Part III. Mr. Smith does not complete

Part III. Although he received a Form 1099-R for his recharacterization of $7,000 from the Roth IRA to a traditional IRA, the recharacterization is not a distribution that is to be reported on line 18 of Part III. It is merely a trustee-to-trustee transfer of funds between IRA accounts.

Completion of Form 1040: Mr. Smith includes $22,000 on line 15a. This is the total IRA distributions that were reported to him in box 1 of the Forms 1099-R he received. Mr. Smith includes $1,250, the amount of the conversion that is taxable in 1998, on line 15b. This is the amount from line 17 of Form 8606.

II. Clarification of Amount Subject to

10% Additional Tax

The Note after line 26 of Form 8606 is incomplete. Regardless of whether you have an amount on line 22 or 25 of Form 8606, you may be subject to an additional 10% tax. The Note should read as follows:

“ Note: If you receive a Roth IRA distribution before reaching age 59 ¹ ⁄2, you may be subject to an additional 10% tax. See Form 5329. Include on line 1 of Form 5329 the smaller of the amount on line 20 or the sum of the amounts on lines 16 and 25.” Please disregard the paragraph headed Lines 22 and 25-Additional 10% Tax on page 6 of the instructions for Form 8606, as well as the first complete paragraph in the middle column of page 3 of the instructions for Form 5329.

March 29, 1999 22 1999–13 I.R.B.

tions have lost their status as organizations described in section 501(c)(3), eligible to receive deductible contributions.

Former Public Charities. The following organizations (which have been treated as organizations that are not private foundations described in section 509(a) of the Code) are now classified as private foundations: Adolescent Interchange Service Inc.,

Laredo, TX Imani & Friends Incorporated, Chicago,

IL I M P A C T Institute Inc., Oakland Park,

Gaffney Main Street Corporation,

Gaffney, SC Greater Ottumwa Vocal Arts Project Inc.,

Ottumwa, IA Hayes School Alumni Inc., Brooklyn, NY HIV-AIDS Planning & Management

Organization Inc., Miami, FL Housing Authority of the City of Laredo,

Indy Tres Dias Inc., Indianapolis, IN Infancia Mexicana Inc., South Bend, IN Infinity Systems for Nonprofits Inc.,

San Bernardino, CA Inland Northwest Mens Evolvement

Minneapolis, MN Injured Athletes Recovery Fund,

Providence, RI Inland Empire Pride Inc.,

Shreveport, LA African Haitian American Operation

Network, Spokane, WA Inn Fellowship Inc., St. Louis, MO Inner City Community Development Inc.,

Hope for Democracy for Rebuilding, Newburg, IN American Friends of the International

Disability Foundation Inc., New York, NY American Relief Services Inc., Walnut

FL Iberia Pro Bono Project, New Iberia, LA Idaho Empowerment Program Inc.,

Boise, ID Idaho Freedom Chorus Inc., Boise, ID IHS Inc., Winslow, AZ Ila Gail Educational Foundation Inc., Salt

Island, WA Inner City Youth Foundation, Cleveland,

Knoxville, TN Inner-City Ministries Inc., Ellendale,

ND Inner-City Vision Ministries, Mercer

OH Inner Development Inc., Staten Island,

NY Inner Essence Deliverance Ministries,

Kalamazoo, MI Innervision, Denver, CO Inside Out Productions, Houston, TX Insight Alaska, Anchorage, AK Inspirational Moments Inc., West

Creek, CA Arcadia Academy Valley Inc., Ironton,

MO Beauty of Life, Brooklyn, NY Blazer Mat Club, Douglassville, PA Brothers Empowering African Minds,

Lake City, UT Illinois Education First Foundation,

Springfield, IL Image Productions, Colorado Springs,

Raleigh, NC Career Kids Incentive Program, Seattle,

CO Imagication Childrens Television,

Mansfield Ctr., CT Imani Inc., Detroit, MI Immunet Inc., New York, NY Impact Community & Economic

CA Inspirit Inc. A Non-Profit Corporation,

WA Cheerleading Association of Stratford

High School, Goose Creek, SC Chicago Lawn and Gage Park

Community Youth Center Inc., Chicago, IL City Wide Resident Management

Chester, PA Inspirit Counseling Center, San Anselmo,

Wheat Ridge, CO Institute for Family Education and

Economic Development IFEED, Greenville, MS Institute for Christian Leadership Inc.,

Corporation Inc., Gary, IN Community Homeowners Association

Development Corporation, Portland, OR In Christ International, Santa Ana, CA In His Service Ministries Inc.,

Portland, OR Institute for Competition Inc.,

Inc., Dorchester, MA Creative Bridges Inc., San Francisco, CA David S Brown Foundation Inc., Boston,

Ponchatoula, LA In-Reach Foundation, Pittsburg, CA In Recital, New York, NY Incentives Inc., Jamacia, NY Independence for Physically Disabled

Children Inc., Oceanside, NY Independent Democratic Education

MA Dejesus Foundation Inc., Castle Point,

NY Dobbs Ferry Schools Foundation Inc.,

Washington, DC Institute for Financial Economics and

Cambridge, MA Institute for Disability Resources,

Public Policy, Bethesda, MD Institute for Multi-Cultural Enrichment,

Dobbs Ferry, NY Downstate AIDS Projects, Springfield, IL Dutchman Chapel Corporation, Enoree,

