Bulletin No. 1998–23

Internal Revenue

bulletin

Bulletin No. 1998–23

June 8, 1998

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

Announcement 98–45, page 18.

This procedure provides the domestic asset/liability percentages and domestic investment yield percentages that are

necessary for foreign companies conducting insurance business in the United States to compute their minimum effectively connected net investment income.

The Service announces an optional method of reporting

make-up contributions to certain pension plans by employers subject to the Uniformed Services Employment and

Reemployment Rights Act (USERRA). An employer may provide a separate statement to its employees showing

USERRA information instead of reporting this information on

Form W–2.

EXEMPT ORGANIZATIONS

Announcement 98–47, page 5.

Rev. Proc. 98–31, page 9.

Announcement 98–50, page 20.

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

ADMINISTRATIVE

The United States recently exchanged instruments of ratification for new income tax treaties with Austria, Ireland,

South Africa, Switzerland, Thailand, and Turkey and a protocol to the treaty with Canada. This announcement provides

supplemental tables of income tax rates for certain types of

income under these treaties.

Rev. Proc. 98–36, page 10.

Announcement 98–49, page 19.

Magnetic Media/Electronic Filing Program; Form

1040NR. Participants in the Magnetic Media/Electronic Filing Program for Form 1040NR, U.S. Nonresident Alien Income Tax Return, are informed of their obligations to the Internal Revenue Service, taxpayers, and other participants.

Rev. Proc. 97–28 superseded.

This announcement provides the Information Reporting Seminars Schedule that is published each year to inform the public where the seminars for magnetic media/electronic filing

are being held and the telephone numbers they may call to

register. The agenda for the day is also included. A new

schedule is established each year.

Finding Lists begin on page 27.

Announcement of the Consent Voluntary Suspension of Attorneys, Certified Public Accounts, Enrolled Agents, etc., begins on

page 23.

Announcement of the Expedited Suspension of Attorneys, Certified Public Accountants, Enrolled Agents, and Enrolled

Actuaries from Practice before the Internal Revenue Service begins on page 24.

Department of the Treasury

Internal Revenue Service

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.

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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 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.

3

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

Section 6012.—Persons

Required To Make Returns of

Income

Section 6061.—Signing of

Returns and Other

Documents

26 CFR 1.6012–5: Composite return in lieu of

specified form.

26 CFR 1.6061–1: Signing of returns and other

documents by individuals.

For the requirements for participation in the

Magnetic Media/Electronic Filing Program for

Form 1040NR, see Rev. Proc. 98–36, page 10.

For the requirements for participation in the

Magnetic Media/Electronic Filing Program for

Form 1040NR, see Rev. Proc. 98–36, page 10.

June 8, 1998

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1998–23 I.R.B.

Part II. Treaties and Tax Legislation

Subpart A.—Tax Conventions

Supplemental Tables of Income Tax Rates and Exempt Personal Service Income Under New Income

Tax Treaties and Protocols

Announcement 98–47

The United States recently exchanged instruments of ratification for new income tax treaties with the following countries. This

table shows the effective dates of those new treaties.

Canada. The United States also recently exchanged instruments of ratification for a new protocol with Canada. The protocol

changes the taxation of social security benefits (including tier 1 railroad retirement benefits but not including unemployment benefits). Beginning January 1, 1998, tax will not be withheld from these benefits. In addition, Canadian residents can request refunds of

U.S. tax withheld for 1996 and 1997 from the Canadian government. Contact Revenue Canada for information on the refund procedure.

Tables. The Internal Revenue Service prepared Tables 1 and 2 below, as an aid in determining the taxability of certain types of income under the treaties. Table 1 lists tax rates for investment income such as dividends, interest, and royalties. Table 2 lists the different kinds of personal service income that may be fully or partially exempt from U.S. tax.

These tables are similar in format to Tables 1 and 2 in the 1997 editions of Publication 515, Withholding of Tax on Nonresident

Aliens and Foreign Corporations, and Publication 901, U.S. Tax Treaties. Taxpayers and withholding agents may use these tables

until the Service revises Publications 515 and 901.

National Director,

Tax Forms and

Publications Division

T:FS:FP

1998–23 I.R.B.

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1998–23 I.R.B.

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June 8, 1998

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1998–23 I.R.B.

Part III. Administrative, Procedural, and Miscellaneous

Rev. Proc. 98–31

SECTION 1. PURPOSE

This revenue procedure provides the

domestic asset/liability percentages and

domestic investment yields needed by foreign life insurance companies and foreign

property and liability insurance companies

to compute their minimum effectively

connected net investment income under

section 842(b) of the Internal Revenue

Code for taxable years beginning after December 31, 1996. Instructions are provided for computing foreign insurance

companies’ liabilities for the estimated tax

and installment payments of estimated tax

for taxable years beginning after December 31, 1996. For more specific guidance

regarding the computation of the amount

of net investment income to be included

by a foreign insurance company on its

U.S. income tax return, see Notice 89–96,

1989–2 C.B. 417. For the domestic

asset/liability percentage and domestic investment yield, as well as instructions for

computing foreign insurance companies’

liabilities for estimated tax and installment

payments of estimated tax for taxable

years beginning after December 31, 1995,

see Rev. Proc. 97–16, 1997–5 I.R.B. 25.

SECTION 2. CHANGES

.01 DOMESTIC ASSET/LIABILITY

PERCENTAGES FOR 1997. The Secretary determines the domestic asset/liability percentage separately for life insurance companies and property and liability

insurance companies. For the first taxable

year beginning after December 31, 1996,

the relevant domestic asset/liability percentages are:

117.3 percent for foreign life insurance companies, and

174.9 percent for foreign property

and liability insurance companies.

.02 DOMESTIC INVESTMENT

YIELDS FOR 1997. The Secretary is required to prescribe separate domestic investment yields for foreign life insurance

companies and for foreign property and

liability insurance companies. For the

first taxable year beginning after December 31, 1996, the relevant domestic investment yields are:

1998–23 I.R.B.

7.5 percent for foreign life insurance

companies, and

5.9 percent for foreign property and

liability insurance companies.

.03 SOURCE OF DATA FOR 1997.

The 842(b) percentages to be used for the

1997 tax year are based on tax return data.

For recent years prior to 1997, the asset/liability percentage for life insurance companies was based upon annual statement

data while the domestic investment yield

was based upon tax return data. Both the

asset/liability percentage and the domestic

investment yield for property and liability

companies have been based upon tax return data for several years. The use of tax

return data provides asset/liability percentages that are more consistent with the domestic investment yield that is also based

on tax return data. The tax return data

needed to calculate asset/liability percentages have been available for several years,

however, the conversion from annual

statement to tax data had been delayed

until the time that the switch was favorable to taxpayers. Taxable year 1997 is

the first year since the availability of taxreturn based, asset/liability data that the

switch would be favorable to taxpayers.

All percentages for future tax years will be

based on tax return data.

With regard to future updates of the

section 842(b) percentages, the Service is

considering the use of statistical sampling

techniques to collect data from the tax returns of domestic insurance companies.

The sampling technique under consideration is the same used to select insurance

company tax returns in IRS Statistics Division’s Publication 16. Section 3 of that

publication describes the sampling procedure. The Service solicits comments addressing the use of this statistical sampling technique to calculate the section

842(b) percentages from tax data. Comments may be addressed to CC:DOM:

CORP:R (Rev. Proc. 98–31), Room 5228,

Internal Revenue Service, POB 7604, Ben

Franklin Station, Washington, DC 20044.

In the alternative, comments may be

hand-delivered between the hours of 8

a.m. and 5 p.m. to CC:DOM:CORP:R

(Rev. Proc. 98–31), Courier’s Desk, Internal Revenue Service, 1111 Constitution

Avenue, NW, Washington, DC.

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SECTION 3. APPLICATION—

ESTIMATED TAXES

To compute estimated tax and the installment payments of estimated tax due

for taxable years beginning after December 31, 1996, a foreign insurance company must compute its estimated tax payments by adding to its income other than

net investment income the greater of (i)

its net investment income as determined

under section 842(b)(5), that is actually

effectively connected with the conduct of

a trade or business within the United

States for the relevant period, or (ii) the

minimum effectively connected net investment income under section 842(b)

that would result from using the most recently available domestic asset/liability

percentage and domestic investment

yield. Thus, for installment payments due

after the release of this revenue procedure, the domestic asset/liability percentages and the domestic investment yields

provided in this revenue procedure must

be used to compute the minimum effectively connected net investment income.

However, if the due date of an installment

is less than 20 days after the date this revenue procedure is published in the Internal Revenue Bulletin, the asset/liability

percentages and domestic investment

yields provided in Rev. Proc. 97–16 may

be used to compute the minimum effectively connected net investment income

for such installment. For further guidance

in computing estimated tax, see Notice

89–96.

SECTION 4. EFFECTIVE DATE

This revenue procedure is effective for

taxable years beginning after December

31, 1996.

DRAFTING INFORMATION

The principal author of this revenue

procedure is Roger M. Brown of the Office of the Associate Chief Counsel (International). For further information regarding this revenue procedure, please contact

Mr. Brown at (202) 622-3870 (not a tollfree call), or write to the Internal Revenue

Service, Office of the Associate Chief

Counsel (International), 1111 Constitution Avenue, NW, Washington, DC

June 8, 1998

20224, Attention: CC:INTL:Br5, Room

4562.

26 CFR 601.602 : Tax forms and instructions.

(Also Part I, sections 6012, 6061; 1.6012–5,

1.6061–1.)

Rev. Proc. 98–36

CONTENTS

PURPOSE

BACKGROUND AND

CHANGES

SECTION 3 1040NR PROGRAM

PARTICIPANTS—DEFINITIONS

SECTION 4 ACCEPTANCE INTO

THE 1040NR PROGRAM

SECTION 5 RESPONSIBILITIES OF

A 1040NR FILER

SECTION 6 PENALTIES

SECTION 7 FORM 8453-NR, U.S.

NONRESIDENT ALIEN

INCOME TAX DECLARATION FOR MAGNETIC MEDIA FILING

SECTION 8 INFORMATION

A

1040NR FILER MUST

PROVIDE TO THE TAXPAYER

SECTION 9 DIRECT DEPOSIT OF

REFUNDS

SECTION 10 BALANCE DUE RETURNS

SECTION 11 ADVERTISING STANDARDS FOR 1040NR

FILERS AND FINANCIAL INSTITUTIONS

SECTION 12 MONITORING AND

SUSPENSION OF A

1040NR FILER

SECTION 13 ADMINISTRATIVE REVIEW PROCESS FOR

DENIAL OF PARTICIPATION IN THE 1040NR

PROGRAM

SECTION 14 ADMINISTRATIVE REVIEW PROCESS FOR

SUSPENSION FROM

THE 1040NR PROGRAM

SECTION 15 EFFECT ON OTHER

DOCUMENTS

SECTION 16 EFFECTIVE DATE

SECTION 17 PROJECT OFFICE INFORMATION

SECTION 1

SECTION 2

June 8, 1998

SECTION 1. PURPOSE

This revenue procedure informs those

who participate in the Magnetic

Media/Electronic Filing Program for

Form 1040NR, U.S. Nonresident Alien

Income Tax Return (“1040NR Program”),

of their obligations to the Internal Revenue Service, taxpayers, and other participants. This revenue procedure updates

and supersedes Rev. Proc. 97–28, 1997–1

C.B. 691.

