 9, relating to the application of the grantor trust rules to certain trusts established by foreign persons, is corrected.

Announcement 97–94, page 12.

This announcement contains additional corrections to the

corrected version of REG–252487–96, shown in Announcement 97–93, on page 11 of this Bulletin.

Mission of the Service

ucts and services; and perform in a manner warranting

the highest degree of public confidence in our integrity, efficiency, and fairness.

The purpose of the Internal Revenue Service is to collect

the proper amount of tax revenue at the least cost; serve

the public by continually improving the quality of our prod-

Statement of Principles

of Internal Revenue

Tax Administration

The Service also has the responsibility of applying and

administering the law in a reasonable, practical manner.

Issues should only be raised by examining officers when

they have merit, never arbitrarily or for trading purposes.

At the same time, the examining officer should never hesitate to raise a meritorious issue. It is also important that

care be exercised not to raise an issue or to ask a court to

adopt a position inconsistent with an established Service

position.

The function of the Internal Revenue Service is to administer the Internal Revenue Code. Tax policy for raising revenue

is determined by Congress.

With this in mind, it is the duty of the Service to carry out that

policy by correctly applying the laws enacted by Congress;

to determine the reasonable meaning of various Code provisions in light of the Congressional purpose in enacting them;

and to perform this work in a fair and impartial manner, with

neither a government nor a taxpayer point of view.

Administration should be both reasonable and vigorous. It

should be conducted with as little delay as possible and

with great courtesy and considerateness. It should never

try to overreach, and should be reasonable within the

bounds of law and sound administration. It should, however, be vigorous in requiring compliance with law and it

should be relentless in its attack on unreal tax devices and

fraud.

At the heart of administration is interpretation of the Code. It

is the responsibility of each person in the Service, charged

with the duty of interpreting the law, to try to find the true

meaning of the statutory provision and not to adopt a

strained construction in the belief that he or she is “protecting the revenue.” The revenue is properly protected only

when we ascertain and apply the true meaning of the statute.

2

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 of a permanent nature 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.

With the exception of the Notice of Proposed Rulemaking

and the disbarment and suspension list included in this part,

none of these announcements are consolidated in the Cumulative Bulletins.

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 quarterly and

semiannual basis, and are published in the first Bulletin of the

succeeding quarterly and 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.

3

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

Section 42.—Low Income

Housing Credit

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

of September 1997. See Rev. Rul. 97–36, page 5.

Section 280G.—Golden

Parachute Payments

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

rates are set forth for the month of September 1997.

See Rev. Rul. 97–36, page 5.

Section 382.—Limitation on Net

Operating Loss Carryforwards

and Certain Built-In Losses

Following Ownership Change

The adjusted federal long-term rate is set forth

for the month of September 1997. See Rev. Rul.

97–36, page 5.

Section 412.—Minimum

Funding Standards

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

of September 1997. See Rev. Rul. 97–36, page 5.

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 September 1997. See Rev. Rul. 97–36, page 5.

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 September 1997. See Rev. Rul. 97–36, page 5.

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 September 1997. See Rev. Rul. 97–36, page 5.

September 8, 1997

Section 641.—Imposition of Tax

How are electing small business trust distributions treated under section 641(d)? See Notice

97–49, page 8.

Section 807.—Rules for Certain

Reserves

final regulations also provide that section

1059(e)(1) applies to certain exchanges

described in section 356.

DATES: This regulation is effective July

16, 1997.

For date of applicability, see

§1.1059(e)–1(c).

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

of September 1997. See Rev. Rul. 97–36, page 5.

FOR FURTHER INFORMATION CONTACT: Richard K. Passales, (202) 6227530 (not a toll-free number).

Section 846.—Discounted

Unpaid Losses Defined

SUPPLEMENTARY INFORMATION:

Background

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

of September 1997. See Rev. Rul. 97–36, page 5.

Section 1059.—Corporate

Shareholder’s Basis in Stock

Reduced by Nontaxed Portion

of Extraordinary Dividends

26 CFR 1.1059(e)–1: Non-pro rata redemptions.

T.D. 8724

DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

Section 1059 Extraordinary

Dividends

AGENCY: Internal Revenue Service

(IRS), Treasury.

On June 18, 1996, the IRS published in

the Federal Register a notice of proposed

rulemaking (CO–9–96), 61 F.R. 30845,

concerning certain distributions under

section 1059(e)(1) of the Internal Revenue Code. The proposed rules were

based on the conclusion that applying the

exceptions to extraordinary dividend

treatment found in sections 1059(d)(6)

and (e)(2) to amounts treated as extraordinary dividends under section 1059(e)(1)

is inconsistent with the purposes of section 1059 and may create inappropriate

consequences, such as basis shifting that

eliminates gain or creates artificial loss.

The IRS received a few comments on

the proposed regulations. No one requested to speak at the public hearing.

After consideration of all the comments,

the regulations are adopted as revised by

this Treasury decision. The revisions and

significant comments are discussed

below.

ACTION: Final regulations.