Association Ideas Inc., Great Neck, NY Independent School Board Members of

Wisconsin Inc., Hales Corners, WI Indian Nations Recreation Trail Inc.,

Muskogee, OK Indiana Raiders Girls Softball Club,

Portland, OR Institute for Multi-Party Democracy Inc.,

SC Earth Camp International Inc.,

Washington, DC Institute for Naturopathic Medicine,

Los Angeles, CA Family Wellness Center Inc., North Palm

Portage, IN Indianapolis AIDS Housing Corp.,

Indianapolis, IN Indianapolis Neighborhood Resource

Beach, FL Firefighters Museum and Hall of Fame,

Van Nuys, CA Institute for Psycho Social Studies Inc.,

N Wales, PA Institute for School Board Effectiveness,

College Station, TX Franklin County Legal Childrens

Austin, TX Institute for Strategic Servanthood,

Services Inc., Malone, NY Friendly Neighbors Club of N C,

Asheville, NC Friends of the BBC Marshall Plan of the

Center Inc., Indianapolis, IN Indigenous Arts Foundation Inc.,

Belmont, MA Indo-U S Bio-Medical Research

Foundation, Burton, MI Indonesian Society of Portland, Lake

Oswego, OR

Thousand Oaks, CA Institute for Sustainable Tropical

Resource Management Inc., Pittsboro, NC

Mind Trust Inc., Bethesda, MD

1999–13 I.R.B. 23 March 29, 1999

James L Leinwand Foundation, North

NY Lawrence Foundation, Lawrence, KS Local Community Associates Inc.,

Institute for the Advanced Study of

Culture, Waterford, VA Institute for the Study of Distributed

International Eye Project Inc., Port Saint

Lucie, FL International Fund for Children, Chicago,

IL International Fund for Humanitarian Aid

Palm Beach, FL Joe Marzari Foundation, New York,

Work, Walnut Creek, CA Institute for University Studies,

Arlington, TX Institute for the Study of Family

Fairport, NY Main Street Playground Project, Hyannis,

MA Marion County Three-Point Club Inc.,

Lebanon, KY Martha for the Homeless Incorporated,

Violence, Mt. Sinai, NY Institute for Water Policy Studies, Santa Fe, NM Institute for World Religions, Irvine, CA Institute for Young Leaders Inc.,

& Development Inc., Roswell, GA International Guild of Musicians In

Dance, Tucson, AZ International Mind Dynamics Institute

Beaverton, OR International Nepali Literary Society,

Washington, DC International Network of Lesbian and

Inc., Chamblee, GA International Multicultural Inc.,

Inc., Mesa, AZ Missouri Research Institute, Kansas City,

Marietta, GA Institute of Caribbean Studies,

Washington, DC Institute of Tuition Scholarships and

Gay Officials, Minneapolis, MN International Nippon Karate-Do

Petersburg, VA Mesa Martin Luther King Jr Celebration

Grants Inc., Wilmington, DE Institute on Cultural Dynamics and

MO Mustang Basketball Association

Incorporated, Merritt Island, FL National Alliance of Pan African

Social Change Inc., Rochester, MN Intelcross Inc., Kentfield, CA Inter-Disciplinary Developmental

Assessment Studies for Kids Corp., Chicago, IL Inter Institute for Infant Nutri &

Federation, Alexandria, VA International Quarterly, Tallahassee, FL International Roma Federation

Corporation, New York, NY International Society for Intraoperative

Seminarians, Antioch, CA National Amputee Sports Foundation,

Thornton, CO New Caney AG Supporters Inc.,

New Caney, TX New Life Options Inc., Palm, FL New Mexico Middle School Assn.,

Gastrointestinal Disease, Haverford, PA Inter-Neighborhood Housing, Bronx, NY Interamericas Hash 95 Inc., Longwood,

FL Interexchange Network Inc., Kansas City,

Card Ultrasound Inc., Durham, NC International Trade Club of Southern

California, Long Beach, CA International Witness Inc., Cambridge,

Network, Houston, TX Interreligious Council of Linn County

MA International Woode Foundation Inc.,

Tijeras, NM New Mexico Society for Perenteral and

Enteral Nutrition, Albuquerque, NM New Women Entrepreneur Center

MO Interfaith Hunger Services Inc.,

Brooklyn, NY International Womens Independence

Corporation, Miami, FL Operation Lookout for Missing Children

Inc., Brooklyn, NY Outreach Foundation Inc., Dallas, TX Pacific Northwest Aleut Council, Seattle,

Bridgeport, CT Interfaith Pastoral Counseling Service

Inc., Biddford, ME International Alcohol and Drug Institute,

Mentor, OH International Association for the Study of

Incorporated, Cedar Rapids, IA Intro International Inc., Sterling, VA IOB Productions Inc., Springfield, VA Irish Focus Inc., Boston, MA Iroquois Environmental and Educational