SECTION 2. BACKGROUND AND

CHANGES

.01 Section 1.6012–5 of the Income

Tax Regulations provides that the Commissioner may authorize the use, at the

option of a person required to make a return, of a composite return in lieu of any

form specified in 26 CFR Part 1 (Income

Tax), subject to the conditions, limitations, and special rules governing the

preparation, execution, filing, and correction thereof as the Commissioner may

deem appropriate.

.02 For purposes of this revenue procedure, a magnetically or electronically

filed Form 1040NR is a composite return

consisting of data submitted on magnetic

tape, floppy disk, or via modem (the “data

portion”), and certain paper documents

(the “paper portion”). The paper portion

of the return consists of a Form 8453–NR,

U.S. Nonresident Alien Income Tax Declaration for Magnetic Media Filing, and

other paper documents that cannot be

filed magnetically or electronically. Form

8453–NR must be received by the Service

before any composite return is complete

(see section 5.07 of this revenue procedure). A composite return must contain

the same information that a return filed

completely on paper contains. See section 7 of this revenue procedure for procedures for completing Form 8453–NR.

.03 The Magnetic Media Project Office

(“Project Office”, see section 17 of this

revenue procedure for the address and

telephone numbers) will periodically issue

a list of the forms and schedules that can

be magnetically or electronically filed.

.04 A Form 1040NR with a zero balance, balance due, or refund due may be

magnetically or electronically filed.

.05 A 1997 Form 1040NR cannot be

filed magnetically or electronically after

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December 4, 1998, notwithstanding the

fact that the taxpayer has been granted an

extension to file beyond that date. Form

2688, Application for Additional Extension of Time To File U.S. Individual Income Tax Return, cannot be filed magnetically or electronically under the 1040NR

Program.

.06 An amended tax return cannot be

filed magnetically or electronically under

the 1040NR Program. A taxpayer must

file an amended tax return on paper in accordance with the instructions for Form

1040X, Amended U.S. Individual Income

Tax Return.

.07 Upon request, the Project Office

will provide technical information (file

specifications, record layouts, and testing

procedures) for filing Form 1040NR magnetically or electronically.

.08 This revenue procedure updates and

supersedes Rev. Proc. 97–28. The updates include changes in the 1040NR Program, clarification of prior 1040NR Program statements, and additional guidance

derived from other Service documents

that relate to the 1040NR Program. Some

of the updates are:

(1) a 1997 Form 1040NR cannot be

filed magnetically or electronically after

December 4, 1998, notwithstanding the

fact that the taxpayer has been granted an

extension to file beyond that date (section

2.05); and

(2) the complete paper copy of the

return furnished to the taxpayer need not

include the social security number of the

paid preparer (section 8.01).

SECTION 3. 1040NR PROGRAM

PARTICIPANTS—DEFINITIONS

.01 After acceptance into the 1040NR

Program, as described in section 4 of this

revenue procedure, a participant is referred to as a “1040NR Filer.”

.02 The 1040NR Filer categories are:

(1) 1040NR RETURN ORIGINATOR. A “1040NR Return Originator” is:

(a) a “1040NR Return Preparer” who prepares tax returns, including Forms 8453–

NR, for taxpayers who intend to have

their returns magnetically or electronically filed; and/or (b) a “1040NR Return

Collector” who accepts completed tax returns, including Forms 8453–NR, from

taxpayers who intend to have their returns

magnetically or electronically filed.

1998–23 I.R.B.

(2) SERVICE BUREAU. A “Service

Bureau” receives tax return information

on any media from a 1040NR Return

Originator, formats the return information, and either (a) sends back the return

information to the 1040NR Return Originator, or (b) forwards the return information to a Transmitter. A Service Bureau

may send Forms 8453–NR to the Service.

(3) SOFTWARE DEVELOPER. A

“Software Developer” develops software

for the purposes of (a) formatting returns

according to the Service’s magnetic or

electronic return filing specifications;

and/or (b) filing returns magnetically or

electronically directly with the Service. A

Software Developer may also sell its software.

(4) TRANSMITTER. A “Transmitter” sends the data portion of a return directly to the Service.

.03 The 1040NR Filer categories are

not mutually exclusive. For example, a

1040NR Return Originator can, at the

same time, be considered a Transmitter,

Software Developer, or Service Bureau

depending on the function(s) performed.

SECTION 4. ACCEPTANCE INTO THE

1040NR PROGRAM

.01 Except as provided in sections 4.02

and 4.03 of this revenue procedure, a

1040NR Filer that has participated in the

most recent 1040NR Program does not

have to reapply to participate in the

1040NR Program. However, a 1040NR

Filer that intends to function as a Transmitter or a Software Developer in the

1040NR Program must first successfully

complete the testing referred to in section

4.06 of this revenue procedure. In addition, section 4.07 of this revenue procedure provides for the Service’s issuance

of credentials necessary for participation

in the 1040NR Program.

.02 Applicants and 1040NR Filers must

file a new Form MAR–8980, Application

for Electronic/Magnetic Media Filing of

Form 1040NR, with the Project Office if:

(1) the applicant has never participated in the 1040NR Program;

(2) the applicant has previously been

denied participation in the 1040NR Program; or

(3) the applicant has been suspended

from the 1040NR Program.

.03 To participate in the 1040NR Program, a 1040NR Filer in the most recent

1998–23 I.R.B.

1040NR Program must submit to the Project Office either a revised Form MAR8980, or a letter containing the same information contained in the revised Form

MAR–8980, if there is any change to the

following information:

(1) the Firm name or Doing Business

As (DBA) name;

(2) the business or mailing address;

(3) the contact person’s name or telephone number; or

(4) the 1040NR Filer category.

.04 Applications described in this section 4.02 may be submitted at any time

during the year.

.05 Revised applications described in

this section 4.03 must be submitted within

30 days of the change(s) reflected on the

revised Form MAR–8980 or in the letter.

.06 A 1040NR Filer may not submit tax

returns under the 1040NR Program until

30 days after it has successfully completed the necessary testing administered

by the Project Office.

.07 The Service will issue credentials to

eligible applicants, 1040NR Filers that do

not have to reapply pursuant to section

4.01 of this revenue procedure, and

1040NR Filers that comply with section

4.02 or 4.03 of this revenue procedure,

provided they have first satisfactorily

completed the testing described in section

4.06 of this revenue procedure if they intend to function as a Transmitter or Software Developer. No one may participate

in the 1040NR Program without the following credentials:

(1) a letter of acceptance into the

1040NR Program; and

(2) a Magnetic Tape 1040NR Filer

Identification Number (MTFIN).

.08 The following reasons may result in

rejection of an application to participate

in the 1040NR Program (this list is not

all-inclusive):

(1) conviction of any criminal offense under the revenue laws of the

United States, or of any offense involving

dishonesty or breach of trust;

(2) failure to timely and accurately

file tax returns, including returns indicating that no tax is due;

(3) failure to timely pay any tax liabilities;

(4) assessment of tax penalties;

(5) suspension/disbarment from

practice before the Service;

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(6) disreputable conduct or other

facts that would reflect adversely on the

1040NR Program;

(7) misrepresentation on an application;

(8) suspension or rejection from the

1040NR Program in a prior year;

(9) unethical practices in return

preparation;

(10) stockpiling returns prior to official acceptance into the 1040NR Program

(see section 5.10 of this revenue procedure);

(11) knowingly and directly or indirectly employing or accepting assistance

from any firm, organization, or individual

that is prohibited from applying to participate in the 1040NR Program (see section

13.09 of this revenue procedure) or that is

suspended from participating in that Program (see section 12.07 of this revenue

procedure). This includes any individual

whose actions resulted in the rejection or

suspension of a corporation or a partnership from the 1040NR Program; or

(12) knowingly and directly or indirectly accepting employment as an associate, correspondent, or as a subagent from,

or sharing fees with, any firm, organization, or individual that is prohibited from

applying to participate in the 1040NR

Program (see section 13.09 of this revenue procedure) or that is suspended from

participating in that Program (see section

12.07 of this revenue procedure). This includes any individual whose actions resulted in the rejection or suspension of a

corporation or a partnership from the

1040NR Program.

SECTION 5. RESPONSIBILITIES OF

A 1040NR FILER

.01 To ensure that complete returns are

accurately and efficiently filed, a 1040NR

Filer must comply with all publications

and notices of the Service related to magnetic or electronic filing. Currently, these

publications and notices include:

(1) Procedures for Magnetic Media

Filing of U.S. Nonresident Alien Income

Tax Returns, Form 1040NR (available

from the Project Office);

(2) File Specifications and Record

Layouts for Magnetic Media Filing of

U.S. Nonresident Alien Income Tax Returns, Form 1040NR (available from the

Project Office); and

June 8, 1998

(3) Postings to the Electronic Filing

System Bulletin Board (EFS Bulletin

Board).

.02 A 1040NR Filer must maintain a

high degree of integrity, compliance, and

accuracy.

.03 A 1040NR Filer may accept returns

for magnetic or electronic filing only

from the taxpayer filing the return, a representative of the taxpayer filing the return, or from another 1040NR Filer.

.04 If a 1040NR Filer charges a fee for

the submission of a magnetically or electronically filed tax return, the fee may not

be based on a percentage of the refund

amount or any other amount from the tax

return. A 1040NR Filer may not charge a

separate fee for Direct Deposit. See section 9 of this revenue procedure for a discussion of Direct Deposit.

.05 A 1040NR Filer must submit a revised Form MAR–8980 to the Project Office within 30 days of when any of the

conditions or changes described in section

4.03 of this revenue procedure occur.

.06 A 1040NR Filer must notify the

Project Office within 30 days of discontinuing its participation in the 1040NR

Program. This does not preclude reapplication in the future.

.07 A 1040NR Filer must ensure that it

promptly processes returns submitted to it

for magnetic or electronic filing. See sections 5.10, 5.16, and 5.17 of this revenue

procedure. However, a 1040NR Filer that

receives a return for magnetic or electronic filing on or before the due date of

the return must ensure that the return is

filed on or before that due date (including

extensions, see section 5.08 of this revenue procedure). A composite return is

not considered filed until the data portion

of the tax return is acknowledged by the

Service as accepted for processing and a

completed and signed Form 8453–NR is

received by the Service. However, if the

data portion of a return is successfully

transmitted on or shortly before the due

date and the 1040NR Filer complies with

section 7.01 of this revenue procedure,

the return will be deemed timely filed. If

the data portion of a return is transmitted

on or shortly before the due date but is ultimately rejected, the return will be

deemed timely filed if the 1040NR Filer

and the taxpayer comply with section

5.14 of this revenue procedure. In the

case of a balance due return, see section

June 8, 1998

10 of this revenue procedure for instructions on how to make a timely payment of

tax.

.08 Unless the Service grants an extension of time to file, a 1040NR Filer must

ensure that the return for any individual is

received by the Service on or before:

(1) April 15 if the individual was an

employee and received wages subject to

U.S. federal income tax withholding; or

(2) June 15 if the individual did not receive such wages.

