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. 96–35, page 4. Low-income housing tax credit. Assistance provided by the Federal Emergency Management Agency to the owner of property that is damaged by a disaster will not result in a reduction of the eligible basis of the property under section 42(d)(5), or the recharacterization of the property under section 42(i)(2) as federally subsidized.

T.D. 8678, page 11. CO–25–96, page 30. Temporary and proposed regulations under section 1502 of the Code relate to the limitations on net operating loss carryforwards and certain built-in losses and credits following an ownership change. A public hearing on the proposed regulations will be held on October 17, 1996.

T.D. 8679, page 4. CO–26–96, page 31. Final, temporary, and proposed regulations under section 382 of the Code relate to limitations on net operating loss carryforwards and certain built-in losses following an ownership change in short taxable years and with respect to controlled groups. A public hearing on the proposed regulations will be held on October 17, 1996.

FI–28–96, page 33. Proposed regulations under section 148 of the Code relate to the arbitrage restrictions applicable to tax-exempt bonds

Finding Lists begin on page 49. Announcement of Disbarments and Suspensions begins on page 47.