ADMINISTRATIVE

Notice 2002–77, page 997. The Service and the Department of Treasury announce their intention to amend section 1.367(a)–3(d) of the regulations to provide specifically that a U.S. person’s exchange of stock or securities of a corporation (the “acquired corporation”) for stock or securities of a foreign acquiring corporation in a reorganization under section 368(a)(1)(D) of the Code in which the foreign acquiring corporation transfers part or all of the acquired corporation’s assets to a subsidiary, controlled by the acquiring corporation pursuant to the plan of reorganization, constitutes an indirect transfer of stock or securities by the U.S. person to the foreign acquiring corporation.

Rev. Proc. 2002–75, page 997. Qualification as insurance. This procedure modifies Rev. Proc. 2002–3, 2002–1 I.R.B. 117, by removing sections 4.01(11) and 4.01(41) from the list of areas in which the Service ordinarily will not issue rulings or determination letters. These sections concerned whether there is adequate risk shifting and risk distribution for a transaction to constitute insurance for federal income tax purposes. Rev. Proc. 2002–3 modified.

December 30, 2002 2002–52 I.R.B.