However, section 2.05 of this revenue

procedure provides that a composite return cannot be filed after December 4,

1998.

.09 A 1040NR Filer must ensure

against the unauthorized use of its

MTFIN. A 1040NR Filer must not transfer its MTFIN by sale, merger, loan, gift,

or otherwise to another entity.

.10 A 1040NR Filer is responsible for

ensuring that stockpiling does not occur.

Prior to official acceptance of the

1040NR Filer into the 1040NR Program,

stockpiling means collecting returns from

taxpayers. After official acceptance,

stockpiling means:

(1) in the case of a 1040NR Return

Originator, waiting for more than three

calendar days after receiving the necessary information to submit a return to a

Transmitter or Service Bureau, or

(2) in the case of a Transmitter, waiting for more than ten calendar days after

receiving the necessary information to

send the data portion of the return to the

Service.

.11 A 1040NR Filer that functions as a

Return Originator must:

(1) comply with the procedures for

completing Form 8453-NR described in

section 7 of this revenue procedure;

(2) comply with the procedures described in section 10 of this revenue procedure for handling a balance due return;

(3) furnish the taxpayer with a copy

of the signed Form 8453–NR (except for

multiple return filing as described in section 7.01(5) of this revenue procedure)

and, in the case of a prepared or corrected

return, a copy of the paper portion of the

return;

(4) while returns are being filed, retain and, if requested, make available to

the Service the following material at the

business address from which a return was

accepted for magnetic or electronic filing:

12

(a) a copy of the signed Form

8453-NR, paper copies of Forms W-2,

Wage and Tax Statement, W-2G, Certain

Gambling Winnings, 1099-R, Distributions From Pensions, Annuities, Retirement or Profit Sharing Plans, IRAs, Insurance Contracts, etc., and the paper portion

of the taxpayer’s return;

(b) a complete copy of the data

portion of the taxpayer’s return (may be

retained on computer media) that can be

readily and accurately converted into

magnetic or electronic data that the Service can process; and

(c) the acknowledgement file received from the Service or from a Transmitter;

(5) retain until the end of the calendar year in which a return was filed and

make available to the Service upon request the materials described in section

5.11(4) of this revenue procedure, at the

business address from which a return was

accepted for magnetic or electronic filing

or from the contact person named on

Form MAR–8980.

.12 A 1040NR Return Originator who

is the paid preparer of a magnetically or

electronically filed Form 1040NR must

also retain for the prescribed amount of

time the materials described in § 1.6107–

1(b) that are required to be kept by an income tax return preparer.

.13 A 1040NR Return Originator must

identify the paid preparer (if any) in the

appropriate field of the data portion of the

return, in addition to ensuring that the paid

preparer signed Form 8453–NR. If Form

8453–NR is not signed by the paid preparer, the 1040NR Return Originator must

attach a copy of the Form 1040NR originally signed by the paid preparer. This

copy must be marked “COPY-DO NOT

PROCESS” to prevent duplicate filings.

.14 If the data portion of a taxpayer’s

return is acknowledged as rejected by the

Service, and the reason for the rejection

cannot be rectified by making nonsubstantive changes as described in section

6.02(3) of this revenue procedure, the

1040NR Return Originator, within 24

hours of receiving the rejection, must take

all reasonable steps to tell the taxpayer

that the taxpayer’s return has not been

filed. If the taxpayer chooses to have the

data portion of the return resubmitted

magnetically or electronically, and the

1040NR Return Originator successfully

1998–23 I.R.B.

works with the Project Office to correct

the problems causing the data portion of

the return to be rejected, the return will be

accepted as timely filed. A new Form

8453–NR may be required (see section 7

of this revenue procedure). However,

even when no new Form 8453–NR is required, the Transmitter must submit a

photocopy of the original Form 8453–NR

with the rejected file or return and mark

the photocopy “Retransmitted.” If the

Project Office determines that the data

portion of a return cannot be accepted for

processing or the taxpayer chooses not to

have the rejected data portion of the return resubmitted magnetically or electronically, the taxpayer must file a paper return by the later of:

(1) the due date (with regard to any

extensions of time to file) of the return; or

(2) ten calendar days after the Service gives notification that the data portion of the return is rejected or that the

data portion of the return cannot be accepted for processing.

The paper return should include an explanation of why the return is being filed

after the due date.

.15 A 1040NR Return Originator must

use the taxpayer’s address in the data portion of the return. In addition, a 1040NR

Return Originator must not put its address

as the taxpayer’s address in the data portion of the return.

.16 A 1040NR Filer that functions as a

Service Bureau must:

(1) deliver all data portions of composite returns to a Transmitter or return

them to the 1040NR Return Originator

who gave the data portions of the returns

to the Service Bureau within three calendar days of receipt;

(2) retrieve the acknowledgement

file from the Transmitter within one calendar day of receipt by the Transmitter;

(3) send the acknowledgement file to

the 1040NR Return Originator (whether

related or not) within one work day of retrieving the acknowledgement file;

(4) if the Service Bureau processes

Forms 8453–NR, send back to the

1040NR Return Originator any return and

Form 8453–NR that needs correction, unless the correction is described in section

7.02(1) of this revenue procedure;

(5) accept tax return information

only from 1040NR Filers;

(6) include its MTFIN and the

1040NR Return Originator’s MTFIN with

1998–23 I.R.B.

all return information the Service Bureau

forwards to a Transmitter or sends back to

the 1040NR Return Originator;

(7) retain each acknowledgement file

received from a Transmitter until the end

of the calendar year in which the composite return was filed;

(8) if requested, serve as a contact

point between its client 1040NR Return

Originator and the Service; and

(9) if requested, provide the Service

with a list of each client 1040NR Return

Originator.

.17 A 1040NR Filer that functions as a

Transmitter must:

(1) send to the Service all data portions of composite returns within ten calendar days of receipt;

(2) match the acknowledgement file

to the original transmission file and send

the acknowledgement file to the 1040NR

Return Originator or the Service Bureau

(whether or not the 1040NR Return Originator or the Service Bureau are related to

the Transmitter) within five calendar days

after receipt of the acknowledgement file

from the Service;

(3) retain an acknowledgement file

received from the Service until the end of

the calendar year in which the composite

return was filed;

(4) immediately contact the Project

Office for further instructions if an acknowledgement of acceptance for processing has not been received by the

Transmitter within 14 calendar days of

transmission, or if a Transmitter receives

an acknowledgement for a return that was

not transmitted on the designated transmission;

(5) promptly correct any transmission error that causes a data portion of a

composite return to be rejected;

(6) contact the Project Office for assistance if a data portion of a composite

return has been rejected after three transmission attempts; and

(7) ensure the security of all transmitted data.

.18 A Transmitter that provides transmission services to another 1040NR Filer

must, in addition to the items covered in

section 5.17 of this revenue procedure,

also:

(1) accept composite returns for

transmission to the Service only from an

accepted 1040NR Filer; and

(2) use its assigned MTFIN when filing returns.

13

.19 A 1040NR Filer that functions as a

Software Developer must:

(1) promptly correct any software

error that causes a data portion of a composite return to be rejected;

(2) promptly distribute any software

correction made to its software packages

to all 1040NR Filers utilizing these packages; and

(3) not incorporate into its software a

Service-assigned production password.

.20 In addition to the specific responsibilities described in this section, a

1040NR Filer must meet all the requirements in this revenue procedure to keep

the privilege of participating in the

1040NR Program.

SECTION 6. PENALTIES

.01 Penalties for Disclosure or Use of

Information.

(1) A 1040NR Filer, except a Software Developer, is a tax return preparer

(“Preparer”) under the definition of

§ 301.7216–1(b) of the Regulations on

Procedure and Administration. A Preparer is subject to a criminal penalty for

unauthorized disclosure or use of tax return information. See § 7216 of the Internal Revenue Code and § 301.7216–1(a).

In addition, § 6713 establishes civil

penalties for unauthorized disclosure or

use of tax return information.

(2) Under § 301.7216–2(h), disclosure of tax return information among accepted 1040NR Filers for the purpose of

preparing a return is permissible. For example, a 1040NR Return Originator may

pass on tax return information to a Service Bureau and/or a Transmitter for the

purpose of having the data portion of a

composite return formatted and sent to the

Service. However, if the tax return information is disclosed or used in any other

way, a Service Bureau and/or a Transmitter may be subject to the penalties described in section 6.01(1) of this revenue

procedure.

.02 Other Preparer Penalties.

(1) Preparer penalties may be asserted against an individual or firm who

meets the definition of an income tax return preparer under §§ 7701(a)(36) and

301.7701–15. Preparer penalties that may

be asserted under appropriate circumstances include, but are not limited to,

those set forth in §§ 6694, 6695, and

6713.

June 8, 1998

(2) Under § 301.7701–15(d),

1040NR Return Collectors, Service Bureaus, Software Developers, and Transmitters are not income tax return preparers for the purpose of assessing most

preparer penalties as long as their services

are limited to “typing, reproduction, or

other mechanical assistance in the preparation of a return or claim for refund.”

(3) If a 1040NR Return Collector,

Service Bureau, Software Developer, or

Transmitter alters the return information

in a nonsubstantive way, this alteration

will be considered to come under the

“mechanical assistance” exception described in § 301.7701–15(d)(1). A nonsubstantive change is a correction or

change limited to a transposition error,

misplaced entry, spelling error, or arithmetic correction that falls within one of

the following tolerances:

(a) the “Total tax”, “Total payments”, “Refund”, or “Amount you owe”

on Form 8453–NR differs from the corresponding amount on the data portion of

the composite return by no more than $7;

(b) the “Total effectively connected income” amount shown on Form

8453–NR differs from the corresponding

amount on the data portion of the composite return by no more than $25; or

(c) dropping cents and rounding to

whole dollars.

(4) If a 1040NR Return Collector,

Service Bureau, or Transmitter alters the

return information in a substantive way,

rather than having the taxpayer alter the

return, the 1040NR Return Collector, Service Bureau, or Transmitter will be considered to be an income tax return preparer for purposes of § 7701(a)(36).

(5) If a 1040NR Return Collector,

Service Bureau, Transmitter, or the product of a Software Developer, goes beyond

mechanical assistance, any of these parties may be held liable for income tax return preparer penalties. See Rev. Rul. 85–

189, 1985–2 C.B. 341, (which describes

a situation where a Software Developer

was determined to be an income tax return preparer and subject to certain preparer penalties).

.03 Other Penalties. In addition to the

above specified provisions, the Service

reserves the right to assert all appropriate

civil and criminal penalties, including

preparer, nonpreparer, and disclosure

penalties, against a 1040NR Filer as warranted under the circumstances.

June 8, 1998

SECTION 7. FORM 8453-NR, U.S.

NONRESIDENT ALIEN INCOME TAX

DECLARATION FOR MAGNETIC

MEDIA FILING

.01 Procedures for Completing Form

8453–NR.

(1) Form 8453–NR must be completed in accordance with the instructions

for Form 8453–NR.

(2) The taxpayer’s name, taxpayer

identification number, tax return information, and direct deposit of refund information in the data portion of the composite

return must be identical to the information

on the Form 8453–NR signed by the taxpayer (or by the taxpayer’s authorized

representative as described in section

7.01(5) of this revenue procedure) and

provided for submission to the Service.