Services Inc., Perrysburg, NY Isabella Community Playscape Inc.,

Jewish Mysticism, Cambridge, MA International Cancer Association Inc.,

WA Perch America Inc., Hammond, IN Pleasant Valley Stingray Swim Team,

Davenport, IA Progress & Freedom Foundation,

Orange City, FL International Center for Disarmament and

Mount Pleasant, MI Isabella International Institute, Bethesda,

MD Isaiah House Incorporated, Upper

Conversion, Davidson, NC International Center for Dispute

Washington, DC Riverdale High School Band Boosters,

Riverdale, GA Scottish Rite Tower Development

Resolution, Reno, NV International Center for Study of Jewish

Marlboro, MD Islamic Education Institute of Texas Inc.,

Corporation, Philadelphia, PA Smacks Peace Brigades Inc., New York,

Heroism Inc., New York, NY International Christian Training Institute,

Houston, TX Islamic Federation of New Jersey Inc.,

Jersey City, NJ Islamic Information Center of the

New Smyrna Beach, FL International Committee Invalid

NY Southeastern Massachusetts Round-Up

Assistance Cambodia, Portland, ME International Congress for Environmental

Americas, La Jolla, CA Issachar Institute Inc., Tupelo, MS Ithaca Performing Arts Center Inc.,

Ithaca, NY Its a Kids World Inc., Albuquerque, NM Ivy Plaza Housing Corporation, Shaker

Inc., New Bedford, MA St Judes Fund of Tappahannock Inc.,

Tappahannock, VA Stuff for Kids Inc., Boston, MA Surrogate Father Program Inc.,

Mt Vernon, NY Tarrant County Dental Study Group,

Comm and Technology, Chattanooga, TN International Congress on Toxicology

VII, Research Triangle Park, NC International Development Research and

Barbara, CA

Bedford, TX

Initiatives Inc., Gainesville, FL

Heights, OH Ivy Self Help Publishing Inc., Santa

March 29, 1999 24 1999–13 I.R.B.

The Mount Airy Community

Withholding Regulations; and Removal of Regulations Under Parts 1 and 35a and of Certain Regulations Under Income Tax Treaties; Correction

Announcement 99–29

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Correction to technical amendments.

SUMMARY: This document contains a correction to final regulations (T.D. 8804, 1999–12 I.R.B. 5), which were published in the Federal Register Thursday, December 31, 1998 (63 F.R. 72183), relating to the withholding of income tax on certain U.S. source income payments to foreign persons.

DATES: This correction is effective January 1, 2000.

FOR FURTHER INFORMATION CONTACT: Lilo Hester, (202) 622-3840 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

Background

The final regulations that are the subject of these corrections are under sections 1441, 1442, and 1443 of the Internal Revenue Code.

Need for Correction

As published, TD 8804 contains errors which may prove to be misleading and are in need of clarification.

Correction of Publication

Accordingly, the publication of the final rule; technical amendments (TD 8804), which was the subject of FR Doc. 98-34359, is corrected as follows:

§§1.6041–1 and 1.6042–2 [Corrected]

On page 72188, in the table following “Par. 15.”, two entries are added in numerical order to read as follows:

Development & Resource Association, Philadelphia, PA Troy Chavez Foundation, Denver, CO United States Hispanic Chamber of

Commerce Inc., Washington, DC Vision Earth Society Incorporated,

Miami, FL Washington Center for Policy &

Research Inc., Washington, DC Washingtonville Centennial Celebration

Inc., Washingtonville, NY West Branch Athletic Booster Club Inc.,

Salem, OH West Virginia Society for Parenteral and

Enteral Nutrition, Elkview, WV Youth-in-Action, St. George, UT

If an organization listed above submits information that warrants the renewal of its classification as a public charity or as a private operating foundation, the Internal Revenue Service will issue a ruling or determination letter with the revised classification as to foundation status. Grantors and contributors may thereafter rely upon such ruling or determination letter as provided in section 1.509(a)–7 of the Income Tax Regulations. It is not the practice of the Service to announce such revised classification of foundation status in the Internal Revenue Bulletin.

Adequate Disclosure of Gifts; Correction

Announcement 99–28

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Correction to notice of proposed rulemaking.

SUMMARY: This document contains a correction to the notice of proposed rulemaking (REG–106177–98, 1999–12 I.R.B. 25), which was published in the Federal Register Tuesday, December 22, 1998 (63 F.R. 70701 [I.R.B.]), relating to changes made by the Taxpayer Relief Act of 1997 and the Internal Revenue Service Restructuring and Reform Act of 1998 re

garding the valuation of prior gifts in determining estate and gift tax liability, and the period of limitations for assessing and collecting gift tax.

FOR FURTHER INFORMATION CONTACT: William L. Blodgett (202) 6223090 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

Background

The notice of proposed rulemaking that is the subject of this correction is under sections 2001 and 2504 of the Internal Revenue Code.

Need for Correction

As published, REG–106177–98 contains an error which may prove to be misleading and is in need of clarification.

Correction of Publication

Accordingly, the publication of the notice of proposed rulemaking (REG– 106177–98), which was the subject of FR Doc. 98–33648, is corrected as follows:

§20.2001–1 [Corrected]

On page 70704, column 3, §20.2001– 1(c) introductory text, line 2, the language “of paragraph (a) of this section, the” is corrected to read “of paragraph (b) of this section, the”.

