HIGHLIGHTS OF THIS ISSUE

These synopses are intended only as aids to the reader in identifying the subject matter covered. They may not be relied upon as authoritative interpretations.

INCOME TAX

T.D. 9368, page 382. REG–114126–07, page 410. Final, temporary, and proposed regulations under section 904 of the Code provide transition rules regarding the reduction of the number of separate foreign tax credit limitation categories under section 904(d). A public hearing is scheduled for April 22, 2008.

T.D. 9369, page 394. REG–104713–07, page 409. Temporary and proposed regulations under section 1561 of the Code affect component members of a controlled group of corporations and consolidated groups filing life-nonlife federal income tax returns. The regulations also provide guidance for calculating and apportioning between component members any amount of additional tax and any reduction in the amount exempted from the alternative minimum tax.

Notice 2008–20, page 406. This notice identifies the components of the Intermediary Transaction Tax Shelter transaction listed and described in Notice 2001–16. The notice also identifies the persons who are treated as participants in an Intermediary Transaction Tax Shelter under regulations section 1.6011–4(c)(3)(i)(A). Notice 2001–16 modified.

Rev. Proc. 2008–13, page 407. This procedure provides the maximum vehicle values for use with the special valuation rules under regulations sections 1.61–21(d) and (e). These values are indexed for inflation and must be adjusted annually by referring to the Consumer Price Index.

Announcements of Disbarments and Suspensions begin on page 412. Finding Lists begin on page ii.