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. 97–15, page 42. LIFO; price indexes, department stores. The January 1997 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, January 31, 1997.

T.D. 8711, page 35. REG–252665–96, page 46. Final, temporary, and proposed regulations under sections 1060 and 338 of the Code relate to purchase price allocations in taxable asset acquisitions and deemed asset purchases. A public hearing on the proposed regulations will be held on May 22, 1997.

T.D. 8712, page 4. Final regulations under section 141 of the Code provide the definition of private activity bonds applicable to tax-exempt bonds issued by state and local governments.

EXEMPT ORGANIZATIONS

Announcement 97–26, page 48. A list is given of organizations now classified as private foundations.

Finding Lists begin on page 52. Announcement of Disbarments and Suspensions begins on page 50.