Michael L. Slaughter, Acting Chief, Regulations Unit, Assistant Chief Counsel (Corporate).

(Filed by the Office of the Federal Register on March 5, 1999, 8:45 a.m., and published in the issue of the Federal Register for March 8, 1999, 64 F.R. 10964)

General Revision of Regulations Relating to Withholding of Tax on Certain U.S. Source Income Paid to Foreign Persons and Related Collection, Refunds, and Credits; Revision of Information Reporting and Backup

1999–13 I.R.B. 25 March 29, 1999

Michael L. Slaughter, Acting Chief, Regulations Unit, Assistant Chief Counsel (Corporate).

(Filed by the Office of the Federal Register on March 8, 1999, 8:45 a.m., and published in the issue of the Federal Register for March 9, 1999, 64 F.R. 11378)

Recharacterizing Financing Arrangements Involving Fast-pay Stock; Correction

Announcement 99–30

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Correction to notice of proposed rulemaking.

SUMMARY: This document contains a correction to REG–104072–97, which was published in 1999–11 I.R.B. 12, relating to financing arrangements involving fast-pay stock.

FOR FURTHER INFORMATION CONTACT: Jonathan Zelnik, (202) 622-3940 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

Background

The notice of proposed rulemaking that is the subject of this correction is under section 7701 of the Internal Revenue Code.

Need for Correction

As published, REG–104072–97 contains errors which may prove to be misleading and are in need of clarification.

Correction of Publication

Accordingly, the publication of the notice of proposed rulemaking (REG– 104072–97), which is the subject of FR Doc. 99–178, is corrected as follows:

§1.1441–7 [Corrected]

1. On page 810, column 1, §1.1441– 7(g)(4) Example 2, line 4, the language “that A entered the arrangement with a” is corrected to read ”that A entered into the arrangement with a”.

§1.7701(l)–3 [Corrected]

2. On page 810, column 3, §1.7701(l)– 3(c)(3)(iv)(A), line 3, the language “attributable to financing instruments)” is corrected to read “attributable to the financing instruments)”.

3. On page 811, column 3, §1.7701(l)– 3(e) Example 5 (i), line 3 from the bottom of the paragraph, the language “Y’s 1996 deduction attributable to financing” is corrected to read “Y’s 1996 deduction attributable to the financing”.

Cynthia E. Grigsby, Chief, Regulations Unit, Assistant Chief Counsel (Corporate).

(Filed by the Office of the Federal Register on February 25, 1999, at 8:45 a.m., and published in the issue of the Federal Register for March 3, 1999, 64 F.R. 10262)

Notice of Significant Reduction in the Rate of Future Benefit Accrual; Correction

Announcement 99–31

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Correction to final regulations.

SUMMARY: This document contains corrections to Treasury Decision (T.D. 8795, 1999–7 I.R.B. 8) relating to defined benefit plans and to individual account plans that are subject to the funding standards of section 302 of the Employment Retirement Income Security Act of 1974.

DATES: These corrections are effective December 14, 1998.

FOR FURTHER INFORMATION CONTACT: Diane S. Bloom, (202) 622-6214 or Christine L. Keller, (202) 622-6090 (not toll-free numbers).

SUPPLEMENTARY INFORMATION:

Background

The final regulations that are the subject of these corrections are under section 411 of the Internal Revenue Code.

Need for Correction

As published, T.D. 8795 contains errors which may prove to be misleading and are in need of clarification.

Correction of Publication

Accordingly, the publication of the final regulations (T.D .8795), which was the subject of FR Doc. 98–32925, is corrected as follows:

1. On page 68680, column 2, in the preamble under the paragraph heading “Special Analyses”, line 12, the language “24, 1996, the Regulatory Flexibility Act” is corrected to read “29, 1996, the Regulatory Flexibility Act”.

§602.101 [Corrected]

2. On page 68684, column 1, §602.101(c), in the table under the column heading Current OMB control No., the OMB number “1545–1447” is corrected to read “1545–1477”.

Cynthia E. Grigsby, Chief, Regulations Unit, Assistant Chief Counsel (Corporate).

(Filed by the Office of the Federal Register on March 2, 1999, at 8:45 a.m., and published in the issue of the Federal Register for March 3, 1999, 64 F.R. 10218)

March 29, 1999 26 1999–13 I.R.B.

Under 31 Code of Federal Regulations, Part 10, an enrolled agent, in order to avoid the institution or conclusion of a proceeding for his disbarment or suspension from practice before the Internal Revenue Service, may offer his resignation from such practice. The Director of Practice, in his discretion, may suspend an enrolled agent in accordance with the consent offered.

Attorneys, certified public accountants, enrolled agents, and enrolled actuaries are prohibited in any Internal Revenue Ser

vice matter from directly or indirectly employing, accepting assistance from, being employed by or sharing fees with, any enrolled agent who has resigned from practice before the Internal Revenue Service.

To enable attorneys, certified public accountants, enrolled agents, and enrolled actuaries to identify former enrolled agents who have resigned from practice before the Internal Revenue Service, the Director of Practice will announce in the Internal Revenue Bulletin the names and addresses of former enrolled agents who

have resigned from such practice, and date of resignation. This announcement will appear in the weekly Bulletin at the earliest practicable date after such action and will continue to appear in the weekly Bulletins for five successive weeks or for as many weeks as is practicable for each enrolled agent, who has resigned, and will be consolidated and published in the Cumulative Bulletin.

