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

T.D. 8702, page 4. Final regulations relate to certain transfers of stock or securities of domestic corporations by U.S. persons to foreign corporations pursuant to the corporate organization, reorganization, or liquidation provisions of section 367 of the Code.

T.D. 8703, page 18. Final regulations under section 6081 of the Code provide new and simpler procedures for an individual to obtain an automatic extension of time to file an individual income tax return.

T.D. 8704, page 12. Final regulations under sections 952, 954, and 960 of the Code relate to the definitions of subpart F income and foreign personal holding company income of a controlled foreign corporation and the allocation of deficits to compute the deemed-paid foreign tax credit.

T.D. 8705, page 16. REG–247862–96, page 32. Final and temporary regulations under section 6071 of the Code provide that disqualified persons and organization managers liable for Code section 4958 excise taxes are required to file Form 4720.

REG–209494–90, page 24. Proposed regulations under section 41 of the Code describe when computer software that is developed by (or for the benefit of) a taxpayer, primarily for the taxpayer’s internal use, can qualify for the credit for increasing research activities. A public hearing will be held on May 13, 1997.

REG–209839–96, page 26. Proposed regulations under section 832 of the Code relate to the requirement that insurance companies other than life insurance companies reduce, by 20 percent, their deductions for increases in unearned

Finding Lists begin on page 41. Announcement of Disbarments and Suspensions begins on page 40.