Internal Revenue Bulletin 2003-49 (PDF rendition): IRS Revenue Rulings

Preserve advance releases and the authoritative Internal Revenue Bulletin rendition; directory timestamps are file-publication metadata, not legal effective dates. HTML bulletins begin June 2003; earlier available issues require full PDF parsing. Whole bulletin rendition: numbered items are identified below; other legal material and publisher context remain included. This is not a new standalone advance release.

Bulletin No. 2003-49
December 8, 2003
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
Rev. Rul. 2003–122, page 1179.
Federal rates; adjusted federalrates; adjusted federal long-
term rate and the long-term exempt rate.For purposes of
sections 382, 1274, 1288, and other sections of the Code,
tables set forth the rates for December 2003.
T.D. 9095, page 1175.
REG–136890–02, page 1191.
Final, temporary, and proposed regulation
s under section 461
oftheCodeclarifythatthetransferofata
xpayerÊs note or
promise to provide property or servic
es in the future is not a
transfer for the satisfaction of a co
ntested liability under sec-
tion 461(f). A transfer of a taxpayer
Ês stock or the stock or
note of a related party also is not a t
ransfer for the satisfaction
of a contested liability under sec
tion 461(f). The temporary
regulations further provide that
,ingeneral,economicperfor-
mance does not occur when a taxp
ayer transfers money or
other property to a trust, esc
row account, or court to provide
for the satisfaction of a con
tested workers compensation, tort,
or other payment liability.
A public hearing on the proposed reg-
ulations is scheduled for M
arch 23, 2004.
EMPLOYEE PLANS
Rev. Rul. 2003–124, page 1173.
Covered compensation tables; 2004.The covered compen-
sation tables under section 401 of the Code for the year 2004
are provided for use in determining contributions to defined
benefit plans and permitted disparity.
EXEMPT ORGANIZATIONS
Announcement 2003–77, page 1195.
A list is provided of organizations now classified as private foun-
dations.
ADMINISTRATIVE
Notice 2003–76, page 1181.
This notice sets out transactions that have been identified by
the Treasury Department and the IRS as „listed transactions‰
for purposes of the regulations under sections 6011 and 6111
of the Code. Notice 2001–51 supplemented and superseded.
Notice 2003–77, page 1182.
Transfer to trusts to provide for the satisfaction of contested
liabilities.This notice provides that certain transfers to trusts
to provide for the satisfaction of contested liabilities under sec-
tion 461(f) of the Code are listed transactions.
Rev. Proc. 2003–85, page 1184.
Cost-of-living adjustments for
2004.This procedure provides
cost-of-living adjustments fo
r the tax rate tables for individuals,
estates, and trusts, the sta
ndard deduction amounts, the per-
sonal exemption, and severa
l other items that use the adjust-
ment method provided for th
e tax rate tables. The Service also
provides the adjustment f
or eligible long-term care premiums
and another item that uses
the adjustment method provided for
eligible long-term care
premiums.
(Continued on the next page)
Actions Relating to Court Decisions is on the page following the Introduction.
Anno
uncements of Disbarments and Suspensions begin on page 1192.
Finding Lists begin on page ii.

Announcement 2003–75, page 1195.
This document provides updated requirements relating to the
composite substitute statement procedures, outlined in Publi-
cation 1179,General Rules and Specifications for Substi-
tute Forms 1096, 1098, 1099, 5498, W–2G and 1042–S.
These procedures have been revised to allow composite sub-
stitute statements to be furnished for Form 1099–DIV and Form
1099–MISC reporting substitute payments in lieu of dividends.
All other rules and specifications for preparing substitute forms
remain the same. Rev. Proc. 2003–28, 2003–16 I.R.B. 759,
modified in part.
December 8, 20032003-49 I.R.B.