(3) A 1040NR Filer, a financial institution, or any other entity associated with

the magnetic or electronic filing of a taxpayer’s return must not put its address on

Form 8453–NR or anywhere in the data

portion of a return.

(4) Except for multiple return filing

as described in section 7.01(5) of this revenue procedure, after the composite return has been prepared and before the return is submitted, the taxpayer must

verify the information on the data portion

of the composite return and on Form

8453–NR, and must sign Form 8453–NR.

(5) A 1040NR Filer must submit a

Form 8453–NR to the Project Office with

each magnetically or electronically filed

return. A single Form 8453–NR (inscribed with the language “See attached

Multiple Return Information Listing”)

may be used for a multiple return filing if

the person who signs Form 8453–NR has

authorization, either by a specific power

of attorney or as a responsible representative or agent under § 1.6012–3(b), to sign

each of the returns included in the multiple return filing. A person who makes a

multiple return filing must attach to Form

8453–NR an information page(s) titled

“Form 8453–NR for Multiple Returns—

Tax Return Information Listing” at the

top of the pages(s). Below the title, the

multiple return 1040NR Filer must provide his or her name and address. The

next item on the page(s) must be a list that

includes every taxpayer’s name control,

taxpayer identification number, and the

information shown on lines one through

five on Form 8453–NR, for each return

included in a multiple return filing.

14

(6) If a 1040NR Filer functions as a

1040NR Return Originator, the 1040NR

Filer must sign the 1040NR Return Originator’s Declaration on Form 8453–NR.

(7) If the 1040NR Filer is also the

paid preparer, the 1040NR Filer must

check the “Paid Preparer” box and sign

the 1040NR Return Originator Declaration on Form 8453–NR.

.02 Corrections to Form 8453–NR.

(1) A new form 8453–NR is not required for a nonsubstantive change. A

nonsubstantive change is limited to a correction that does not exceed the tolerances, described in section 7.02(2) of this

revenue procedure for arithmetic errors, a

transposition error, a misplaced entry, or a

spelling error. The incorrect nonsubstantive information must be neatly lined

through on the Form 8453–NR and the

correct data entered next to the lined

through entry. Also the individual making

the correction must initial the correction.

(2) The tolerances for section 7.02(1)

of this revenue procedure are:

(a) the “Total effectively connected income” differs from the amount

on the data portion of the composite return by more than $25; or

(b) the “Total tax”, the “Total payments”, the “Refund”, or the “Amount

you owe” differs from the amount on the

data portion of the composite return by

more than $7.

(3) If the 1040NR Return Originator

makes a substantive change to the data

portion of the return after Form 8453–NR

has been signed by the taxpayer, but before it is transmitted to the Service, the

1040NR Return Originator must have all

the necessary parties described above sign

a new Form 8453–NR that reflects the corrections before the return is transmitted.

(4) Dropping cents and rounding to

whole dollars does not constitute a substantive change or alteration to the return

unless the amount differs by more than

the above tolerances. All rounding should

be accomplished in accordance with the

instructions in the Form 104ONR tax

package.

.03 Missing Form 8453–NR. If the Service determines that a Form 8453–NR is

missing, the 1040NR Return Originator

must provide the Service with a replacement. A 1040NR Return Originator must

also provide a copy of the Form(s) W–2,

W–2G, 1099R, and all other attachments

to the Form 8453–NR.

1998–23 I.R.B.

.04 Substitute Form 8453–NR. If a

substitute Form 8453–NR is used, it must

be approved by the Service prior to use.

See Rev. Proc. 97–54, 1997–50 I.R.B. 8.

SECTION 8. INFORMATION A

1040NR FILER MUST PROVIDE TO

THE TAXPAYER

.01 The 1040NR Return Originator

must furnish the taxpayer with a complete

paper copy of the taxpayer’s return (except for multiple return filing as described

in section 7.01(5) of this revenue procedure). However, the copy need not contain the social security number of the paid

preparer. See Rev. Rul. 78–317, 1978–2

C.B. 335. A complete copy of the taxpayer’s return includes:

(1) Form 8453–NR and other paper

documents that cannot be magnetically or

electronically transmitted, and

(2) a printout of the data portion of

the composite return. See section 2.02 of

this revenue procedure. The data portion

of the composite return can be contained

on a replica of an official form or on an

unofficial form. However, on an unofficial form, data entries must be referenced

to the line numbers on an official form.

.02 The 1040NR Return Originator

must advise the taxpayer to retain a complete copy of the return and any supporting material.

.03 The 1040NR Return Originator

must advise the taxpayer that an amended

return, if needed, must be filed as a paper

return and mailed to the Philadelphia Service Center.

.04 The 1040NR Return Originator

must, upon request, provide the taxpayer

with the date the data portion of the taxpayer’s composite return was acknowledged as accepted for processing by the

Service.

.05 A 1040NR Return Originator must

advise taxpayers that they can call the

local IRS TeleTax number to inquire

about the status of their tax refund. The

1040NR Return Originator should also

advise taxpayers to wait at least three

weeks from the acceptance date of the

data portion of the composite return before calling the TeleTax number.

.06 If a taxpayer chooses to use an address other than his or her home address

on the return, the 1040NR Return Originator must inform the taxpayer that the

address on the data portion of the com-

1998–23 I.R.B.

posite return, once processed by the Service, will be used to update the taxpayer’s

address of record. The Internal Revenue

Service uses the taxpayer’s address of

record for various notices that are required to be sent to a taxpayer’s “last

known address” under the Internal Revenue Code and for refunds of overpayments of tax (unless otherwise specifically directed by the taxpayer, such as by

Direct Deposit).

SECTION 9. DIRECT DEPOSIT OF

REFUNDS

.01 The Service will ordinarily process

a request for Direct Deposit but reserves

the right to issue a paper refund check.

.02 The Service does not guarantee a

specific date by which a refund will be directly deposited into the taxpayer’s financial institution account. The taxpayer’s

account must be with a financial institution located in the United States.

.03 Neither the Service nor the Financial Management Service (FMS) is responsible for the misapplication of a Direct Deposit that is caused by error,

negligence, or malfeasance on the part of

the taxpayer, 1040NR Filer, financial institution, or any of their agents.

.04 A 1040NR Return Originator must:

(1) advise taxpayers of the option to

receive their refund by paper check or direct deposit;

(2) not charge a separate fee for Direct Deposit;

(3) accept any Direct Deposit election to any eligible financial institution

designated by the taxpayer;

(4) ensure that the taxpayer is eligible to choose Direct Deposit;

(5) verify that the Direct Deposit information requested on Part II of Form

8453–NR was entered correctly and that

the information entered is the information

transmitted on the data portion of the

composite return;

(6) caution the taxpayer that once a

data portion of a composite return has

been accepted for processing by the Service:

(a) the Direct Deposit election

cannot be rescinded;

(b) the Routing Transit Number

(RTN) of the financial institution cannot

be changed; and

(c) the taxpayer’s account number

cannot be changed; and

15

(7) advise the taxpayer that refund

information is available by calling the

IRS TeleTax number. See section 8.05 of

this revenue procedure.

SECTION 10. BALANCE DUE

RETURNS

.01 A magnetically or electronically

filed balance due return is submitted to

the Philadelphia Service Center in the

same manner that a refund or zero balance

return is submitted. A balance due return

is not complete unless and until the Service receives a Form 8453–NR completed

and signed by the taxpayer (or by the taxpayer’s authorized representative as described in section 7.01(5) of this revenue

procedure).

.02 A taxpayer who magnetically or

electronically files a balance due return

must make a full and timely payment of

any tax that is due. Failure to make full

payment of any tax that is due on or before April 15, 1998 (for individuals who

were employees and received wages subject to U.S. federal income tax withholding), or June 15, 1998 (for individuals

who were not employees receiving wages

subject to U.S. federal income tax withholding), will result in the imposition of

interest and may result in the imposition

of penalties.

SECTION 11. ADVERTISING

STANDARDS FOR 1040NR FILERS

AND FINANCIAL INSTITUTIONS

.01 A 1040NR Filer must comply with

the advertising and solicitation provisions

of 31 C.F.R. Part 10 (Treasury Department Circular No. 230). This circular

prohibits the use or participation in the

use of any form of public communication

containing a false, fraudulent, misleading,

deceptive, unduly influencing, coercive,

or unfair statement or claim. Any claims

concerning faster refunds by virtue of

magnetically or electronically filing returns must be consistent with the language in official Service publications.

.02 A 1040NR Filer must adhere to all

relevant federal, state, and local consumer

protection laws that relate to advertising

and soliciting.

.03 A 1040NR Filer must not use the

Service’s name, “Internal Revenue Service,” or “IRS” within a firm’s name.

June 8, 1998

.04 A 1040NR Filer must not use improper or misleading advertising in relation to the 1040NR Program (including

the time frames for refunds).

.05 A 1040NR Filer using promotional

material or logos provided by the Service

must comply with all Service instructions

pertaining to the promotional materials or

logos.

.06 A 1040NR Filer using the Direct

Deposit name and logo must comply with

the following:

(1) The name “Direct Deposit” will

be used with initial capital letters or all

capital letters.

(2) The logo/graphic for Direct Deposit will be used whenever feasible in

advertising copy.

(3) The color or size of the Direct

Deposit logo/graphic may be changed

when used in advertising pieces.

.07 Advertising materials must not

carry the FMS, IRS, or other Treasury

seals.

.08 Advertising for a cooperative

1040NR return project (public/private

sector) must clearly state the names of all

cooperating parties.

.09 If a 1040NR Filer uses radio or

television broadcasting to advertise, the

broadcast must be pre-recorded. The

1040NR Filer must keep a copy of the

pre-recorded advertisement for a period

of at least 36 months from the date of the

last transmission or use.

.10 If a 1040NR Filer uses direct mail

or fax communications to advertise, the

1040NR Filer must retain a copy of the

actual mailing or fax, along with a list or

other description of the firms, organizations or individuals to whom the communication was mailed, faxed, or otherwise

distributed for a period of at least 36

months from the date of the last mailing,

fax, or distribution.

.11 Acceptance to participate in the

1040NR Program does not imply endorsement by the Service or FMS of the

software or quality of services provided.

SECTION 12. MONITORING AND

SUSPENSION OF A 1040NR FILER

.01 The Service will monitor a 1040NR

Filer for conformity with this revenue

procedure. Before suspending a 1040NR

Filer, the Service may issue a warning letter that describes specific corrective action for deviations from this revenue pro-

June 8, 1998

cedure.However, the Service can immediately suspend, without notice, a 1040NR

Filer from the 1040NR Program. In most

circumstances, a suspension from participation in the 1040NR Program is effective as of the date of the letter informing

the 1040NR Filer of the suspension.

.02 The Service will monitor the timely

receipt of Forms 8453–NR, as well as

their overall legibility.

.03 The Service will monitor the quality of the 1040NR Filer’s submissions

throughout the filing season. The Service

will also monitor data portions of composite returns and tabulate rejections, errors, and other defects. If quality deteriorates, the 1040NR Filer may receive a

warning from the Service.

.04 The Service will monitor complaints about a 1040NR Filer and issue a

warning or suspension letter as appropriate.

