ADMINISTRATIVE

Rev. Proc. 99–41, page 566. Adequate disclosure; substantial understatement. Guidance is given concerning when information shown on a return in accordance with the applicable forms and instructions will provide adequate disclosure to reduce an understatement of income tax under section 6662(d) of the Code and avoid the preparer penalty under section 6694(a) of the Code.

Rev. Proc. 99–42, page 568. Cost-of-living adjustments for 2000. The Service provides cost-of-living adjustments for the tax rate tables for individuals, estates, and trusts, the standard deduction amounts, the personal exemption, and several other items that use the adjustment method provided for the tax rate tables. The Service also provides the adjustment for eligible long-term care premiums and another item that uses the adjustment method provided for eligible long-term care premiums.

Notice 99–53, page 565. Information reporting; payments of gross proceeds to attorneys. The Service intends to delay for one year the effective date of regulations proposed under section 6045 of the Code relating to the reporting of payments of gross proceeds to attorneys.