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

Rev. Rul. 96–36, page 6. LIFO; price indexes; department stores. The May 1996 Bureau of Labor Statistics price indexes are accepted for use by department stores employing the retail inventory and last-in, first-out inventory methods for valuing inventories for tax years ended on, or with reference to, May 31, 1996.

T.D. 8676, page 4. FI-59-94, page 23. Temporary and proposed regulations under section 166 of the Code relate to the allowance of a deduction for a partially worthless debt when the terms of a debt instrument have been modified.

T.D. 8677, page 7. CO-24-96, page 22. Final, temporary, and proposed regulations under section 1502 of the Code relate to the limitations on the use of certain losses and deductions on consolidated returns. A public hearing on the proposed regulations will be held on October 17, 1996.

Finding Lists begin on page 32. Announcement of Disbarments and Suspensions begins on page 29.