.05 The Service reserves the right to

suspend a 1040NR Filer from participation

in the 1040NR Program for violating any

provision of this revenue procedure. Generally, the Service will advise a suspended

1040NR Filer concerning the requirements

for reacceptance into the 1040NR Program. The following reasons may lead to

a warning letter and/or suspension of a

1040NR Filer from the 1040NR Program

(this list is not all-inclusive):

(1) the reasons listed in section 4.08

of this revenue procedure;

(2) deterioration in the format of individual submissions;

(3) unacceptable cumulative error or

rejection rate;

(4) untimely received, illegible, incomplete, missing, or unapproved substitute Forms 8453-NR;

(5) stockpiling returns at any time

while participating in the 1040NR Program;

(6) failure on the part of a Transmitter to provide a 1040NR Return Originator or Service Bureau with acknowledgement files within five calendar days after

receipt from the Service;

(7) significant complaints about a

1040NR Filer ’s performance in the

1040NR Program;

(8) failure on the part of a 1040NR

Filer to ensure that no other entity uses its

assigned MTFIN;

(9) having more than one MTFIN for

the same business entity at the same loca-

16

tion (the business entity is generally the

entity that reports on its return the income

derived from magnetic or electronic filing), unless the Service has issued more

than one MTFIN to a business entity;

(10) failure on the part of a 1040NR

Filer to cooperate with the Service’s efforts to monitor 1040NR Filers and investigate filing abuse;

(11) failure on the part of a 1040NR

Filer to properly use the standard/nonstandard W–2 indicator;

(12) failure on the part of a Service

Bureau or a Transmitter to use its assigned MTFIN when filing returns;

(13) failure on the part of the Transmitter to include a Service Bureau’s

MTFIN in the transmission of a return

submitted by a Service Bureau;

(14) failure on the part of a Service

Bureau or a Transmitter to include the

1040NR Return Originator’s MTFIN as

part of a return that the 1040NR Return

Originator submits to the Service Bureau

or the Transmitter;

(15) violation of the advertising standards described in section 11 of this revenue procedure;

(16) failure to maintain and make

available records as described in sections

5.11(4) and (5) of this revenue procedure;

(17) accepting a tax return for magnetic or electronic filing either directly or

indirectly from a firm, organization, or individual (other than the taxpayer who is

submitting his or her return) that is not in

the 1040NR Program;

(18) submitting information on the

data portion of the composite return that

is not identical to the information on the

Form 8453–NR; or

(19) failure to timely submit a revised Form MAR–8980 notifying the Service of changes described in section 4.02

or 4.03 of this revenue procedure.

.06 The Service may list in the Internal Revenue Bulletin, district office listings, district office newsletters, on the

EFS Bulletin Board, or in other appropriate publications, the name of any entity

that is suspended from the 1040NR Program and the effective date of that suspension.

.07 If a participant is suspended from

participating in the 1040NR Program, the

period of suspension includes the remainder of the calendar year in which the suspension occurs plus the next two calendar

1998–23 I.R.B.

years. A suspended participant may submit a new application for the application

period immediately preceding the end of

the suspension.

SECTION 13. ADMINISTRATIVE

REVIEW PROCESS FOR DENIAL OF

PARTICIPATION IN THE 1040NR

PROGRAM

.01 An applicant that has been denied

participation in the 1040NR Program has

the right to an administrative review. During the administrative review process, the

denial of participation remains in effect.

.02 In response to the submission of a

Form MAR–8980, the Project Office will

either (1) accept an applicant into the

1040NR Program, or (2) issue a proposed

letter of denial that explains to the applicant why the Service proposes to reject

the application to participate in the

1040NR Program.

.03 An applicant that receives a proposed letter of denial may mail or deliver,

within 30 calendar days of the date of the

proposed letter of denial, a written response to the Project Office. The applicant’s response must address the Project

Office’s explanation for proposing the denial to participate.

.04 Upon receipt of an applicant’s written response, the Project Office will reconsider its proposed letter of denial. The

Project Office may (1) withdraw its proposed letter of denial and admit the applicant into the 1040NR Program, or (2) finalize the proposed denial letter.

.05 If an applicant receives a final denial letter from the Project Office, the applicant is entitled to an appeal, in writing,

to the Director of Practice.

.06 The appeal must be mailed or delivered to the Project Office within 30 calendar days of the date of the denial letter.

An applicant’s written appeal must contain a detailed explanation, with supporting documentation, of why the denial

should be reversed.

1998–23 I.R.B.

.07 The Project Office, upon receipt of

a written appeal to the Director of Practice, will forward to the Director of Practice its file on the applicant and the materials described in section 13.06 of this

revenue procedure. The Project Office

will forward these materials to the Director of Practice within 15 calendar days of

receipt of the applicant’s written appeal.

.08 Failure to respond within either of

the 30-day periods described in sections

13.03 and 13.06 of this revenue procedure

irrevocably terminates an applicant’s right

to an administrative review or appeal.

.09 If an application for participation in

the 1040NR Program is denied, the applicant is ineligible to submit a new application for two years from the application

date of the denied application.

SECTION 14. ADMINISTRATIVE

REVIEW PROCESS FOR

SUSPENSION FROM THE 1040NR

PROGRAM

.01 A 1040NR Filer that has been suspended from participation in the 1040NR

Program has the right to an administrative

review. During the administrative review

process, the suspension remains in effect.

.02 If a 1040NR Filer receives a suspension letter, the 1040NR Filer may mail or

deliver, within 30 calendar days of the date

of the suspension letter, a detailed written

explanation, with supporting documentation, of why the suspension letter should

be withdrawn. This written response

should be sent to the Project Office.

.03 Upon receipt of the 1040NR Filer’s

written response, the Project Office will

reconsider its suspension of the 1040NR

Filer. The Project Office may either (1)

withdraw its suspension letter and reinstate the 1040NR Filer, or (2) affirm the

suspension.

.04 If a 1040NR Filer receives a letter

affirming the suspension, the 1040NR

Filer is entitled to an appeal, in writing, to

the Director of Practice.

17

.05 The appeal must be mailed or delivered to the Project Office within 30 calendar days of the date of the suspension letter. The 1040NR Filer’s written appeal

must contain detailed reasons, with supporting documentation, for reversal of the

suspension.

.06 The Project Office, upon receipt of

a written appeal to the Director of Practice, will forward to the Director of Practice its file on the 1040NR Filer and the

material described in section 14.05 of this

revenue procedure. The Project Office

will forward these materials to the Director of Practice within 15 calendar days of

the receipt of a 1040NR Filer’s written request for appeal.

.07 Failure to appeal within either of

the 30-day periods described in sections

14.02 and 14.05 of this revenue procedure

irrevocably terminates a 1040NR Filer’s

right to an appeal.

SECTION 15. EFFECT ON OTHER

DOCUMENTS

Rev. Proc. 97–28, 1997–1 C.B. 691, is

superseded.

SECTION 16. EFFECTIVE DATE

This revenue procedure is effective

May 20, 1998.

SECTION 17. PROJECT OFFICE

INFORMATION

All questions regarding this revenue

procedure should be directed to:

Internal Revenue Service

Philadelphia Service Center

ATTN: DP-115-Magnetic Media

Project Office

11601 Roosevelt Blvd.

Philadelphia, PA 19154

U.S.A.

The telephone number of this office is

(215) 516-7533 (not a toll-free number)

or 800-829-6945 (a toll-free number).

June 8, 1998

Part IV. Items of General Interest

Announcement 98–45

Optional Method of Reporting Make-Up Contributions by Employers Subject to the Uniformed Services

Employment and Reemployment Rights Act (USERRA)

Background

The Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA), P. L. 103-353,

requires that an employee who is absent from work because of military service be permitted, on return to

work, to make up certain contributions to pension plans that the employee could have made if actually

employed during the period of military service.

This announcement provides an alternative method for employers to report these USERRA make-up contributions to employees.

Current reporting

requirement

Currently, employers must separately report these prior-year contributions to the employee on Form W-2.

The Instructions for Form W–2 require employers to report in box 13:

• The USERRA make-up contributions using codes D through H and S to identify the plan,

• The years to which the contributions relate, and

• The amounts.

Employers may continue to report USERRA contributions on Form W–2.

New optional

reporting method

Some employers have reported difficulties with their payroll systems being able to accommodate the

USERRA reporting on Form W–2. Therefore, rather than report USERRA make-up contributions in box

13 of Form W–2, an employer may provide a separate statement to its employees showing USERRA

make-up contributions. The separate statement must identify:

• The type of plan,

• The years to which the contributions relate, and

• The amounts.

Note: Contributions to pension plans for the current year will continue to be reported on Form W–2.

Additional information The 1998 Instructions for Form W–2 contain a discussion of the reporting requirements for contributions

to pension plans.

June 8, 1998

18

1998–23 I.R.B.

Information Reporting Seminars for Magnetic Media/Electronic Filing

Announcement 98–49

Representatives from the Martinsburg Computing Center, Information Returns Branch, will conduct seminars in 29 cities during

the months of August, September, and October. The seminar format will be geared toward magnetic media/electronic filers. Major

changes were made to the record format for TY98 due to the century date change, legislative changes, and the creation of new forms.

One major change is the expansion of the record length from 420 positions to 750 positions.

A representative of the Social Security Administration will immediately follow the IRS/MCC representative, during the morning

session, to discuss magnetic media reporting and electronic filing specifications of Forms W–2/W–3. There may be an IRS District

Office session at some sites in the afternoon.

Following is a schedule of seminar sites and dates, as well as telephone numbers of the Internal Revenue Service office closest to

the sites. Please contact the appropriate office after July 10 for the exact location and times. The agenda for the day has also been

included for your convenience.

Internal Revenue Service

Martinsburg Computing Center

Information Reporting Seminar Schedule 1998

CITY

Atlanta, GA

Baltimore, MD

Billings, MT

Buffalo, NY

Boston, MA

Charlotte, NC

Chicago, IL

Cincinnati, OH

Dallas, TX

Denver, CO

Hartford CT

Houston, TX

Indianapolis, IN

Los Angeles, CA

Milwaukee, WI

Minneapolis, MN

Nashville, TN

New Orleans, LA

New York, NY

Oklahoma City, OK

Omaha, NE

Pittsburgh, PA

Richmond, VA

Salt Lake City, UT

San Francisco, CA

Seattle, WA

Spokane, WA

St. Louis, MO

Tampa, FL

DATE

October 1

August 19

August 25

August 27

September 15

September 22

October 1

September 15

September 1

September 3

September 1

September 24

September 29

September 30

August 27

September 24

September 17

September 23

September 17

September 22

August 27

September 3

September 29

September 1

October 1

August 25

September 22

September 17

September 24

PHONE

404/331-3808

410/962-2402

406/441-1042

716/686-4777

617/565-4325

336/378-2026

312/886-5544

513/684-2400

214/767-3755

303/446-1661

860/240-4149

713/209-4178

317/226-6543

213/894-4574

414/297-3302

612/290-3320 x231

615/736-2280

504/558-3011

212/436-1023

405/297-4125

402/221-3501

412/395-6504

804/771-8048

801/799-6873

510/637-2482

206/220-5803

206/220-5803

314/539-2161

904/232-2514

FAX

617/565-1379

612/290-4231

206/220-5551

206/220-5551

AGENDA

MORNING SESSION

IRS/MARTINSBURGH COMPUTING CENTER

9:00a

Welcome

IRS-Magnetic Media and Electronic Filing of

Forms 1099, 1098, 5498, and W–2G.