The following individual has offered his resignation as an enrolled agent:

Name Address Date of Resignation

Ellis, Ronald C. Billings, MT October 6, 1998

1999–13 I.R.B. 27 March 29, 1999

Under Title 31 of the Code of Federal Regulations, section 10.76, the Director of Practice is authorized to immediately suspend from practice before the Internal Revenue Service any practitioner who, within five years, from the date the expedited proceeding is instituted, (1) has had a license to practice as an attorney, certified public accountant, or actuary suspended or revoked for cause; or (2) has been convicted of any crime under title 26 of the United States Code or, of a felony under title 18 of the United States Code involving dishonesty or breach of trust.

Attorneys, certified public accountants, enrolled agents, and enrolled actuaries are

prohibited in any Internal Revenue Service matter from directly or indirectly employing, accepting assistance from, being employed by, or sharing fees with, any practitioner disbarred or suspended from practice before the Internal Revenue Service.

To enable attorneys, certified public accountants, enrolled agents, and enrolled actuaries to identify practitioners under expedited suspension from practice before the Internal Revenue Service, the Director of Practice will announce in the Internal Revenue Bulletin the names and addresses of practitioners who have been suspended from such practice, their designation as attorney, certified public accountant, en

rolled agent, or enrolled actuary, and date or period of suspension. This announcement will appear in the weekly Bulletin at the earliest practicable date after such action and will continue to appear in the weekly Bulletins for five successive weeks or for as many weeks as is practicable for each attorney, certified public accountant, enrolled agent, or enrolled actuary so suspended and will be consolidated and published in the Cumulative Bulletin.

The following individual have been placed under suspension from practice before the Internal Revenue Service by virtue of the expedited proceeding provisions of the applicable regulations:

Name Address Designation Date of Suspension

Pierce, Steven J. Aventura, FL Attorney Indefinite from October 15, 1998

Baker, Charles C. Monteagle, TN Attorney Indefinite from October 15, 1998 Kantor, Stanley L. New York, NY Attorney Indefinite from October 15, 1998

Wagner, Richard E. Spencerport, NY Enrolled Agent Indefinite from October 15, 1998

Tuohey, Seamus Montclair, NJ Attorney Indefinite from October 15, 1998

Burke, Beau E. Santa Rosa, CA CPA Indefinite from October 15, 1998

Marn, Eric Y. Honolulu, HI Attorney Indefinite from October 15, 1998

Todd, Kenneth Tulsa, OK Attorney Indefinite from November 4, 1998

March 29, 1999 28 1999–13 I.R.B.

Under 330, Title 31 of the United States Code, the Secretary of the Treasury, after due notice and opportunity for hearing, is authorized to suspend or disbar from practice before the Internal Revenue Service any person who has violated the rules and regulations governing the recognition of attorneys, certified public accountants, enrolled agents, or enrolled actuaries to practice before the Internal Revenue Service.

Attorneys, certified public accountants, enrolled agents, and enrolled actuaries are prohibited in any Internal Revenue Service matter from directly or indirectly employ

ing, accepting assistance from, being employed by, or sharing fees with, any practitioner disbarred or under suspension from practice before the Internal Revenue Service.

To enable attorneys, certified public accountants, enrolled agents, and enrolled actuaries to identify such disbarred or suspended practitioners, the Director of Practice will announce in the Internal Revenue Bulletin the names and addresses of practitioners who have been suspended from such practice, their designation as attorney, certified public accountant, enrolled agent, or enrolled actu

ary, and date of disbarment or period of suspension. This announcement will appear in the weekly Bulletin for five successive weeks or as long as it is practicable for each attorney, certified public accountant, enrolled agent, or enrolled actuary so suspended or disbarred and will be consolidated and published in the Cumulative Bulletin.

After due notice and opportunity for hearing before an administrative law judge, the following individuals have been disbarred from further practice before the Internal Revenue Service:

Name Address Designation Effective Date

Shaw-Boatner, Deborah Austin, TX CPA September 24, 1998 Hannum, David Philadelphia, PA Enrolled Agent September 30, 1998 Miller, Theodore Neshaminy Valley, PA CPA February 27, 1999

1999–13 I.R.B. 29 March 29, 1999

Under 31 Code of Federal Regulations, Part 10, an attorney, certified public accountant, enrolled agent, or enrolled actuary, in order to avoid the institution or conclusion of a proceeding for his disbarment or suspension from practice before the Internal Revenue Service, may offer his consent to suspension from such practice. The Director of Practice, in his discretion, may suspend an attorney, certified public accountant, enrolled agent, or enrolled actuary in accordance with the consent offered.

Attorneys, certified public accountants, enrolled agents, and enrolled actuaries are prohibited in any Internal Revenue Ser

vice matter from directly or indirectly employing, accepting assistance from, being employed by, or sharing fees with any practitioner disbarred or suspended from practice before the Internal Revenue Service.