The IRS Mission
Provide AmericaÊs taxpayers top quality service by helping
them understand and meet their tax responsibilities and by
applying the tax law with integrity and fairness to all.
Introduction
The Internal Revenue Bulletin is the authoritative instrument of
the Commissioner of Internal Revenue for announcing official
rulings and procedures of the Internal Revenue Service and for
publishing Treasury Decisions, Executive Orders, Tax Conven-
tions, legislation, court decisions, and other items of general
interest. It is published weekly and may be obtained from the
Superintendent of Documents on a subscription basis. Bul-
letin contents are consolidated semiannually into Cumulative
Bulletins, which are sold on a single-copy basis.
It is the policy of the Service to publish in the Bulletin all sub-
stantive rulings necessary to promote a uniform application of
the tax laws, including all rulings that supersede, revoke, mod-
ify, or amend any of those previously published in the Bulletin.
All published rulings apply retroactively unless otherwise indi-
cated. Procedures relating solely to matters of internal man-
agement are not published; however, statements of internal
practices and procedures that affect the rights and duties of
taxpayers are published.
Revenue rulings represent the conclusions of the Service on the
application of the law to the pivotal facts stated in the revenue
ruling. In those based on positions taken in rulings to taxpayers
or technical advice to Service field offices, identifying details
and information of a confidential nature are deleted to prevent
unwarranted invasions of privacy and to comply with statutory
requirements.
Rulings and procedures reported in the Bulletin do not have the
force and effect of Treasury Department Regulations, but they
may be used as precedents. Unpublished rulings will not be
relied on, used, or cited as precedents by Service personnel in
the disposition of other cases. In applying published rulings and
procedures, the effect of subsequent legislation, regulations,
court decisions, rulings, and procedures must be considered,
and Service personnel and others concerned are cautioned
against reaching the same conclusions in other cases unless
the facts and circumstances are substantially the same.
The Bulletin is divided into four parts as follows:
Part I.—1986 Code.
This part includes rulings and decision
s based on provisions of
the Internal Revenue Code of 1986.
Part II.—Treaties and Tax Legislation.
This part is divided into two subparts as follows: Subpart A,
Tax Conventions and Other Related Items, and Subpart B, Leg-
islation and Related Committee Reports.
Part III.—Administrative, Procedural, and Miscellaneous.
To the extent practicable, pertinent cross references to these
subjects are contained in the other Parts and Subparts. Also
included in this part are Bank Secrecy Act Administrative Rul-
ings. Bank Secrecy Act Administrative Rulings are issued by
the Department of the TreasuryÊs Office of the Assistant Sec-
retary (Enforcement).
Part IV.—Items of Gener
al Interest.
This part includes noti
ces of proposed rulemakings, disbar-
ment and suspension l
ists, and announcements.
The last Bulletin for each month includes a cumulative index
for the matters published during the preceding months. These
monthly indexes are cumulated on a semiannual basis, and are
published in the last Bulletin of each semiannual period.*
The content
s of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.
For sale by the Superintendent of Documents, U.S.Government Printing Office, Washington, DC 20402.
* Beginning with Internal Revenue Bulletin 2003–43, we are publishing the index at the end of the month, rather than at the beginning.
2003-49 I.R.B.December 8, 2003

