Bulletin No. 2007-43 October 22, 2007

agent for the legal right to use a tax planning method that is the subject of the patent. A patented transaction is also a transaction for which a taxpayer (the patent holder or the patent holder’s agent) has the right to payment for another person’s use of a tax planning method that is the subject of the patent.

Notice 2007–80, page 867. Extension of replacement period for livestock sold on account of drought. This notice explains the circumstances under which the 4–year replacement period under section 1033(e)(2) of the Code is extended for livestock sold on account of drought. The Appendix to this notice contains a list of the counties that experienced exceptional, extreme, or severe drought during the preceding 12–month period ending August 31, 2007. Taxpayers may use this list to determine if an extension is available.