10:30a

Break

10:45a

SSA-Magnetic Media and Electronic Filing of

Forms W–2 and W–3.

12:30p

Lunch

1998–23 I.R.B.

AFTERNOON SESSION

IRS/DISTRICT OFFICE PRESENTATION

1:30p (This is optional and some districts may not plan a

presentation.)

19

June 8, 1998

Foundations Status of Certain

Organizations

Announcement 98–50

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:

Rocky Mountain Harvest Inc., Highlands

Ranch, CO

Rocky Mountain Team Fund Inc., Salt

Lake City, UT

Roebling Gateway Park Corporation,

Covington, KY

Rogue Theatre Inc., Orlando, FL

Roger Mills County Health Care

Foundation, Cheyenne, OK

ROJA Productions Inc., Suitland, MD

Root and the Branch Inc., South

Charleston, WV

Rootin on the Ribber, Memphis, TN

Roscoe Lyons Tackle Football Inc.,

Roscoe, IL

Roscommon Area Historical Society,

Inc., Roscommon, MI

Rosebud Youth Home Inc., Hamilton,

MO

Rosemary F. Dybwad International

Fellowship Trust, Olney, MD

Roswell Vietnam War Memorial

Committee, Inc., Roswell, GA

Roswell Village Theater Inc., Roswell,

GA

Rotary Plaza of San Jose Inc., San Jose,

CA

Round Rock Band Boosters Inc., Round

Rock, TX

Royal Garden Club by the Bay in Perth

Amboy, Perth Amboy, NJ

Royall Noyse, Inc., Centerville, MA

Ruach Simcha Spirit of Joy Ministry,

Cantonment, FL

June 8, 1998

Rushmore Presidential Institute, Rapid

City, SD

Rushmore State Games Inc., Aberdeen,

SD

Russell House Associates Inc., Baltimore,

MD

Russian-American Independent Media

Association, McLean, VA

Russian Peoples Relief Project Inc.,

Venice, FL

Rutherford Junior Football Association,

Inc., Rutherford, NJ

S A F E, Elmhurst, IL

S-T-R-E-T-C-H Ministries Inc.,

Thomasville, GA

Sabetha Housing Corporation, Sabetha,

KS

Sabine Volunteer Fire Department Inc.,

Kilgore, TX

Safe Kids Inc., Wilmington, DE

Sage Foundation for Better Education,

Inc., Shrewsbury, MA

Saginaw Christmas in July Inc., Saginaw,

MI

Saints Child Care Center Inc., Taylors,

SC

Salina Saline County War Memorial Inc.,

Salina, KS

Salt and Light Foundation, Salt Lake

City, UT

Samaritan Resource Center Inc., Chicago,

IL

Samaritan Salt Factory Inc., Miami, FL

Samaritans Inc., Raleigh, NC

Samuel Bronston Archives and Film

Academy, Houston, TX

Samuel J. Lilly IV Brotherhood

Association Inc., Augusta, GA

San Angelo Rescue Dog, San Angelo, TX

San Antonio Health Care Foundation,

San Antonio, TX

San Antonio Hispanic Amateur Radio

Association, San Antonio, TX

San Antonio Kids-N-Critters, San

Antonio, TX

San Antonio School Business Promise

Inc., San Antonio, TX

San Saba County Police Activities

League Inc., San Saba, TX

Sanctuary Project Inc., Baltimore, MD

Sankofa Intercultural Programs

Corporation, Atlanta, GA

Sarah F. Myles Foundation, Dayton, OH

Saratoga Shakespeare Festival, Inc.,

Brooklyn, NY

SAT RA Society Inc., Washington, DC

Sav-A-Life of Covington Inc., Andalasia,

AL

20

Savannah-Chatham Commission on

Children and Youth Inc., Savannah,

GA

Save America-Educate Our Children,

Denver, CO

Save Cape May Harbor Inc., Cape May,

NJ

Save Our Children Coalition, Farmville,

VA

Save Our Children Inc., Atlanta, GA

Save Our Spring River Inc., Hardy, AR

Save the Salt Inc., Brigham City, UT

Saxe Gotha Historical Society, Columbia,

SC

SBOBC, Florissant, MO

Scattered Site Neighborhood Family

Housing Resident Council, Detroit, MI

School District No. 20 Education

Foundation, Colorado Springs, CO

School Dropout Prevention Center a Not

for Profit Corporation, Dallas, TX

School Kids Club Inc., Circleville, OH

Schools Out Adventure Club, Eagle, NE

Schuyler Community Center on Waltons

Mountain Museum, Schuyler, VA

Scioto River Valley Federation,

Delaware, OH

Scotland Neck Coordinating Committee,

Scotland Neck, NC

Scleroderma Federation Gulf Coast

Affilate, Cape Coral, FL

Scottie Pippen Youth Foundation, Little

Rock, AR

Scroll People Inc., Chicago, IL

Search and Rescue K-9 of Minnesota,

Minnetonka, MN

Second Chance Horses Inc., Dallas, TX

Second District Volunteer Fire

Department, Mountain City, TN

Second Time Around Catch a Star

Foundation, Chicago, IL

Second Time Arounders Marching Band

Inc., St. Petersburg, FL

Sedona Hopi Show Inc., West Sedona,

AZ

Segiun-Guadalupe County Heritage

Museum Inc., Seguin, TX

Seguin Police Activity League, Seguin,

TX

Selden Park Committee for Progress Inc.,

Brunswick, GA

Self Advancement & Recovery

Assistance Inc., Decatur, GA

Senior Activity Center of Port St. Lucie

Florida Inc., Port St. Lucie, FL

Senior Citizens Awareness Council LTD,

Longmont, CO

Senior Help Group Inc. Butler, IN

1998–23 I.R.B.

Senior Peer Counseling Inc., Oklahoma

City, OK

Seniors Celebration Inc., Naples, FL

Seniors for Seniors Inc., Decatur, GA

Sense America, St. Louis, MO

Serbian American National Information

Network Inc., Lansing, IL

Serendipity House Day Care, Salt Lake

City, UT

Serenity Caring Homes Inc.,

Montgomery, MN

Servicios Hispanos Inc., Herndon, VA

Seventy-Second Benefit Fund Inc.,

Jackson, MI

Shade Tree, Inc., Zarephath, NJ

Shakamak Area Recreation Association

Incorporated, Jasonville, IN

Share Inc., Fulton, MD

Share Pregnancy & Infant Loss Support

Inc., Tequesta, FL

Shared Heartbeats Inc., Oklahoma City,

OK

Sharing His Love Ministries, Stanley, NC

Sharon Smyth Educational Foundation,

Mesa, AZ

Sharonville Business Association

Scholarship Fund, Cincinnati, OH

Sheet Metal Generations Foundation Inc.,

Washington, DC

Shekinah Refuge Inc., Sapulpa, OK

Shelbyville Dixie Youth Baseball League

Inc., Shelbyville, TN

Shelter Helpers Inc., Gretna, LA

Sheltering Harbour, Houston, TX

Shenandoah Center for Global Food

Issues, Swoope, VA

Shepherds Center of Charleston WV Inc.,

Charleston, WV

Shepherds Foundation of Comfort Inc.,

Huggins, MO

Sheridan Community Development

Corporation, Philadelphia, PA

Sheriff Mike Sheahan Youth Athletic

Foundation, Chicago, IL

Shin Sai, Madeville, LA

Shomrei Adamah, Philadelphia, PA

Shooters Baseball Club, Oak Forest, IL

Shooting for the Stars Inc., Bryn Mawr,

PA

Shore Post Polio Support Group an

Unincorporated Association, Red

Bank, NJ

Shore Veterans Foundation Inc.,

Middletown, NJ

Shreveport-Bossier Summer Spectacular

Fine Arts Camp Inc., Bossier City, LA

S I A S T Foundation, Overland Park, KS

SIBF Foundation, Atlanta, GA

1998–23 I.R.B.