Explanation of Revisions

SUMMARY: This document contains

final regulations under section 1059(e) of

the Internal Revenue Code. The final regulations clarify that certain distributions

in redemption of stock held by a corporate

shareholder are treated as extraordinary

dividends notwithstanding provisions that

otherwise might exempt the distributions

from extraordinary dividend treatment.

Corporations that receive a distribution in

redemption of stock may be affected if the

redemption is either part of a partial liquidation of the redeeming corporation or is

not pro rata as to all shareholders. The

Section 1.1059(e)–1(b) of the proposed

regulations provides that for purposes of

section 1059(e)(1), an exchange under

section 356(a)(1) is treated as a redemption and, to the extent any amount is

treated as a dividend under section

356(a)(2), it is treated as a dividend under

section 301. One practitioner questioned

whether §1.1059(e)–1(b) applies to exchanges for section 306 stock that are

treated as section 301 distributions under

section 356(e). The final regulations clarify that for purposes of section

1059(e)(1), all exchanges under section

4

1997–36 I.R.B.

356 are treated as redemptions and all

amounts treated as a dividend under section 356(a)(2) are treated as dividends

under section 301. Accordingly, the final

regulations delete the reference to subsection (a)(1) of section 356.

Section 1.1059(e)–1 also issued under 26

U.S.C. 1059(e)(1) and (e)(2). * * *

Par. 2. In §1.302–2, paragraph (c) introductory text is amended by adding a

sentence immediately following the first

sentence to read as follows:

Acting Assistant Secretary of

Special Analyses

§1.302–2 Redemptions not taxable as

dividends.

(Filed by the Office of the Federal Register on July

15, 1997, 8:45 a.m., and published in the issue of the

Federal Register for July 16, 1997, 62 F.R. 38027)

It has been determined that this Treasury decision 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

the regulation does not impose a collection of information 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, the notice of proposed rulemaking

preceding these regulations was submitted to the Chief Counsel for Advocacy of

the Small Business Administration for

comment on its impact on small business.

Drafting Information

The principal author of these regulations is Richard K. Passales, Office of Assistant Chief Counsel (Corporate), IRS.

However, other personnel from the IRS

and Treasury Department participated in

their development.

*

*

*

*

*

Adoption of Amendments to the Regulations

Accordingly, 26 CFR part 1 is amended

as follows:

PART 1—INCOME TAXES

Paragraph 1. The authority citation for

part 1 is amended by adding an entry in

numerical order to read as follows:

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

1997–36 I.R.B.

*

*

*

*

*

(c) * * * (For adjustments to basis required for certain redemptions of corporate shareholders that are treated as extraordinary dividends, see section 1059 and

the regulations thereunder.) * * *

*

*

*

*

*

Par. 3. Section 1.1059(e)–1 is added to

read as follows:

§1.1059(e)–1 Non-pro rata redemptions.

(a) In general. Section 1059(d)(6) (exception where stock held during entire existence of corporation) and section

1059(e)(2) (qualifying dividends) do not

apply to any distribution treated as an extraordinary dividend under section

1059(e)(1). For example, if a redemption

of stock is not pro rata as to all shareholders, any amount treated as a dividend

under section 301 is treated as an extraordinary dividend regardless of whether the

dividend is a qualifying dividend.

(b) Reorganizations. For purposes of

section 1059(e)(1), any exchange under

section 356 is treated as a redemption

and, to the extent any amount is treated as

a dividend under section 356(a)(2), it is

treated as a dividend under section 301.

(c) Effective date. This section applies

to distributions announced (within the

meaning of section 1059(d)(5)) on or after

June 17, 1996.

Michael P. Dolan,

Acting Commissioner of

Internal Revenue.

Approved June 27, 1997.

5

Donald C. Lubick,

the Treasury.

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.)

Federal rates; adjusted federal rates;

adjusted federal long-term rate, and

the long-term exempt rate. For purposes

of section 1274, 1288, 382, and other sections of the Code, tables set forth the rates

for September 1997.

Rev. Rul. 97–36

This revenue ruling provides various

prescribed rates for federal income tax

purposes for September 1997 (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.

September 8, 1997

REV. RUL. 97–36 TABLE 1

Applicable Federal Rates (AFR) for September 1997

Period for Compounding

Annual

Semiannual

Quarterly

Monthly

Short-Term

AFR

110% AFR

120% AFR

130% AFR

5.81%

6.40%

7.00%

7.59%

5.73%

6.30%

6.88%

7.45%

5.69%

6.25%

6.82%

7.38%

5.66%

6.22%

6.78%

7.34%

Mid-Term

AFR

110% AFR

120% AFR

130% AFR

150% AFR

175% AFR

6.23%

6.86%

7.51%

8.14%

9.42%

11.04%

6.14%

6.75%

7.37%

7.98%

9.21%

10.75%

6.09%

6.69%

7.30%

7.90%

9.11%

10.61%

6.06%

6.66%

7.26%

7.85%

9.04%

10.52%

Long-Term

AFR

110% AFR

120% AFR

130% AFR

6.55%

7.23%

7.89%

8.57%

6.45%

7.10%

7.74%

8.39%

6.40%

7.04%

7.67%

8.30%

6.36%

7.00%

7.62%

8.25%

REV. RUL. 97–36 TABLE 2

Adjusted AFR for September 1997

Period for Compounding

Annual

Semiannual

Quarterly

Monthly

Short-term

adjusted AFR

3.94%

3.90%

3.88%

3.87%

Mid-term

adjusted AFR

4.28%

4.24%

4.22%

4.20%

Long-term

adjusted AFR

5.09%

5.03%

5.00%

4.98%

REV. RUL. 97–36 TABLE 3

Rates Under Section 382 for September 1997

Adjusted federal long-term rate for the current month

5.09%

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.)