Actions Relating to Decisions of the Tax Court
It is the policy of the Internal Rev-
enue Service to announce at an early date
whether it will follow the holdings in cer-
tain cases. An Action on Decision is the
document making such an announcement.
An Action on Decision will be issued
at the discretion of the Service only on
unappealed issues decided adverse to the
government. Generally, an Action on De-
cision is issued where its guidance would
be helpful to Service personnel working
with the same or similar issues. Unlike a
Treasury Regulation or a Revenue Ruling,
an Action on Decision is not an affirma-
tive statement of Service position. It is not
intended to serve as public guidance and
may not be cited as precedent.
Actions on Decisions shall be relied
upon within the Service only as conclu-
sions applying the law to the facts in the
particular case at the time the Action on
Decision was issued. Caution should be
exercised in extending the recommenda-
tion of the Action on Decision to similar
cases where the facts are different. More-
over, the recommendation in the Action on
Decisionmaybesupersededbynewlegis-
lation, regulations, rulings, cases, or Ac-
tions on Decisions.
Prior to 1991, the Service published
acquiescence or nonacquiescence only in
certain regular Tax Court opinions. The
Service has expanded its acquiescence pro-
gram to include other civil tax cases where
guidance is determined to be helpful. Ac-
cordingly, the Service now may acquiesce
or nonacquiesce in the holdings of mem-
orandum Tax Court opinions, as well as
those of the United States District Courts,
Claims Court, and Circuit Courts of Ap-
peal. Regardless of the court deciding the
case, the recommendation of any Action
on Decision will be published in the Inter-
nal Revenue Bulletin.
The recommendation in every Action
on Decision will be summarized as ac-
quiescence, acquiescence in result only,
or nonacquiescence. Both “acquiescence”
and “acquiescence in result only” mean
that the Service accepts the holding of
the court in a case and that the Service
will follow it in disposing of cases with
the same controlling facts. However,
“acquiescence” indicates neither approval
nor disapproval of the reasons assigned
by the court for its conclusions; whereas,
“acquiescence in result only” indicates
disagreement or concern with some or all
of those reasons. “Nonacquiescence” sig-
nifies that, although no further review was
sought, the Service does not agree with
the holding of the court and, generally,
will not follow the decision in disposing
of cases involving other taxpayers. In
reference to an opinion of a circuit court
of appeals, a “nonacquiescence” indicates
that the Service will not follow the hold-
ingonanationwidebasis. However,the
Service will recognize the precedential
impact of the opinion on cases arising
within the venue of the deciding circuit.
The Actions on Decisions published in
the weekly Internal Revenue Bulletin are
consolidated semiannually and appear in
the first Bulletin for July and the Cumula-
tive Bulletin for the first half of the year. A
semiannual consolidation also appears in
the first Bulletin for the following January
and in the Cumulative Bulletin for the last
half of the year.
The Commissioner ACQUIESCES in
result only in the following decision:
General Electric Co. & Subs. v.
Commissioner,
1
T.C. Memo. 1995–306
rev’d in part, vacated
in part, and remanded
245 F.3d 149 (2d Cir. 2001)
T.C. Dkt. No. 14715–92
1
Acquiescence in result only relating to whether aircraft engines and thrust reversers sold by the taxpayer through its wholly-owned domestic international sales corporation (“DISC”) to
airframe manufacturers for incorporation in the United States into aircraft that are delivered for use outside the United States constitute “exportproperty” within the meaning of section
993(c)(1)(B) of the Internal Revenue Code and Treas. Reg. section 1.993–3(d)(2)(iii).
December 8, 20032003-49 I.R.B.

Part I. Rulings and Decisions Under the Internal Revenue Code of 1986
Section 42.—Low-Income
Housing Credit
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 280G.—Golden
Parachute Payments
Federal short-term, mid-term, and long-term rates
are set forth for the month of December 2003. See
Rev. Rul. 2003-122, page 1179.
Section 382.—Limitation
on Net Operating Loss
Carryforwards and Certain
Built-In Losses Following
Ownership Change
The adjusted applicable federal long-term rate is
set forth for the month of December 2003. See Rev.
Rul. 2003-122, page 1179.
Section 401.—Qualified
Pension, Profit-Sharing, and
Stock Bonus Plans
26 CFR 1.401(l)–1: Permitted disparity in employer-
provided contributions or benefits.
Covered compensation tables; 2004.
The covered compensation tables under
section 401 of the Code for the year 2004
are provided for use in determining con-
tributions to defined benefit plans and per-
mitted disparity.
Rev. Rul. 2003–124
This revenue ruling provides ta-
bles of covered compensation under
§ 401(l)(5)(E) of the Internal Revenue
Code (the “Code”) and the Income Tax
Regulations, thereunder, for the 2004 plan
year.
Section 401(l)(5)(E)(i) defines covered
compensation with respect to an employee,
as the average of the contribution and ben-
efit bases in effect under section 230 of the
Social Security Act (the “Act”) for each
year in the 35-year period ending with the
year in which the employee attains social
security retirement age.
Section 401(l)(5)(E)(ii) of the Code
states that the determination for any year
preceding the year in which the employee
attains social security retirement age shall
be made by assuming that there is no
increase in covered compensation after
the determination year and before the em-
ployee attains social security retirement
age.
Section 1.401(l)–1(c)(34) defines the
taxable wage base as the contribution and
benefit base under section 230 of the Act.
Section 1.401(l)–1(c)(7)(i) defines cov-
ered compensation for an employee as the
average (without indexing) of the taxable
wage bases in effect for each calendar year
during the 35-year period ending with the
last day of the calendar year in which the
employee attains (or will attain) social se-
curity retirement age. A 35-year period is
used for all individuals regardless of the
year of birth of the individual. In deter-
mining an employee’s covered compensa-
tion for a plan year, the taxable wage base
for all calendar years beginning after the
first day of the plan year is assumed to be
thesameasthetaxablewagebaseinef-
fect as of the beginning of the plan year.
An employee’s covered compensation for
a plan year beginning after the 35-year pe-
riod applicable under § 1.401(l)–1(c)(7)(i)
is the employee’s covered compensation
for a plan year during which the 35-year
period ends. An employee’s covered com-
pensation for a plan year beginning be-
fore the 35-year period applicable under
§1.401(l)–1(c)(7)(i) isthe taxable wage
base in effect as of the beginning of the
plan year.
Section 1.401(l)–1(c)(7)(ii) provides
that, for purposes of determining the
amount of an employee’s covered com-
pensation under § 1.401(l)–1(c)(7)(i), a
plan may use tables, provided by the Com-
missioner, that are developed by rounding
the actual amounts of covered compensa-
tion for different years of birth.
For purposes of determining covered
compensation for the 2004 year, the tax-
able wage base is $87,900.
The following tables provide covered
compensation for 2004:
2003-49 I.R.B.1173December 8, 2003

