INCOME TAX

T.D. 8930, page 433. Final regulations under section 41 of the Code relate to the computation of the credit for increasing research activities and the definition of qualified research. These regulations provide guidance concerning the requirements to qualify for the credit and rules for electing and revoking the election of the alternative incremental credit.

Rev. Rul. 2001–5, page 451. LIFO; price indexes; department stores. The November 2000 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, November 30, 2000.

REG–106542–98, page 473. Proposed regulations relate to an election under section 645 of the Code to have certain revocable trusts treated and taxed as part of an estate. A public hearing is scheduled for February 21, 2001.

Notice 2001–10, page 459. Split-dollar insurance arrangements. This notice clarifies prior rulings issued by the IRS regarding the taxation of split-dollar arrangements, provides taxpayers with interim guidance on the tax treatment of split-dollar arrangements pending publication of further guidance, and requests tax