To enable attorneys, certified public accountants, enrolled agents, and enrolled actuaries to identify practitioners under consent suspension from practice before the Internal Revenue Service, the Director of Practice will announce in the Internal Revenue Bulletin the names and addresses of practitioners who have been suspended from such practice, their designation as attorney, certified public ac

countant, enrolled agent, or enrolled actuary, and date or period of suspension. This announcement will appear in the weekly Bulletin at the earliest practicable date after such action and will continue to appear in the weekly Bulletins for five successive weeks or for as many weeks as is practicable for each attorney, certified public accountant, enrolled agent, or enrolled actuary so suspended and will be consolidated and published in the Cumulative Bulletin.

The following individuals have been placed under consent suspension from practice before the Internal Revenue Service:

Name Address Designation Date of Suspension

Cohn, Irving Baltimore, MD Attorney September 4, 1998 to September 3, 2000

Hwang, Catherine T. Livingston, NJ CPA October 1, 1998 to September 30, 1999

Bratek, Ronald N. Brunswick, NJ CPA October 5, 1998 to July 4, 2000

Walker, Frank O. Bay City, TX CPA October 5, 1998 to April 4, 2001

Ng, Peter J. Monticello, NY Attorney October 5, 1998 to May 4, 2002

Sopkovich, Carol Girard, OH Attorney October 5, 1998 to October 4, 2001

Kappler, John E. Evansville, IN CPA October 8, 1998 to October 7, 1999

Sarcia, Jerry J. Libertyville, IL CPA October 30, 1998 to August 29, 2002

Spey, Gregory E. Youngstown, OH CPA November 1, 1998 to April 30, 2001

Jacobson, Kenneth Jacksonville, FL CPA November 9, 1998 to November 8, 2000

Lopshire, Larry Whiteland, IN CPA December 2, 1998 to December 1, 1999

Lederer, Christine L. Somers, CT Attorney December 7, 1998 to December 6, 2001

Kieffer, Richard D. Olney, IL CPA December 15, 1998 to December 14, 1999

Cleaver Jr., Thomas E. Severna Park, MD Enrolled Agent December 23, 1998 to June 22, 2002

Trent, Douglas I. Allen, TX CPA January 1, 1999 to December 31, 1999

Winters, John E. Bayonne, NJ CPA January 1, 1999 to September 30, 1999

Todd Jr., Emory S. Chester Springs CPA January 15, 1999 to July 14, 1999

Hawkins, William M. Indianapolis, IN Attorney February 1, 1999 to January 31, 2002

Gimbal, Peter Union City, NJ CPA April 1, 1999 to September 30, 2000

Ryan, Thomas J. Danbury, CT Attorney May 1, 1999 to October 30, 2000

March 29, 1999 30 1999–13 I.R.B.

Revenue rulings and revenue procedures (hereinafter referred to as “rulings”) that have an effect on previous rulings use the following defined terms to de- scribe the effect:

Amplified describes a situation where no change is being made in a prior published position, but the prior position is being extended to apply to a variation of the fact situation set forth therein. Thus, if an earlier ruling held that a principle applied to A, and the new ruling holds that the same principle also applies to B, the earlier ruling is amplified. (Compare with modified, below).

Clarified is used in those instances where the language in a prior ruling is being made clear because the language has caused, or may cause, some confusion. It is not used where a position in a prior ruling is being changed.

Distinguished describes a situation where a ruling mentions a previously published ruling and points out an essential difference between them.

Modified is used where the substance of a previously published position is being changed. Thus, if a prior ruling held that a principle applied to A but not to B, and the new ruling holds that it ap

The following abbreviations in current use and for- merly used will appear in material published in the Bulletin.

A —Individual. Acq. —Acquiescence. B —Individual. BE —Beneficiary. BK —Bank. B.T.A. —Board of Tax Appeals. C. —Individual. C.B. —Cumulative Bulletin. CFR —Code of Federal Regulations. CI —City. COOP —Cooperative. Ct.D. —Court Decision. CY —County. D —Decedent. DC —Dummy Corporation. DE —Donee. Del. Order —Delegation Order. DISC —Domestic International Sales Corporation. DR —Donor. E —Estate. EE —Employee.

plies to both A and B, the prior ruling is modified because it corrects a published position. (Compare with amplified and clarified, above).

Obsoleted describes a previously published ruling that is not considered determinative with respect to future transactions. This term is most commonly used in a ruling that lists previously published rulings that are obsoleted because of changes in law or regulations. A ruling may also be obsoleted because the substance has been included in regulations subsequently adopted.

Revoked describes situations where the position in the previously published ruling is not correct and the correct position is being stated in the new ruling.