5.45%

September 8, 1997

6

1997–36 I.R.B.

REV. RUL. 97–36 TABLE 4

Appropriate Percentages Under Section 42(b)(2) for September 1997

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

8.50%

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

3.64%

REV. RUL. 97–36 TABLE 5

Rate Under Section 7520 for September 1997

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 TaxExempt Obligations

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

of September 1997. See Rev. Rul. 97–36, page 5.

1997–36 I.R.B.

Section 7520.—Valuation

Tables

The adjusted applicable federal short-term,

mid-term, and long-term rates are set forth for the

month of September 1997. See Rev. Rul. 97–36,

page 5.

7

7.6%

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 September 1997. See Rev. Rul. 97–36, page 5.

September 8, 1997

Part III. Administrative, Procedural, and Miscellaneous

Electing Small Business Trusts

Notice 97–49

BACKGROUND

Section 1302 of the Small Business Job

Protection Act of 1996, Pub. L. No.

104–188, 110 Stat. 1755 (1996), amended

§ 1361 of the Internal Revenue Code to

permit an electing small business trust

(ESBT) to be a shareholder of an S corporation. This notice provides guidance regarding the definitions of beneficiary and

potential current beneficiary under §§

1361(e)(1)(A)(i) and 1361(e)(2) respectively, and the ordering of ESBT distributions under § 641(d).

Only a corporation that meets the definition of a small business corporation

may be an S corporation. To be a small

business corporation, the corporation may

have as shareholders only those persons

permitted by § 1361(b)(1), including

trusts described in § 1361(c)(2). Section

1361(c)(2) contains two separate provisions. The first provision is a requirement

that the trust holding stock in the corporation must be a trust listed in §

1361(c)(2)(A) (e.g., ESBT, qualified subchapter S trust, etc.). Under the second

provision, the respective persons listed in

§ 1361(c)(2)(B) are treated as shareholders of the S corporation for purposes of

the shareholder restrictions under §

1361(b)(1). To qualify as an ESBT (an eligible trust under § 1361(c)(2)(A)(v)), a

trust must meet the requirements set forth

in § 1361(e)(1) (including the limitation

on the types of beneficiaries). Pursuant to

§ 1361(c)(2)(B)(v), the ESBT’s potential

current beneficiaries (as defined in §

1361(e)(2)) must be qualifying shareholders of the S corporation for purposes of §

1361(b)(1).

As used in this notice, the term “distributee trust” means a trust that is receiving or may receive a distribution from an

intended ESBT, whether the rights to receive the distribution are fixed or contingent, or immediate or deferred.

person other than (I) an individual, (II) an

estate, or (III) an organization described

in paragraph (2), (3), (4), or (5) of section

170(c), which holds a contingent interest

and is not a potential current beneficiary.

For tax years beginning after December

31, 1997, the clause “which holds a contingent interest and is not a potential current beneficiary” is deleted. Section

1361(e) does not provide a specific definition of the term “beneficiary”.

Solely for purposes of section

1361(e)(1)(A)(i), the following rules

apply in defining the term “beneficiary”:

1. The term “beneficiary” does not include a distributee trust (other than a trust

described in paragraphs (2) or (3) of §

170(c)), but does include those persons

who have a beneficial interest in the property held by the distributee trust. For example, an intended ESBT’s governing instrument provides for discretionary

distributions of income or principal to A

for life, and upon A’s death the division of

the remainder into separate trusts for the

benefit of A’s children. For purposes of §

1361(e)(1)(A)(i), the beneficiaries of the

intended ESBT are A and A’s children,

and not the separate trusts for the benefit

of A’s children. Therefore, because all the

beneficiaries of the intended ESBT are individuals, the intended ESBT meets the

requirements of § 1361(e)(1)(A)(i).

2. The term “beneficiary” does not include a person in whose favor a power of

appointment could be exercised. Such a

person becomes a beneficiary only when

the holder of the power of appointment

actually exercises the power of appointment in such person’s favor.

3. The term “beneficiary” does not include a person whose contingent interest

is so remote as to be negligible. For example, except in unusual circumstances,

the contingent interest a State has under

its laws pertaining to escheat would be

considered negligible, and the State

would not be considered a beneficiary of

the intended ESBT.