Sibyl Temple Foundation Inc., Vestavia

Hills, AL

Sickle Cell Anemia Rehabilitation and

Education Program, Lake Charles, LA

Side by Side Community School, Inc.,

Wilton, CT

Sigur Incorporated Residential Care, New

Orleans, LA

Silver Foxes Theatrical Troupe,

Streamwood, IL

Silver Lake-Hartford Housing

Revitalization Corporation,

Providence, RI

Simon Carter Musicians Emergency

Fund Inc., Atlanta, GA

Sine Missions International Inc.,

Rockford, IL

Single Action Theatre Co., Chicago, IL

Siouxland Amateur Boxing Club Inc.,

Sioux Falls, SD

Sir Friendly C Inc., Louisville, KY

Sister City Ministry Inc., Duluth, MN

Sisters in Recovery Inc., Tampa, FL

SJC Boxing Club Inc., Fort Myers, FL

Skyfyre Unlimited, Rio Rancho, NM

Skyhook Emergency Response

Corporation, Meridian, MS

Slam Foundation, Nashville, TN

Sleepy Eye Area Historical Soc., Sleepy

Eye, MN

Slidell Youth Football Association Inc.,

Sidell, LA

Slil Foundation, Dallas, TX

Small World Inc., Baton Rouge, LA

Smarty Pants Educational Services Inc.,

Jackson, MS

Smith County Adult Protective Services

Advisory Board Inc., Tyler, TX

Smith County Organization for Premium

Education Inc., Tyler, TX

Smith House of Hot Spring County Inc.,

Malvern, AR

Smithville Boosters Club, Smithville, OH

Smyrna High School Band Boosters,

Smyrna, TN

Snow on the Roof, Bloomington, MN

Soccer Foundation Inc., Wayne, NJ

Social Development Foundation for

Argentina Inc., Washington, DC

Socialites Inc., Fort Wayne, IN

Sociedad Para el Estudio de la

Traduccion y la Interpretacion In.,

Viejo San Juan, PR

Society for Cultural Awareness Inc.,

Cincinnati, OH

Society for the Preservation of Oriental

Forkloric Dance & Culture,

Gainesville, FL

21

Society of Physicians for Reproductive

Choice and Health Inc., Franklin

Lakes, NJ

Society of Trauma Nurses, Washington,

DC

Soliloquy Project Inc., Dallas, TX

Somali Relief & Community Services

Inc., Atlanta, GA

Somali Relief Federation, Washington,

DC

Somber Reptile Art and Music

Development Center Inc., Atlanta,

GA

Somebody Cares Ministries, Muskegon,

MI

Somethings Happening Inc., Houston,

TX

Sonlight Ministries, Fort Collins, CO

Sonny Parker Youth Foundation Inc.,

Chicago, IL

Sons of Orpheus-the Male Chorus of

Tucson, Tucson, AZ

Sonshine Youth Services Inc.,

Wintersville, OH

Soroco Baseball Softball, Yampa, CO

SOS Scholarship Opportunities for

Students Inc., Belle Glade, FL

Source of Life Ministry Inc., West

Helena, AR

South Africa Development Fund,

Jackson, MS

South African Rural Development

Support Program Inc., Augusta, GA

South Carolina Academy of Authors Inc.,

Columbia, SC

South Carolina Ki Society Inc.,

Greenville, SC

South Central Child Care Resource and

Referral Inc., Janesville, WI

South Central Hope 2 Inc., Brentwood,

TN

South Central Wisconsin Division

Incorporated, Madison, WI

South Dakota Brain Injury Assoc.,

Tyndall, SD

South Dakota Womens Network

Foundation Inc., Sioux Falls, SD

South Delta Regional Housing Authority

Resident Council Inc., Greenville, MS

South Florida Youth Soccer Association

Inc., Miami, FL

South Haven Girls Softball League,

Portage, IN

South Jersey Work on Waste Inc.,

Collingswood, NJ

South of 8 Mile, Detroit, MI

South Pacific-American Cultural

Exchange, Denver, CO

June 8, 1998

South Terrell Action Group Inc., Terrell,

TX

South Texas Audio Reader, Austin, TX

South Texas Beat the Heat Inc., Universal

City, TX

Southeast Association for the

Environment Inc., Baltimore, MD

Southern Appalachian Community

Development Corporation, Boone, NC

Southern End Community Association,

Quarryville, PA

Southern Justice Institute, Durham, NC

Southern Pain Society, Greenville, SC

Southern Portage Non Profit Housing

Inc., Mogadore, OH

June 8, 1998

Southern Regional Youth Institute, Lake

Charles, LA

Southwest Child Development Institute

Inc., Austin, TX

Southwest Creative Dance Center,

Lakewood, CO

Southwest Florida All American Soap

Box Derby Inc., Fort Myers, FL

Southwest Philadelphia Presbytery

Apartments Inc., Villanova, PA

Southwest Range & Wildlife Foundation,

Austin, TX

If an organization listed above submits

information that warrants the renewal of

its classification as a public charity or as a

22

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.

1998–23 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 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

Soulides, James C.

Bujan, Frank

Field, Edward L.

Cito, Paul J.

Sproul, Jerry

Hunt, Russell

Oertli, William

Maynard, Richard

McDonald, Bill

Komendant, Howard

Kwiatek, Fabian A.

Brown, Patricia

Marshall, Robert

Baloun, Donald J.

Goldman, Harold J.

Garner, Darrow C.

Klein, Charles U.

Morgan, Robert I.

Teel, Jeffrey J.

Hancock, Randall M.

Allison Jr., Dale A.

Gogel, William A.

Bose, Gautem

Woods, W. Rex

Monahan, John

Swartz, Lewis A.

Berwyn, IL

Orland Park, IL

Topeka, KS

West Orange, NJ

Idaho Falls, ID

Pauls Valley, OK

Rochester, MN

Reno, NV

Reno, NV

Passaic, NJ

Silver Spring, MD

DeKalb, IL

Woodland Hills, CA

Palatine, IL

Summit, NJ

Austin, TX

Dunedin, FL

Brownsville, VT

Hollis, NH

Gardendale, AL

Blairsville, GA

North Hills, NY

Oak Brook, IL

Belleville, KS

Seattle, WA

Syosset, NY

CPA

CPA

CPA

CPA

CPA

CPA

CPA

CPA

Attorney

CPA

CPA

CPA

Attorney

CPA

CPA

CPA

CPA

Attorney

CPA

CPA

Attorney

Attorney

CPA

CPA

Attorney

CPA

January 1, 1998 to June 30, 2000

January 1, 1998 to June 30, 2000

January 27, 1998 to April 26, 1999

February 21, 1998 to May 20, 1999

February 25, 1998 to October 24, 1998

March 1, 1998 to June 30, 1998

Mach 4, 1998 to March 3, 2000

March 10, 1998 to March 9, 2002

March 10, 1998 to March 9, 2002

March 10, 1998 to September 9, 1998

March 16, 1998 to March 15, 2001

March 16, 1998 to September 15, 1999

March 18, 1998 to November 17, 2000

March 25, 1998 to November 24, 1998

March 27 , 1998 to September 26, 1998

April 1, 1998 to March 20, 2000

April 1, 1998 to September 30, 1999

April 2, 1998 to April 1, 2000

April 2, 1998 to April 1, 2001

Indefinite from April 13, 1998

April 15, 1998 to July 14, 2001

April 21, 1998 to April 20, 2002

May 1, 1998 to April 30, 2001

May 1, 1998 to January 31, 1999

May 1, 1998 to April 30, 2001

May 1, 1998 to April 30, 2002

1998–23 I.R.B.

23

June 8, 1998

Name

Address

Designation

Date of Suspension

Eckert, Bruce G.

Rozanski, Lawrence J.

Mangum, Carl E.

Reeser, Richard M.

Bailey, Thomas O.

Johnson, Kenneth E.

Deren, Joseph

Cleveland, OH

Pittsburg, PA

Morris Plains, NJ

Thornton, CO

Dallas, TX

Forest Lake, MN

Lackawanna, NY

CPA

CPA

CPA

CPA

CPA

CPA

Attorney

May 2, 1998 to May 1, 1999

June 1, 1998 to May 30, 2000

July 1, 1998 to December 31, 1999

July 1, 1998 to September 30, 1999

July 1, 1998 to June 30, 2001

July 1, 1998 to November 30, 1999

July 1, 1998 to June 30, 2001

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 has 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

McDonald, Milton

Parsons, Gary D.

Stone Mountain, GA

Chattanooga, TN

Attorney

CPA

Indefinite from February 24, 1998

Indefinite from February 24, 1998

Buchanan, Steven

Phoenix, AZ

Attorney

Indefinite from February 24, 1998

Caplan, Alan

San Francisco, CA

Attorney

Indefinite from February 24, 1998

Delany, R. Emmet

Ridgefield, CT

Attorney

Indefinite from February 24, 1998

Hirsch, Sheldon

Brooklyn, NY

CPA

Indefinite from February 24, 1998

Newman, Peter R.

Syossett, NY

Attorney

Indefinite from February 24, 1998

Land, Gary

Hunt, William D.

Hamilton, Robert

Rabinowitz, Emile

McCaffrey, Michael

Eisenstein, Joel

Fayetteville, AR

Tulsa, OK

Corpus Christie, TX

Minnetonka, MN

Wheaton, IL

St. Charles, MO

Enrolled Agent

Attorney

Attorney

Enrolled Agent

CPA

Attorney

Indefinite from February 24, 1998

Indefinite from February 24, 1998

Indefinite from February 24, 1998

Indefinite from February 24, 1998

Indefinite from February 24, 1998

Indefinite from February 24, 1998

June 8, 1998

24

1998–23 I.R.B.

Name

Address

Designation

Date of Suspension

Cannavo Jr., Joseph S.

Tilker, Robert M.

Toms, James H.

Everett, Kenneth

Frederick, Charles

Artho, David

Seale, Forrest I.

Yancey, Quinton E.

Hunnicut, Benjamin

Finkel, Merle

Mullay, Carl P.

Cunning, Dennis A.

Adamson, Steven A.

Bowman, David W.

Beezley, Jack L.

Cunningham, Andrew

Palmquist, Craig S.

Ross, Mark J.

Madoch, Lawrence

Taylor, George M.

Casey, Kenneth J.

Akolt III, John P.

Dowdy, Frank

Eckert, Bruce G.

Rozanski, Lawrence J.

Mangum, Carl E.

Reeser, Richard M.

Bailey, Thomas O.

Johnson, Kenneth E.

Deren, Joseph

St. Louis, MO

Fairfax, VA

Hendersonville, NC

New York, NY

Elk Grove

Lubbock, TX

San Antonio, TX

Stephens City, VA

Reseda, CA

Beverly Hills, CA

Swoyersville, PA

Molalla, OR

Nampa, ID

Colorado Springs, CO

Dallas, TX

Hatfield, PA

Seattle, WA

Columbus, OH

Elgin, IL

Springfield, IL

Corte Madera, CA

Denver, CO

Huntsville, AL

Cleveland, OH

Pittsburgh, PA

Morris Plains, NJ

Thornton, CO

Dallas, TX

Forest Lake, MN

Lackawanna, NY

Attorney

CPA

Attorney

Attorney

Enrolled Agent

CPA

CPA

CPA

CPA

CPA

CPA

CPA

Attorney

Attorney

Attorney

CPA

Attorney

Attorney

CPA

Attorney

CPA

Attorney

CPA

CPA

CPA

CPA

CPA

CPA

CPA

Attorney

Indefinite from February 24, 1998

Indefinite from February 24, 1998

Indefinite from February 24, 1998

Indefinite from February 24, 1998

Indefinite from March 13, 1998

Indefinite from March 18, 1998

Indefinite from March 18, 1998

Indefinite from March 18, 1998

Indefinite from March 18, 1998

Indefinite from March 18, 1998

Indefinite from March 18, 1998

Indefinite from March 18, 1998

Indefinite from April 14, 1998

Indefinite from April 21, 1998

Indefinite from April 21, 1998

Indefinite from April 28, 1998

Indefinite from April 21, 1998

Indefinite from April 21, 1998

Indefinite from April 21, 1998

Indefinite from April 21, 1998

Indefinite from April 21, 1998

Indefinite from April 21, 1998

Indefinite from April 28, 1998

May 2, 1998 to May 1, 1999

June 1, 1998 to May 30, 2000

July 1, 1998 to December 31, 1999

July 1, 1998 to September 30, 1999

July 1, 1998 to June 30, 2001

July 1, 1998 to November 30, 1999

July 1, 1998 to June 30, 2001

1998–23 I.R.B.

25

June 8, 1998

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.

June 8, 1998

26

1998–23 I.R.B.