Superseded describes a situation where the new ruling does nothing more than restate the substance and situation of a previously published ruling (or rulings). Thus, the term is used to republish under the 1986 Code and regulations the same position published under the 1939 Code and regulations. The term is also used when it is desired to republish in a single ruling a series of situations, names, etc., that were previously published over a period of time in separate rulings. If the

E.O. —Executive Order. ER —Employer. ERISA —Employee Retirement Income Security Act. EX —Executor. F —Fiduciary. FC —Foreign Country. FICA —Federal Insurance Contribution Act. FISC —Foreign International Sales Company. FPH —Foreign Personal Holding Company. F.R. —Federal Register. FUTA —Federal Unemployment Tax Act. FX —Foreign Corporation. G.C.M. —Chief Counsel’s Memorandum. GE —Grantee. GP —General Partner. GR —Grantor. IC —Insurance Company. I.R.B. —Internal Revenue Bulletin. LE —Lessee. LP —Limited Partner. LR —Lessor. M —Minor. Nonacq. —Nonacquiescence. O —Organization. P —Parent Corporation.

new ruling does more than restate the substance of a prior ruling, a combination of terms is used. For example, modified and superseded describes a situation where the substance of a previously published ruling is being changed in part and is continued without change in part and it is desired to restate the valid portion of the previously published ruling in a new ruling that is self contained. In this case the previously published ruling is first modified and then, as modified, is superseded.

Supplemented is used in situations in which a list, such as a list of the names of countries, is published in a ruling and that list is expanded by adding further names in subsequent rulings. After the original ruling has been supplemented several times, a new ruling may be published that includes the list in the original ruling and the additions, and supersedes all prior rulings in the series.

Suspended is used in rare situations to show that the previous published rulings will not be applied pending some future action such as the issuance of new or amended regulations, the outcome of cases in litigation, or the outcome of a Service study.

PHC —Personal Holding Company. PO —Possession of the U.S. PR —Partner. PRS —Partnership. PTE —Prohibited Transaction Exemption. Pub. L. —Public Law. REIT —Real Estate Investment Trust. Rev. Proc. —Revenue Procedure. Rev. Rul. —Revenue Ruling. S —Subsidiary. S.P.R. —Statements of Procedral Rules. Stat. —Statutes at Large. T —Target Corporation. T.C. —Tax Court. T.D. —Treasury Decision. TFE —Transferee. TFR —Transferor. T.I.R. —Technical Information Release. TP —Taxpayer. TR —Trust. TT —Trustee. U.S.C. —United States Code. X —Corporation. Y —Corporation. Z —Corporation.

1999–13 I.R.B. 31 March 29, 1999

Treasury Decisions—Continued

8814, 1999–9 I.R.B. 4 8815, 1999–9 I.R.B. 31 8816, 1999–8 I.R.B. 4 8817, 1999–8 I.R.B. 51

Numerical Finding List ¹

Bulletins 1999–1 through 1999–12

Announcements:

99–1, 1999–2 I.R.B. 41 99–2, 1999–2 I.R.B. 44 99–3, 1999–3 I.R.B. 15 99–4, 1999–3 I.R.B. 15 99–5, 1999–3 I.R.B. 16 99–6, 1999–4 I.R.B. 24 99–7, 1999–2 I.R.B. 45 99–8, 1999–4 I.R.B. 24 99–9, 1999–4 I.R.B. 24 99–10, 1999–5 I.R.B. 63 99–11, 1999–5 I.R.B. 64 99–12, 1999–5 I.R.B. 65 99–13, 1999–6 I.R.B. 18 99–14, 1999–7 I.R.B. 60 99–15, 1999–8 I.R.B. 78 99–16, 1999–8 I.R.B. 80 99–17, 1999–9 I.R.B. 59 99–19, 1999–10 I.R.B. 63 99–20, 1999–11 I.R.B. 53 99–21, 1999–11 I.R.B. 55 99–22, 1999–12 I.R.B. 32 99–25, 1999–12 I.R.B. 35

Notices:

99–1, 1999–2 I.R.B. 8 99–2, 1999–2 I.R.B. 8 99–3, 1999–2 I.R.B. 10 99–4, 1999–3 I.R.B. 9 99–5, 1999–3 I.R.B. 10 99–6, 1999–3 I.R.B. 12 99–7, 1999–4 I.R.B. 23 99–8, 1999–5 I.R.B. 26 99–9, 1999–4 I.R.B. 23 99–10, 1999–6 I.R.B. 14 99–11, 1999–8 I.R.B. 56 99–12, 1999–9 I.R.B. 44 99–13, 1999–10 I.R.B. 26 99–14, 1999–11 I.R.B. 7 99–15, 1999–12 I.R.B. 20

Proposed Regulations:

REG–209103–89, 1999–11 I.R.B. 10 REG–209619–93, 1999–10 I.R.B. 28 REG–245562–96, 1999–9 I.R.B. 45 REG–104072–97, 1999–11 I.R.B. 12 REG–114663–97, 1999–6 I.R.B. 15 REG–114664–97, 1999–11 I.R.B. 21 REG–116826–97, 1999–10 I.R.B. 40 REG–118620–97, 1999–9 I.R.B. 46 REG–120168–97, 1999–12 I.R.B. 21 REG–121806–97, 1999–10 I.R.B. 46 REG–104924–98, 1999–10 I.R.B. 47 REG–105964–98, 1999–12 I.R.B. 22 REG–106177–98, 1999–12 I.R.B. 25 REG–106219–98, 1999–9 I.R.B. 51 REG–106386–98, 1999–12 I.R.B. 31 REG–106388–98, 1999–11 I.R.B. 27 REG–106564–98, 1999–10 I.R.B. 53 REG–106902–98, 1999–8 I.R.B. 57 REG–106905–98, 1999–11 I.R.B. 39 REG–110524–98, 1999–10 I.R.B. 55 REG–111435–98, 1999–7 I.R.B. 55 REG–113694–98, 1999–7 I.R.B. 56 REG–111435–98, 1999–7 I.R.B. 55 REG–113744–98, 1999–10 I.R.B. 59

1 A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 1998–1 through 1998–52 will be found in Internal Revenue Bulletin 1999–1, dated January 4, 1999.

