INCOME TAX

Rev. Rul. 99–44, page 549. Gifts; charitable contributions; Individual Development Accounts. This ruling holds that ( 1 ) interest earned by an Individual Development Account (IDA) project participant on funds deposited in the participant’s personal account is currently includible in the participant’s gross income under section 61 of the Code; ( 2 ) a project participant may exclude, as a gift under section 102, parallel funds paid for a qualified expense of the project participant; and ( 3 ) a donor may deduct under section 170 a contribution to a qualified entity for the qualified entity’s IDA project, subject to the limitations of that section.

REG–116125–99, page 552. Proposed regulations under section 664 of the Code modify the application of the rules governing the character of cer

Finding Lists begin on page ii. Index for July through October begins on page iv.

Department of the Treasury Internal Revenue Service