ESBT POTENTIAL CURRENT

BENEFICIARIES

ESBT BENEFICIARIES

Section 1361(e)(1)(A)(i) provides that an

ESBT may not have as a beneficiary any

September 8, 1997

Section 1361(c)(2)(B)(v) provides that

each potential current beneficiary of an

ESBT shall be treated as a shareholder for

8

purposes of determining whether a corporation qualifies as a small business corporation, except that the trust is treated as

the shareholder for any period in which

there is no potential current beneficiary.

Section 1361(e)(2) provides that, for

purposes of § 1361, the term “potential

current beneficiary” means, with respect

to any period, any person who at any time

during such period is entitled to, or at the

discretion of any person may receive, a

distribution from the principal or income

of the trust. Section 7701(a)(1) defines

person to include a trust for all purposes

of the Code where not otherwise distinctly expressed or manifestly incompatible with the intent of the specific provision.

For purposes of § 1361, the following

rules apply in defining the term “potential

current beneficiary”:

1. If a distributee trust becomes entitled

to, or at the discretion of any person may

receive, a distribution from principal or

income of the intended ESBT, then the S

corporation election will terminate unless

the distributee trust is a trust described in

§ 1361(c)(2)(A) (e.g., ESBT, qualified

subchapter S trust, etc.). In addition, if

the distributee trust is a trust described in

§ 1361(c)(2)(A), the persons described in

§ 1361(c)(2)(B) are treated as shareholders of the corporation for purposes of determining whether the shareholder restrictions under § 1361(b)(1) are met. In the

above example involving the distributee

trusts for A’s children, the distributee

trusts for A’s children will become entitled to receive distributions from the

ESBT upon A’s death. At such time, the S

corporation election will terminate unless

(i) the distributee trusts are trusts described in § 1361(c)(2)(A), and (ii) the

persons described in § 1361(c)(2)(B),

with respect to the distributee trusts, satisfy the shareholder restrictions in §

1361(b)(1). If, for example, the distributee trusts are qualified subchapter S trusts,

and A’s children are the current income

beneficiaries, A’s children are treated as

shareholders of the corporation for purposes of satisfying the shareholder restrictions under § 1361(b)(1).

2. A person who is entitled to receive a

distribution only after a specified time or

upon the occurrence of a specified event

1997–36 I.R.B.

(such as the death of the holder of the

power of appointment) is not a potential

current beneficiary until such time or the

occurrence of such event. Whether a person to whom a distribution is or may be

made during a period pursuant to a power

of appointment is a potential current beneficiary is currently under study.

ESBT DISTRIBUTIONS

Section 641(d)(1) provides that the portion of an ESBT that consists of stock in

one or more S corporations (“S portion”)

is taxed as a separate trust. Section

641(d)(2)(C) specifies that the only items

of income, loss, deduction, or credit to be

taken into account by the S portion (“S

portion items”) are (i) the items required

to be taken into account under § 1366; (ii)

any gain or loss from the disposition of

stock in an S corporation; and (iii) to the

extent provided in regulations, State or

1997–36 I.R.B.

local income taxes or administrative expenses to the extent allocable to items described in clauses (i) and (ii).

Section 641(d)(3) provides that the S

portion items are excluded for purposes of

determining the amount of tax on the portion of the trust that is not treated as a separate trust under § 641(d)(1) (“non-S portion”) and are excluded in determining the

distributable net income (DNI) of the entire trust. Section 641(d)(3) also provides

that, except as otherwise provided, §

641(d) does not affect the taxation of any

distribution from the trust.

Guidance has been requested on the

treatment of distributions from an ESBT

when the trust has fiduciary accounting

income in both the S portion and the nonS portion of the trust. Section 641(d)(3)

specifically provides that, except as otherwise specified, § 641(d) does not change

the taxation of any distribution from the

trust. Because the S portion items are not

9

included in the computation of the

ESBT’s DNI, they are treated for purposes of determining the treatment of

trust distributions in the same manner as

any other item that does not enter into the

DNI computation (e.g., capital gains and

losses allocated to corpus). For example,

for the tax year an ESBT has $40 of DNI

from the non-S portion and $70 of net

fiduciary accounting income from the S

portion. If the ESBT makes a distribution

of $100, the distribution includes $40 of

DNI.

DRAFTING INFORMATION

The principal author of this notice is

Steven R. Schneider of the Office of Assistant Chief Counsel (Passthroughs and

Special Industries). For further information regarding this notice contact Steven

R. Schneider at (202) 622-3060 (not a

toll-free call).

September 8, 1997

Part IV. Items of General Interest

Employee Plans and Exempt

Organizations; Requests for

Certain Determination Letters

and Applications for Recognition

of Exemption

Announcement 97–89

Purpose

This is to announce new “Where to

File” instructions for applications for employee plan determination and other letters, as well as exempt organization applications for recognition of exemption from

federal income tax, previously submitted

to the Brooklyn Key District Office of Internal Revenue.

