INCOME TAX

T.D. 8786, page 4. Final regulations under section 863 of the Code govern the source of income from sales of inventory produced in the United States and sold in a possession of the United States or produced in a possession of the United States and sold in the United States and from sales of inventory purchased in a possession of the United States and sold in the United States. Final regulations under section 936 of the Code govern the source of income from sales in the United States of property purchased from a corporation that has an election under section 936 in effect.