INCOME TAX

Rev. Rul. 98–60, page 6. REIT impermissible tenant service income. If a REIT receives impermissible tenant service income of one percent or less of its total income from a property, then only the impermissible tenant service income fails to qualify as rents from real property. If the impermissible tenant service income exceeds one percent, then all income derived by the REIT from that property fails to qualify as rents from real property. Rev. Rul. 98–61, page 8. Interest rates; underpayments and overpayments. The rate of interest determined under section 6621 of the Code for the calendar quarter beginning January 1, 1999, will be 7 percent for overpayment (6 percent in the case of a corporation), 7 percent for underpayments, and 9 percent for large corporate underpayments. The rate of interest paid on the portion of a corporate overpayment exceeding $10,000 is 4.5 percent. Rev. Rul. 98–62, page 4. LIFO; price indexes; department stores. The October 1998 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, October 31, 1998.