Background

The Internal Revenue Service is in the

process of centralizing the filing of requests for determination and other letters

and applications for recognition of tax exemption. Announcement 95–51, published in Internal Revenue Bulletin 199525 at page 132, announced that

centralization will be phased in by district. We previously announced the centralization of determination requests formerly sent to the key district offices in

Atlanta, Georgia; Baltimore, Maryland;

Chicago, Illinois; Dallas, Texas; and Los

Angeles, California. With the addition of

the Brooklyn Key District, centralization

of the initial processing of all employee

plan determination letter requests and exempt organization applications for recognition of exemption is complete.

In addition, the Service is consolidating

the employee plan volume submitter and

regional prototype programs that are

presently maintained by each individual

key district office. Plans previously approved by a key district office, whose determination letter processing program is

being transferred to Cincinnati, will be reviewed using the same criteria and procedures used by the original district office.

New guidelines are being developed that

will combine the best features and procedures currently in use by the districts.

Guidelines for the revised volume submitter and regional prototype programs will

be explained in a future announcement.

September 8, 1997

Instructions

Beginning October 1, 1997, letter requests and applications previously submitted to the Key District Office in

Brooklyn, New York, should be sent to

the Internal Revenue Service Center in

Covington, Kentucky, at the address

shown below. (For a period of time, requests and applications mistakenly sent to

the Brooklyn Key District Office will be

forwarded.) The new address applies to

requests for determination letters, regional prototype notification letters and

volume submitter advisory letters, on the

qualified status of employee plans under

sections 401, 403(a), and 409, and the exempt status of any related trust under section 501 of the Internal Revenue Code,

applications for recognition of tax exemption on Form 1023, Form 1024, and Form

1028, and other applications for recognition of qualification or exemption. The

affected plan sponsors and organizations

are those whose principal office or place

of business is located in Connecticut,

Maine, Massachusetts, New Hampshire,

New York, Rhode Island, and Vermont.

These requests and applications as well as

those formerly submitted to the Atlanta,

Baltimore, Cincinnati, Chicago, Dallas,

and Los Angeles Key Districts, should be

sent to:

Internal Revenue Service

P.O. Box 192

Covington, KY 41012-0192

Applications shipped by Express Mail

or a delivery service should be sent to:

Internal Revenue Service

201 West Rivercenter Blvd.

Attn: Extracting Stop 312

Covington, KY 41011

Comments or concerns regarding the

centralization of the determination

process or applications submitted to the

Covington address, may be directed to the

EP/EO Customer Service Unit in Cincinnati at (513) 241-5199 (not a toll-free

number).

10

Foundations Status of Certain

Organizations

Announcement 97–90

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:

Advanced Management Institute,

Bethesda, MD

Alliance for Community Entry, Inc.,

Cambridge, MA

The Alterra Connection, Downey, CA

American Disability Fund, Inc.,

Uniondale, NY

American Friends of Ashod Community

Center, Brooklyn, NY

Art & Knowledge Workshop, Inc., New

York, NY

The Associate Artists Opera Company of

New England, Inc. Newtonville, MA

Associated Family Developers, Inc., La

Porte, TX

Association for Multicultural Education

Development, Oklahoma City, OK

Association of Philippine Ophthalmologists

in America, Inc., Rochester, MI

Association of Philippine Ophthalmologists

in America Auxiliary, Rochester, MI

Association of State and Territorial

Chronic Disease Program Directors,

Topeka, KS

Atlantic Cancer Research Foundation,

Inc., Westhampton Beach, NY

Atlantic Coast Chapter of the League of

World War I Aero History, Fair Lawn,

NJ

Auburn-Opelika Sports Corporation,

Auburn, AL

1997–36 I.R.B.

Aya, Inc., Bronx, NY

Bergen Girls Recreational Softball

League, Inc., Montvale, NJ

Cambridge Theatre Company, Inc.,

Cambridge, MA

Capital Philharmonic, Inc., Albany, NY

Carousel Theater Company, Incorporated,

New York, NY

Centre for Liberian Assistance Inc.,

Rancho Dominquez, CA

Christian Outreach and Service Inc.,

Atlanta, GA

Chula Vista Housing Corporation, Santa

Ana, CA

Classical Productions, Peekskill, NY

Clear and Present Productions, Inc., New

York, NY

Common Ground Stage and Film

Company, Inc., New York, NY

Connecticut Yankees Youth Hockey, Inc.,

Stamford, CT

Consumer Budget Counseling, Inc., Great

Neck, NY

Danbury Band Aids, Inc., Danbury, CT

David Layne Ministries Inc., Farmville,

VA

Dayton Prison Ministries, Dayton, TX

Delight Nutrition, Spring, TX

Eledra Fund, Inc., Bronx, NY

Emerson Lights Inc., Emerson, NJ

Exchange Club Center for the Prevention

of Child Abuse of Montgomery County,

Montgomery, AL

Family Worship Center Church Inc.,

Penns Grove, NJ

First Night Manassas Inc., Manassas, VA

Geri-Games Inc., New Braunfels, TX

Green River Senior Babe Ruth League

Inc., Green River, WY

Hamaayan-The Torah Spring Inc., Silver

Spring, MD

Health for All Inc. DBA Ulster Project,

Tucson, AZ

Jacobs Athletic Association, Chesterfield,

VA

Jow Lung Fund, Washington, DC

Juniper Tenth Street Resident

Management Corporation, Atlanta, GA

LCH Inc., Ripley, MS

Leadville Community Broadcast

Association, Inc., Leadville, CO

Mount Lemmon Volunteer Interpreters,

Tucson, AZ

New Jersey Activity Professionals

Association, Ringwood, NJ

Northwest Ohio Prison Ministries Inc.,

Lima, OH

Paw-People for Animal Welfare,

1997–36 I.R.B.

