SECTION 12. — Internal Revenue Bulletin 2002-46

Statute or Regulation Act Postponed 14. Sec. 924(e)(4) and Treas. Reg. If a payment § 1.924(e)–1(d)(2)(iii) related supplier

Sec. 924(e)(4) and Treas. Reg. If a payment with respect to a transaction is made directly to the FSC or the § 1.924(e)–1(d)(2)(iii) related supplier in the United States, the funds must be transferred to and

received by the FSC bank account outside the United States no later than 35 days after the receipt of good funds ( i.e., date of check clearance) on the transaction. 15. Temp. Treas. Reg. A FSC and its related supplier may redetermine a transfer pricing method, the § 1.925(a)–1T(e)(4) amount of foreign trading gross receipts, and costs and expenses, provided such

Temp. Treas. Reg. A FSC and its related supplier may redetermine a transfer pricing method, the § 1.925(a)–1T(e)(4) amount of foreign trading gross receipts, and costs and expenses, provided such

redetermination occurs before the expiration of the statute of limitations for claims for refund for both the FSC and related supplier, and provided such redetermination shall affect both the FSC and the related supplier. See Treas. Reg. § 1.925(a)–1(c)(8)(i) for time limitations with respect to FSC administrative pricing grouping redeterminations and for a cross-reference to Temp. Treas. Reg. § 1.925(a)–1T(e)(4). 16. Sec. 927(f)(3)(A) and Treas. Reg. A corporation may terminate its election to be treated as a FSC or a small FSC § 1.927(f)–1(b) (Q&A–12) by revoking the election during the first 90 days of the FSC taxable year (other

Sec. 927(f)(3)(A) and Treas. Reg. A corporation may terminate its election to be treated as a FSC or a small FSC § 1.927(f)–1(b) (Q&A–12) by revoking the election during the first 90 days of the FSC taxable year (other

than the first year in which the election is effective) in which the election was to take effect. 17. Sec. 927 and Temp. Treas. Reg. A taxpayer may satisfy the destination test with respect to property sold or § 1.927(a)–1T(d)(2)(i)(B) leased by a seller or lessor if such property is delivered by the seller or lessor

Sec. 927 and Temp. Treas. Reg. A taxpayer may satisfy the destination test with respect to property sold or § 1.927(a)–1T(d)(2)(i)(B) leased by a seller or lessor if such property is delivered by the seller or lessor

(or an agent of the seller or lessor) within the United States to a purchaser or lessee, if the property is ultimately delivered outside the United States (including delivery to a carrier or freight forwarder for delivery outside the United States) by the purchaser or lessee (or a subsequent purchaser or sublessee) within one year after the sale or lease. 18. Sec. 927 and Temp. Treas. Reg. A taxpayer that claims FSC commission deductions must designate the sales, § 1.927(b)–1T(e)(2)(i) leases, or rentals subject to the FSC commission agreement no later than the

Sec. 927 and Temp. Treas. Reg. A taxpayer that claims FSC commission deductions must designate the sales, § 1.927(b)–1T(e)(2)(i) leases, or rentals subject to the FSC commission agreement no later than the

due date (as extended) of the tax return of the FSC for the taxable year in which the transaction(s) occurred. 19. Sec. 927 and Treas. Reg. A transferee or other recipient of shares in the corporation (other than a § 1.927(f)–1(a) (Q&A– 4) shareholder that previously consented to the election) must consent to be bound

Sec. 927 and Treas. Reg. A transferee or other recipient of shares in the corporation (other than a § 1.927(f)–1(a) (Q&A– 4) shareholder that previously consented to the election) must consent to be bound

by the prior election within 90 days of the first day of the FSC’s taxable year to preserve the status of a corporation that previously qualified as a FSC or as a small FSC. 20. Sec. 936 and Treas. Reg. If a “qualified investment” in a Caribbean Basin country ceases to meet the § 1.936–10(c) qualification requirements, the taxpayer may correct any disqualifying events

Sec. 936 and Treas. Reg. If a “qualified investment” in a Caribbean Basin country ceases to meet the § 1.936–10(c) qualification requirements, the taxpayer may correct any disqualifying events

within a reasonable period of time, which is defined as not more than 60 days from the date that such events came to the attention of the taxpayer (or should have come to its attention by the exercise of reasonable diligence). 21. Sec. 936 and Treas. Reg. A taxpayer that elects retroactive application of the temporary regulation § 1.936–11 regarding separate lines of business for taxable years beginning after December

Sec. 936 and Treas. Reg. A taxpayer that elects retroactive application of the temporary regulation § 1.936–11 regarding separate lines of business for taxable years beginning after December

31, 1995, must elect to do so prior to the expiration of the statute of limitations for the year in question. 22. Treas. Reg. An election of, or an adoption of or change in a method of accounting of a §§ 1.964–1(c)(3)(ii) CFC (controlled foreign corporation) requires the filing of a written statement and –1T(g)(2). jointly executed by the controlling U.S. shareholders of the CFC within 180

Treas. Reg. An election of, or an adoption of or change in a method of accounting of a §§ 1.964–1(c)(3)(ii) CFC (controlled foreign corporation) requires the filing of a written statement and –1T(g)(2). jointly executed by the controlling U.S. shareholders of the CFC within 180

days after the close of the taxable year of the CFC. 23. Sec. 982(c)(2)(A) Any person to whom a formal document request is mailed shall have the right to bring a proceeding to quash such request not later than the 90th day after the day such request was mailed.

November 18, 2002 864 2002–46 I.R.B.