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. 96–45, page 5. Low-income housing credit; satisfactory bond; ‘‘bond factor’’ amounts for the period July through Septem- ber 1996. This ruling announces the monthly bond factor amounts to be used by taxpayers who dispose of qualified low-income buildings or interests therein during the period July through September 1996.

Rev. Rul. 96–46, page 5. LIFO; price indexes; department stores. The July 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, July 31, 1996.

Rev. Proc. 96–47, page 10. Regulated investment companies; preferential divi- dends. Conditions are described under which distributions made to shareholders of a regulated investment company may vary and, nevertheless, be considered as dividends for purposes of computing the dividends paid deduction.

EMPLOYEE PLANS

Notice 96–45, page 7. Guidelines are set forth for determining for September 1996, the weighted average interest rate and the resulting permissible range of interest rates used to calculate current liability for purposes of the full funding limitation of section 412(c)(7) of the Code as amended by the Omnibus Budget Reconciliation Act of 1987 and by the Uruguay Round Agreements Act (GATT).

EXEMPT ORGANIZATIONS

Notice 96–46, page 7. Taxes on excess benefit transactions. This notice describes new Code section 4958 excise taxes on

Finding Lists begin on page 47. Announcements of Disbarments and Suspensions begin on page 44.