INCOME TAX

Rev. Rul. 97–48, page 5. This ruling revokes Rev. Rul 75–7, 1975–1 C.B. 244, and holds that the activities of a contract manufacturer cannot be attributed to a controlled foreign corporation for purposes of either section 954(d)(1) or section 954(d)(2) of the Code to determine whether the income of a controlled foreign corporation is foreign base company sales income. The ruling, however, provides section 7805(b) relief for taxable years of a controlled foreign corporation beginning before December 8, 1997. Rev. Rul. 75–7 revoked.

Rev. Rul. 97–50, page 5. Federal rates; adjusted federal rates; adjusted federal long-term rate, and the long-term exempt rate. For purposes of sections 1274, 1288, 382, and other sections of the Code, tables set forth the rates for December 1997.

Rev. Rul. 97–51, page 4. Loan to community development corporation is eligi- ble for general business credit. The full amount of the loan made to a community development corporation (CDC) is a “transfer of cash” to the CDC for purposes of the definition of a “qualified CDC contribution.”