Washington, PA

Pennsylvania Rep Company Inc.,

Stroudsburg, PA

Plymouth Downtown Development

Association, Plymouth, NC

Potters House Inc., Washington, DC

Rapides DARE Inc., Alexandria, LA

Return-A-Gift Inc., Greencastle, IN

Rose Tree Colts Inc., Media, PA

Salisbury Club, St. Louis, MO

Sierra Leone National Council Inc.,

Washington, DC

Spearfish Youth Baseball Assoc. Inc.,

Spearfish, SD

South Memphis Child Development

Center, Memphis, TN

Tennessee Association of Housing &

Redevelopment Authorities, Nashville,

TN

Visions Entertainment Concepts Inc.,

Washington, DC

Way Station, Parker, CO

Whitefish Bay Public Education

Foundation, Inc., Milwaukee, WI

World Peace Foundation Inc., Tampa, FL

Wyoming Lighthouse Inc., Laramie, WY

Youth Panorama Inc., Tucumari, NM

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.

Inbound Grantor Trusts With

Foreign Grantors; Correction

Announcement 97–93

AGENCY: Internal Revenue Service,

Treasury

ACTION: Correction to a notice of proposed rulemaking and notice of public

hearing

SUMMARY: This document contains

corrections to the notice of proposed rulemaking and notice of public hearing

11

(REG–252487–96 [1997–25 I.R.B. 9]),

which was published in the Federal Register Thursday, June 5, 1997 (62 F.R.

30785), relating to the application of the

grantor trust rules to certain trusts established by foreign persons.

FOR FURTHER INFORMATION CONTACT: James Quinn, (202) 622-3060

(not a toll-free number).

SUPPLEMENTARY INFORMATION:

Background

The notice of proposed rulemaking and

notice of public hearing that is the subject

of these corrections is under sections 643,

671 and 672 of the Internal Revenue

Code.

Need for Correction

As published, REG-252487–96 contain

errors which may prove to be misleading

and are in need of clarification.

Correction of Publication

Accordingly, the publication of the notice of proposed rulemaking and notice of

public hearing (REG-252487–96), which

was the subject of F.R. Doc. 97–14735, is

corrected as follows:

1. On page 30786, column 1, in the

preamble under the paragraph heading

“1. Prior Law”, paragraph 2, line 5, the

language “the grantor, a distribution of income” is corrected to read “the owner, a

distribution of income”.

2. On page 30787, column 2, in the

preamble under the paragraph heading

“3. Section 1.672(f)–1: Foreign Persons

Not Treated as Owners”, fourth full paragraph in the column, line 7, the language

“basic grantor trust rules from treating a”

is corrected to read “basic grantor trust

rules from treating a foreign”.

§ 1.672(f)–2 [Corrected]

3. On page 30793, column 1, §

1.672(f)–2 (d), Example 3, second line

from the bottom of the column, the language “no deductions or losses for 199X.

Under” is corrected to read “no deductions or losses for 1999. Under”.

4. On page 30793, column 2, §

1.672(f)–2, paragraph (d) is correctly designated as paragraph (e).

September 8, 1997

§ 1.672(f)–3 [Corrected]

5. On page 30793, column 3, §

1.672(f)–3 (a)(3), Example 1, line 1, the

paragraph heading “Owner is grantor.” is

corrected to read “Death of Grantor.”

6. On page 30793, column 3, §

1.672(f)–3 (a)(3), Example 2, line 1, the

paragraph heading “Owner not grantor.”

is corrected to read “Death of grantor”.

§ 1.672(f)–4 [Corrected]

7. On page 30795, column 3, §

1.672(f)–4 (d), line 6, the language

“value) to a person who is not a partner”

is corrected to read “value, within the

meaning of § 1.671-2 (e)(4)(i)(A)) to a

person who is not a partner”.

Cynthia E. Grigsby,

Chief, Regulations Unit

Assistant Chief Counsel (Corporate).

(Filed by the Office of the Federal Register on July

14, 1997, 8:45 a.m., and published in the issue of the

Federal Register for July 15, 1997, 62 F.R. 37819)

Inbound Grantor Trusts With

Foreign Grantors; Correction to

Correction

Announcement 97–94

AGENCY: Internal Revenue Service,

Treasury.

ACTION: Correction to correction of a

notice of proposed rulemaking and notice

of public hearing.

