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. 97–13, page 4. Special use value; farms; interest rates. The 1997 interest rates to be used in computing the special use value of farm real property for which an election is made under section 2032A of the Code are listed for estates of decedents.

Notice 97–24, page 6. Certain trust arrangements. This notice warns taxpayers about “trust” arrangements that purport to reduce or eliminate federal taxes in ways that are not permitted by the tax law. The notice describes some typical abusive trust arrangements and provides that, in appropriate circumstances, taxpayers and/or promoters in these trust arrangements may be subject to civil and/or criminal penalties.

Notice 97–25, page 8. T.D. 8560, 1994–2 C.B. 200; T.D. 8597, 1995–2 C.B. 147; and T.D. 8660, 1996–1 C.B. 195, relating to the consolidated return investment adjustment provisions, intercompany transactions provisions, and the provisions limiting losses and deductions from transactions between members of a nonconsolidated controlled group, are corrected.

Finding Lists begin on page 31. Announcement of Disbarments and Suspensions begins on page 29.