Proposed Regulations—Continued

REG–114841–98, 1999–11 I.R.B. 41 REG–115433–98, 1999–9 I.R.B. 54 REG–116099–98, 1999–12 I.R.B. 34 REG–116824–98, 1999–7 I.R.B. 57 REG–117620–98, 1999–7 I.R.B. 59 REG–119192–98, 1999–11 I.R.B. 45 REG–121865–98, 1999–8 I.R.B. 63

Revenue Procedures:

99–1, 1999–1 I.R.B. 6 99–2, 1999–1 I.R.B. 73 99–3, 1999–1 I.R.B. 103 99–4, 1999–1 I.R.B. 115 99–5, 1999–1 I.R.B. 158 99–6, 1999–1 I.R.B. 187 99–7, 1999–1 I.R.B. 226 99–8, 1999–1 I.R.B. 229 99–9, 1999–2 I.R.B. 17 99–10, 1999–2 I.R.B. 11 99–11, 1999–2 I.R.B. 14 99–12, 1999–3 I.R.B. 13 99–13, 1999–5 I.R.B. 52 99–14, 1999–5 I.R.B. 56 99–15, 1999–7 I.R.B. 42 99–16, 1999–7 I.R.B. 50 99–17, 1999–7 I.R.B. 52 99–18, 1999–11 I.R.B. 7

Revenue Rulings:

99–1, 1999–2 I.R.B. 4 99–2, 1999–2 I.R.B. 5 99–3, 1999–3 I.R.B. 4 99–4, 1999–4 I.R.B. 19 99–5, 1999–6 I.R.B. 8 99–6, 1999–6 I.R.B. 6 99–7, 1999–5 I.R.B. 4 99–8, 1999–6 I.R.B. 8 99–9, 1999–7 I.R.B. 14 99–10, 1999–10 I.R.B . 10 99–11, 1999–10 I.R.B. 18 99–12, 1999–11 I.R.B. 6 99–13, 1999–10 I.R.B. 4 99–15, 1999–12 I.R.B. 4

Treasury Decisions:

8789, 1999–3 I.R.B. 5 8791, 1999–5 I.R.B. 7 8792, 1999–7 I.R.B. 36 8793, 1999–7 I.R.B. 15 8794, 1999–7 I.R.B. 4 8795, 1999–7 I.R.B. 8 8796, 1999–4 I.R.B. 16 8797, 1999–5 I.R.B. 5 8798, 1999–12 I.R.B. 16 8799, 1999–6 I.R.B. 10 8800, 1999–4 I.R.B. 20 8801, 1999–4 I.R.B. 5 8802, 1999–4 I.R.B. 10 8803, 1999–12 I.R.B. 15 8804, 1999–12 I.R.B. 5 8805, 1999–5 I.R.B. 14 8806, 1999–6 I.R.B. 4 8807, 1999–9 I.R.B. 33 8808, 1999–10 I.R.B. 21 8809, 1999–7 I.R.B. 27 8810, 1999–7 I.R.B. 19 8811, 1999–10 I.R.B. 19 8812, 1999–8 I.R.B. 19 8813, 1999–9 I.R.B. 34

March 29, 1999 32 1999–13 I.R.B.

Finding List of Current Action on Previously Published Items ¹

Bulletins 1999–1 through 1999–12

Revenue Procedures:

78–10 Obsoleted by 99–12, 1999–3 I.R.B. 13

94–56 Superseded by 99–9, 1999–2 I.R.B. 17

97–23 Superseded by 99–3, 1999–1 I.R.B. 103

98–1 Superseded by 99–1, 1999–1 I.R.B. 6

98–2 Superseded by 99–2, 1999–1 I.R.B. 73

98–3 Superseded by 99–3, 1999–1 I.R.B. 103

98–4 Superseded by 99–4, 1999–1 I.R.B. 115

98–5 Superseded by 99–5, 1999–1 I.R.B. 158

98–6 Superseded by 99–6, 1999–1 I.R.B. 187

98–7 Superseded by 99–7, 1999–1 I.R.B. 226

98–8 Superseded by 99–8, 1999–1 I.R.B. 229

98–22 Modified and amplified by 99–13, 1999–5 I.R.B. 52

98–56 Superseded by 99–3, 1999–1 I.R.B. 103

98–63 Modified by announcement 99–7, 1999–2 I.R.B. 45

Revenue Rulings:

92–19 Supplemented in part by 99–10, 1999–10 I.R.B. 10

1 A cumulative finding list for previously published items mentioned in Internal Revenue Bulletins 1998–1 through 1998–52 will be found in Internal Revenue Bulletin 1999–1, dated January 4, 1999.

1999–13 I.R.B. 33 March 29, 1999

March 29, 1999 34 1999–13 I.R.B.

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