SUMMARY: This document contains

corrections to the correction of the proposed rulemaking and notice of public

hearing (REG-252487–96), which was

published in the Federal Register Tuesday, July 15, 1997 (62 F.R. 37819), relating to the application of the grantor trust

rules to certain trusts established by foreign persons.

FOR FURTHER INFORMATION CONTACT: M. Grace Fleeman (202) 6223850 (not a toll-free number).

The correction notice that is the subject

of this correction contains corrections to

the notice of proposed rulemaking and

notice of public hearing under sections

643, 671 and 672 of the Internal Revenue

Code.

Need for Correction

As published, the correction notice for

REG-252487–96 contains errors which

may prove to be misleading and are in

need of clarification.

Correction of Publication

Accordingly, the publication of the correction to notice of proposed rulemaking

and notice of public hearing (REG252487–96), which was the subject of F.R.

Doc. 97–18444, is corrected as follows:

1. On page 37819, column 1 in the preamble under the caption FOR FURTHER

INFORMATION CONTACT: the language “James Quinn, (202) 622-3060 (not

a toll-free number).” is corrected to read

“M. Grace Fleeman (202) 622-3850 (not a

toll-free number).”

§ 1.672(f)–3 [Corrected]

2. On page 37819, column 2, §

1.672(f)–3, amendatory instruction, last

two lines, the language “paragraph heading ‘Owner is grantor.’ is corrected to

read ‘Death of grantor.’” is corrected to

read “paragraph heading ‘Owner is

grantor.’” is corrected to read ‘Grantor is

owner.’”.

Cynthia E. Grigsby,

Chief, Regulations Unit

Assistant Chief Counsel

(Corporate).

(Filed by the Office of the Federal Register on July

25, 1997, 8:45 a.m., and published in the issue of the

Federal Register for July 28, 1997, 62 F.R. 40316)

Permitted Elimination of

Preretirement Optional Forms of

Benefits; Hearing

September 8, 1997

ADDRESSES: The public hearing originally scheduled in the IRS Auditorium,

7400 Corridor, Internal Revenue Building,

1111 Constitution Avenue, NW, Washington, DC is changed to room 2615, Internal

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

FOR FURTHER INFORMATION CONTACT: Mike Slaughter of the Regulations

Unit, Assistant Chief Counsel (Corporate),

(202) 622-7190 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

A notice of proposed rulemaking and notice of public hearing appearing in the

Federal Register on Wednesday, July 2,

1997 (62 F.R. 35752 [REG–107644–97,

1997–32 I.R.B. 24]), announced that a

public hearing relating to proposed regulations under section 411 (d) of the Internal Revenue Code will be held Tuesday,

October 28, 1997, beginning at 10:00 a.m.

in the IRS Auditorium, 7400 Corridor, Internal Revenue Building, 111 Constitution

Avenue NW, Washington, DC and that requests to speak and outlines of oral comments should be received by Tuesday,

September 30, 1997.

The location of the public hearing has

changed. The hearing is being held in

room 2615 on Tuesday, October 28, 1997,

beginning at 10:00 a.m. The requests to

speak and outlines of oral comments

should have been received by Tuesday,

September 30, 1997. Because of controlled access restrictions, attenders cannot be admitted beyond the lobby of the

Internal Revenue Building until 9:45 a.m.

Copies of the agenda are available free

of charge at the hearing.

Announcement 97–95

AGENCY: Internal Revenue Service,

Treasury.

SUPPLEMENTARY INFORMATION:

Background

SUMMARY: This document changes the

location of the public hearing on proposed

regulations that would permit an amendment to a qualified plan that eliminates certain Preretirement optional forms of benefit.

DATES: The public hearing is being held

on Tuesday, October 28, 1997, beginning

at 10:00 a.m.

ACTION: Change of location of public

hearing.

12

Cynthia E. Grigsby,

Chief, Regulations Unit

Assistant Chief Counsel

(Corporate).

(Filed by the Office of the Federal Register on July

14, 1997, 8:45 a.m., and published in the issue of the

Federal Register for July 15, 1997, 62 F.R. 37818)

1997–36 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.

1997–36 I.R.B.

13

September 8, 1997

Numerical Finding List1

97–41, 1997–33 I.R.B. 5

97–42, 1997–33 I.R.B. 57

Bulletins 1997–27 through 1997–35

Revenue Rulings:

Announcements:

