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. 97–6, page 4. LIFO; price indexes; department stores. The November 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, November 30, 1996.

Rev. Rul. 97–5, page 5. Insurance companies; premium stabilization re- serves. A non-life-insurance company’s surplus does not include amounts held on behalf of a group of insureds in a premium stabilization reserve. Rev. Rul. 70–480, revoked.

T.D. 8695, page 5. Final regulations under section 6103 of the Code relate to the disclosure of returns and return information in connection with the procurement of property and services for tax administration purposes.

REG–209834–96, page 9. Proposed regulations under section 1396 of the Code relate to the period employers may use in computing the empowerment zone employment credit.

EMPLOYEE PLANS

Notice 97–8, page 7. Weighted average interest rate update. Guidelines are set forth for determining for January 1997 the weighted average interest rate and the resulting permissible range

Finding Lists begin on page 16. Announcement of Disbarments and Suspensions begins on page 14.