Bulletin No. 1998–3 January 20, 1998

state in 1998. For this purpose, “state” includes the District of Columbia and the possessions of the United States.

Notice 98–3, page 48. Elections under section 7704(g). This notice provides the requirements for making and revoking an election under section 7704(g) of the Code. This election allows grandfathered publicly traded partnerships to avoid being treated as corporations for federal tax purposes.

Notice 98–5, page 49. Foreign tax credit abuse. Treasury and the Service expect to issue regulations that will disallow foreign tax credits for foreign taxes paid or accrued in connection with certain abusive transactions.

Notice 98–6, page 52. Notice on section 685. Guidance is provided on Qualified Funeral Trust (QFT) eligibility requirements, election procedures, and simplified reporting requirements.

Notice 98–7, page 54. Information reporting; interest on education loans. Payees of interest that may be deductible by the payor as qualified education loan interest are informed of their information reporting requirements for 1998 under section 6050S of the Code, as added by the Taxpayer Relief Act of 1997.