97–27, 1997–27 I.R.B. 4

97–28, 1997–28 I.R.B. 4

97–29, 1997–28 I.R.B. 4

97–30, 1997–31 I.R.B. 12

97–31, 1997–32 I.R.B. 4

97–32, 1997–33 I.R.B. 4

97–33, 1997–34 I.R.B. 4

97–34, 1997–34 I.R.B. 14

97–35, 1997–35 I.R.B. 4

97–61, 1997–29 I.R.B. 13

97–67, 1997–27 I.R.B. 37

97–68, 1997–28 I.R.B. 13

97–69, 1997–28 I.R.B. 13

97–70, 1997–29 I.R.B. 14

97–71, 1997–29 I.R.B. 15

97–72, 1997–29 I.R.B. 15

97–73, 1997–30 I.R.B. 86

97–74, 1997–31 I.R.B. 16

97–75, 1997–32 I.R.B. 28

97–76, 1997–32 I.R.B. 28

97–77, 1997–33 I.R.B. 58

97–78, 1997–34 I.R.B. 11

97–79, 1997–35 I.R.B. 8

97–80, 1997–34 I.R.B. 12

97–81, 1997–34 I.R.B. 12

97–82, 1997–34 I.R.B. 12

97–83, 1997–34 I.R.B. 13

97–84, 1997–34 I.R.B. 13

97–85, 1997–35 I.R.B. 8

97–86, 1997–35 I.R.B. 9

97–87, 1997–35 I.R.B. 9

97–88, 1997–35 I.R.B. 9

Treasury Decisions:

8722, 1997–29 I.R.B. 4

8723, 1997–30 I.R.B. 4

8726, 1997–34 I.R.B. 7

8727, 1997–34 I.R.B. 5

Court Decisions:

2061, 1997–31 I.R.B. 5

2062, 1997–32 I.R.B. 8

Delegation Orders:

172 (Rev. 5), 1997–28 I.R.B. 6

Notices:

97–37, 1997–27 I.R.B. 4

97–38, 1997–27 I.R.B. 8

97–39, 1997–27 I.R.B. 8

97–40, 1997–28 I.R.B. 6

97–41, 1997–28 I.R.B. 6

97–42, 1997–29 I.R.B. 12

97–43, 1997–30 I.R.B. 9

97–44, 1997–31 I.R.B. 15

97–45, 1997–33 I.R.B. 7

97–46, 1997–34 I.R.B. 10

97–47, 1997–35 I.R.B. 5

97–48, 1997–35 I.R.B. 5

Railroad Retirement Quarterly Rate:

1997–28 I.R.B. 5

Proposed Regulations:

REG–104893–97, 1997–29 I.R.B. 13

REG–107644–97, 1997–32 I.R.B. 24

Revenue Procedures:

97–32, 1997–27 I.R.B. 9

97–32A, 1997–34 I.R.B. 10

97–33, 1997–30 I.R.B. 10

97–34, 1997–30 I.R.B. 14

97–35, 1997–33 I.R.B. 11

97–36, 1997–33 I.R.B. 14

97–37, 1997–33 I.R.B. 18

97–38, 1997–33 I.R.B. 43

97–39, 1997–33 I.R.B. 48

97–40, 1997–33 I.R.B. 50

1

A cumulative list of all revenue rulings, revenue

procedures, Treasury decisions, etc., published in

Internal Revenue Bulletins 1997–1 through 1997–26

will be found in Internal Revenue Bulletin 1997–27,

dated July 7, 1997.

September 8, 1997

14

1997–36 I.R.B.

Finding List of Current Action on

1

Previously Published Items

Bulletins 1997–27 through 1997–35

*Denotes entry since last publication

Revenue Procedures:

96–36

Superseded by

97–34, 1997–30 I.R.B. 14

96–42

Superseded by

97–27, 1997–27 I.R.B. 9

97–32

Modified and amplified by

97–32A, 1997–34 I.R.B. 10

Revenue Rulings:

89–42

Supplemented by

97–31, 1997–32 I.R.B. 4

1

A cumulative finding list for previously published

items mentioned in Internal Revenue Bulletins

1997–1 through 1997–26 will be found in Internal

Revenue Bulletin 1997–27, dated July 7, 1997.

1997–36 I.R.B.

15

September 8, 1997

Notes

September 8, 1997

16

1997–36 I.R.B.

Notes

1997–36 I.R.B.

17

September 8, 1997

Notes

September 8, 1997

18

1997–36 I.R.B.

INTERNAL REVENUE BULLETIN

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INTERNAL REVENUE BULLETIN

The Introduction on page 3 describes the purpose and content of this publication. The weekly Internal Revenue Bulletin is sold

on a yearly subscription basis by the Superintendent of Documents. Current subscribers are notified by the Superintendent of

Documents when their subscriptions must be renewed.

CUMULATIVE BULLETINS

The contents of this weekly Bulletin are consolidated semiannually into a permanent, indexed, Cumulative Bulletin. These are

sold on a single copy basis and are not included as part of the subscription to the Internal Revenue Bulletin. Subscribers to the weekly Bulletin are notified when copies of the Cumulative Bulletin are available. Certain issues of Cumulative Bulletins are out of print

and are not available. Persons desiring available Cumulative Bulletins, which are listed on the reverse, may purchase them from the

Superintendent of Documents.

HOW TO ORDER

Check the publications and/or subscription(s) desired on the reverse, complete the order blank, enclose the proper remittance,

detach entire page, and mail to the Superintendent of Documents, U.S. Government Printing Office, Washington, DC 20402. Please

allow two to six weeks, plus mailing time, for delivery.

WE WELCOME COMMENTS ABOUT THE

INTERNAL REVENUE BULLETIN

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