Numerical Finding List1

Notices—Continued

Revenue Procedures—Continued

Bulletins 1998–1 through 1998–22

98–21, 1998–15 I.R.B. 14

98–22, 1998–17 I.R.B. 5

98–23, 1998–18 I.R.B. 9

98–24, 1998–17 I.R.B. 5

98–25, 1998–18 I.R.B. 11

98–26, 1998–18 I.R.B. 14

98–27, 1998–18 I.R.B. 14

98–28, 1998–19 I.R.B. 7

98–29, 1998–22 I.R.B. 8

98–30, 1998–22 I.R.B. 9

98–31, 1998–22 I.R.B. 10

98–32, 1998–22 I.R.B. 23

98–22, 1998–12 I.R.B. 11

98–23, 1998–10 I.R.B. 30

98–24, 1998–10 I.R.B. 31

98–25, 1998–11 I.R.B. 7

98–26, 1998–13 I.R.B. 26

98–27, 1998–15 I.R.B. 15

98–28, 1998–15 I.R.B. 14

98–29, 1998–15 I.R.B. 22

98–30, 1998–17 I.R.B. 6

98–32, 1998–17 I.R.B. 11

98–33, 1998–19 I.R.B. 7

98–34, 1998–18 I.R.B. 15

98–35, 1998–21 I.R.B. 6

Announcements:

98–1, 1998–2 I.R.B. 38

98–2, 1998–2 I.R.B. 38

98–3, 1998–2 I.R.B. 38

98–4, 1998–4 I.R.B. 31

98–5, 1998–5 I.R.B. 25

98–6, 1998–5 I.R.B. 25

98–7, 1998–5 I.R.B. 26

98–8, 1998–6 I.R.B. 96

98–9, 1998–7 I.R.B. 35

98–10, 1998–7 I.R.B. 35

98–11, 1998–8 I.R.B. 42

98–12, 1998–8 I.R.B. 43

98–13, 1998–8 I.R.B. 43

98–14, 1998–8 I.R.B. 44

98–15, 1998–10 I.R.B. 36

98–16, 1998–9 I.R.B. 17

98–17, 1998–9 I.R.B. 16

98–18, 1998–10 I.R.B. 44

98–19, 1998–10 I.R.B. 44

98–20, 1998–11 I.R.B. 25

98–21, 1998–11 I.R.B. 26

98–22, 1998–12 I.R.B. 33

98–23, 1998–12 I.R.B. 34

98–24, 1998–12 I.R.B. 35

98–25, 1998–13 I.R.B. 43

98–26, 1998–14 I.R.B. 28

98–27, 1998–15 I.R.B. 30

98–28, 1998–15 I.R.B. 30

98–29, 1998–16 I.R.B. 48

98–30, 1998–17 I.R.B. 38

98–32, 1998–17 I.R.B. 39

98–33, 1998–17 I.R.B. 39

98–34, 1998–17 I.R.B. 39

98–35, 1998–17 I.R.B. 40

98–36, 1998–18 I.R.B. 18

98–37, 1998–19 I.R.B. 24

98–38, 1998–19 I.R.B. 26

98–39, 1998–20 I.R.B. 24

98–40, 1998–20 I.R.B. 24

98–41, 1998–20 I.R.B. 25

98–42, 1998–21 I.R.B. 26

98–43, 1998–21 I.R.B. 26

98–44, 1998–22 I.R.B. 24

Notices:

98–1, 1998–3 I.R.B. 42

98–2, 1998–2 I.R.B. 22

98–3, 1998–3 I.R.B. 48

98–4, 1998–2 I.R.B. 25

98–5, 1998–3 I.B.R. 49

98–6, 1998–3 I.R.B. 52

98–7, 1998–3 I.R.B. 54

98–8, 1998–4 I.R.B. 6

98–9, 1998–4 I.R.B. 8

98–10, 1998–6 I.R.B. 9

98–11, 1998–6 I.R.B. 18

98–12, 1998–5 I.R.B. 12

98–13, 1998–6 I.R.B. 19

98–14, 1998–8 I.R.B. 27

98–15, 1998–9 I.R.B. 8

98–16, 1998–15 I.R.B. 12

98–17, 1998–11 I.R.B. 6

98–18, 1998–12 I.R.B. 11

98–19, 1998–13 I.R.B. 24

98–20, 1998–13 I.R.B. 25

Proposed Regulations:

PS–158–86, 1998–11 I.R.B. 13

REG–100841–97, 1998–8 I.R.B. 30

REG–102144–98, 1998–15 I.R.B. 25

REG–102894–97, 1998–3 I.R.B. 59

REG–104062–97, 1998–10 I.R.B. 34

REG–104537–97, 1998–16 I.R.B. 21

REG–104691–97, 1998–11 I.R.B. 13

REG–105163–97, 1998–8 I.R.B. 31

REG–109333–97, 1998–9 I.R.B. 9

REG–109704–97, 1998–3 I.R.B. 60

REG–110965–97, 1998–13 I.R.B. 42

REG–115795–97, 1998–8 I.R.B. 33

REG–119449–97, 1998–10 I.R.B. 35

REG–120200–97, 1998–12 I.R.B. 32

REG–120882–97, 1998–14 I.R.B. 25

REG–121268–97, 1998–20 I.R.B. 12

REG–121755–97, 1998–9 I.R.B. 13

REG–208299–90, 1998–16 I.R.B. 26

REG–209276–87, 1998–11 I.R.B. 18

REG–209322–82, 1998–15 I.R.B. 26

REG–209373–81, 1998–14 I.R.B. 26

REG–209463–82, 1998–4 I.R.B. 27

REG–209476–82, 1998–8 I.R.B. 36

REG–209484–87, 1998–8 I.R.B. 40

REG–209485–86, 1998–11 I.R.B. 21

REG–209682–94, 1998–17 I.R.B. 20

REG–209807–95, 1998–8 I.R.B. 40

REG–243025–96, 1998–18 I.R.B. 18

REG–251502–96, 1998–9 I.R.B. 14

REG–251698–96, 1998–20 I.R.B. 14

Revenue Rulings:

98–1, 1998–2 I.R.B. 5

98–2, 1998–2 I.R.B. 15

98–3, 1998–2 I.R.B. 4

98–4, 1998–2 I.R.B. 18

98–5, 1998–2 I.R.B. 20

98–6, 1998–4 I.R.B. 4

98–7, 1998–6 I.R.B. 6

98–8, 1998–7 I.R.B. 24

98–9, 1998–6 I.R.B. 5

98–10, 1998–10 I.R.B. 11

98–11, 1998–10 I.R.B. 13

98–12, 1998–10 I.R.B. 5

98–13, 1998–11 I.R.B. 4

98–14, 1998–11 I.R.B. 4

98–15, 1998–12 I.R.B. 6

98–16, 1998–13 I.R.B. 18

98–17, 1998–13 I.R.B. 21

98–18, 1998–14 I.R.B. 22

98–19, 1998–15 I.R.B. 5

98–20, 1998–15 I.R.B. 8

98–21, 1998–18 I.R.B. 7

98–22, 1998–19 I.R.B. 5

98–23, 1998–18 I.R.B. 5

98–24, 1998–19 I.R.B. 6

98–25, 1998–19 I.R.B. 4

98–26, 1998–21 I.R.B. 4

98–27, 1998–22 I.R.B. 4

98–28, 1998–22 I.R.B. 5

Treasury Decisions:

Revenue Procedures:

98–1, 1998–1 I.R.B. 7

98–2, 1998–1 I.R.B. 74

98–3, 1998–1 I.R.B. 100

98–4, 1998–1 I.R.B. 113

98–5, 1998–1 I.R.B. 155

98–6, 1998–1 I.R.B. 183

98–7, 1998–1 I.R.B. 222

98–8, 1998–1 I.R.B. 225

98–9, 1998–3 I.R.B. 56

98–10, 1998–2 I.R.B. 35

98–11, 1998–4 I.R.B. 9

98–12, 1998–4 I.R.B. 18

98–13, 1998–4 I.R.B. 21

98–14, 1998–4 I.R.B. 22

98–15, 1998–4 I.R.B. 25

98–16, 1998–5 I.R.B. 19

98–17, 1998–5 I.R.B. 21

98–18, 1998–6 I.R.B. 20

98–19, 1998–7 I.R.B. 30

98–20, 1998–7 I.R.B. 32

98–21, 1998–8 I.R.B. 27

8740, 1998–3 I.R.B. 4

8741, 1998–3 I.R.B. 6

8742, 1998–5 I.R.B. 4

8743, 1998–7 I.R.B. 26

8744, 1998–7 I.R.B. 20

8745, 1998–7 I.R.B. 15

8746, 1998–7 I.R.B. 4

8747, 1998–7 I.R.B. 18

8748, 1998–8 I.R.B. 24

8749, 1998–7 I.R.B. 16

8750, 1998–8 I.R.B. 4

8751, 1998–10 I.R.B. 23

8752, 1998–9 I.R.B. 4

8753, 1998–9 I.R.B. 6

8754, 1998–10 I.R.B. 15

8755, 1998–10 I.R.B. 21

8756, 1998–12 I.R.B. 4

8757, 1998–13 I.R.B. 4

8758, 1998–13 I.R.B. 15

8759, 1998–13 I.R.B. 19

8760, 1998–14 I.R.B. 4

8761, 1998–14 I.R.B. 13

1 See footnote at end of list.

1998–23 I.R.B.

27

June 8, 1998

Numerical Finding List—Continued

Bulletins 1998–1 through 1998–22

Treasury Decisions—Continued

8762, 1998–14 I.R.B. 15

8763, 1998–15 I.R.B. 5

8764, 1998–15 I.R.B. 9

8765, 1998–16 I.R.B. 11

8766, 1998–16 I.R.B. 17

8767, 1998–16 I.R.B. 4

8768, 1998–20 I.R.B. 4

1 A cumulative list of all revenue rulings, revenue

procedures, Treasury decisions, etc., published in

Internal Revenue Bulletins 1997–27 through

1997–52 will be found in Internal Revenue Bulletin

1998–1, dated January 5, 1998.

June 8, 1998

28

1998–23 I.R.B.

Finding List of Current Action on

Previously Published Items1

Bulletins 1998–1 through 1998–22

Revenue Procedures:

91–59

Updated and superseded by

98–25, 1998–11 I.R.B. 7

94–16

Modified and superseded by

98–22, 1998–12 I.R.B. 11

93–62

Modified and superseded by

98–22, 1998–12 I.R.B. 11

95–35

95–35A

Superseded by

98–19, 1998–7 I.R.B. 30

96–29

Modified and superseded by

98–22, 1998–12 I.R.B. 11

Revenue Rulings:

68–352

Obsoleted by

98–24, 1998–19 I.R.B. 6

70–225

Modified by

98–27, 1998–22 I.R.B. 4

73–198

Modified by

98–24, 1998–19 I.R.B. 6

75–17

Supplemented and superseded by

98–5, 1998–2 I.R.B. 20

75–406

Obsoleted by

98–27, 1998–22 I.R.B. 4

92–19

Supplemented in part by

98–2, 1998–2 I.R.B. 15

96–30

Obsoleted by

98–27, 1998–22 I.R.B. 4

97–1

Superseded by

98–1, 1998–1 I.R.B. 7

97–2

Superseded by

98–2, 1998–1 I.R.B. 74

97–3

Superseded by

98–3, 1998–1 I.R.B. 100

97–4

Superseded by

98–4, 1998–1 I.R.B. 113

97–5

Superseded by

98–5, 1998–1 I.R.B. 155

97–6

Superseded by

98–6, 1998–1 I.R.B. 183

97–7

Superseded by

98–7, 1998–1 I.R.B. 222

97–8

Superseded by

98–8, 1998–1 I.R.B. 225

97–21

Superseded by

98–2, 1998–1 I.R.B. 74

97–24

97–24A

Superseded by

98–33, 1998–19 I.R.B. 7

97–26

Obsoleted by

98–28, 1998–15 I.R.B. 14

97–34

Superseded by

98–35, 1998–21 I.R.B. 6

97–53

Superseded by

98–3, 1998–1 I.R.B. 100

1 A cumulative finding list for previously published

items mentioned in Internal Revenue Bulletins

1997–27 through 1997–52 will be found in Internal

Revenue Bulletin 1998–1, dated January 5, 1998.

1998–23 I.R.B.

29

June 8, 1998

Notes

June 8, 1998

30

1998–23 I.R.B.

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.

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

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WE WELCOME COMMENTS ABOUT THE

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If you have comments concerning the format or production of the Internal Revenue Bulletin or suggestions for improving it, we

would be pleased to hear from you. You can e-mail us your suggestions or comments through the IRS Internet Home Page

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