2004 COVERED COMPENSATION TABLE
CALENDAR YEAR OF BIRTH
CALENDARYEAROFSOCIAL
SECURITY RETIREMENT AGE
2004 COVERED
COMPENSATION TABLE
19071972
$4,488
190819734,704
190919745,004
191019755,316
191119765,664
191219776,060
191319786,480
191419797,044
191519807,692
191619818,460
191719829,300
1918198310,236
1919198411,232
1920198512,276
1921198613,368
1922198714,520
1923198815,708
1924198916,968
1925199018,312
1926199119,728
1927199221,192
1928199322,716
1929199424,312
1930199525,920
1931199627,576
1932199729,304
1933199831,128
1934199933,060
1935200035,100
1936200137,212
1937200239,444
1938200443,992
1939200546,284
1940200648,576
1941200750,832
1942200853,028
1943200955,164
1944201057,276
1945201159,352
1946201261,392
1947201363,396
1948201465,256
1949201567,020
1950201668,688
1951201770,2
72
1952201871,760
1953201973,200
1
954
2
020
7
4,580
1955202277,148
1956202378,372
1957202479,512
1958202580,556
1959202681,540
1960202782,464
1961202883,340
1962202984,120
1963203084,876
1964203185,596
December 8, 200311742003-49 I.R.B.

2004 COVERED COMPENSATION TABLE
CALENDAR YEAR OF BIRTH
CALENDARYEAROFSOCIAL
SECURITY RETIREMENT AGE
2004 COVERED
COMPENSATION TABLE
1965203286,244
1966203386,796
1967203487,240
1968203587,564
1969203687,780
1970203787,864
1971 and later203887,900
2004 Rounded Covered
Compensation Table
Year of BirthCovered
Compensation
193739,000
1938 – 193945,000
194048,000
194151,000
1942 – 194354,000
194457,000
1945 – 194660,000
194763,000
1948 – 194966,000
1950 – 195169,000
1952–1
953
72,000
195475,000
1955 – 195678,000
195
7–1960
81,
000
1961 – 196384,000
1964 – 196787,000
1968 and later87,900
DRAFTING INFORMATION
The principal author of this revenue rul-
ing is Lawrence Isaacs of the Employee
Plans, Tax Exempt and Government Enti-
ties Division. For further information re-
garding this revenue ruling, please contact
the Employee Plans taxpayer assistance
telephone service at 1–877–829–5500, be-
tween the hours of 8:00 a.m. and 6:30 p.m.
Eastern time, Monday through Friday (a
toll-free number). Mr. Isaac’s number is
(202) 283–9710 (not a toll-free number).
Section 412.—Minimum
Funding Standards
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 461.—General Rule
for Taxable Year of Deduction
26 CFR 1.461–2T: Contested liabilities (temporary).
T.D. 9095
DEPARTMENT OF
THE TREASURY
Internal Revenue Service
26 CFR Part 1
Transfers to Provide for
Satisfaction of Contested
Liabilities
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Final and temporary regula-
tions.
SUMMARY: This document contains reg-
ulations relating to transfers of money or
other property to provide for the satisfac-
tion of contested liabilities. The regula-
tions affect taxpayers that are contesting
an asserted liability and that transfer their
own stock or indebtedness, the stock or in-
debtedness of a related party, or a promise
to provide services or property in the fu-
ture, to provide for the satisfaction of the
liability prior to the resolution of the con-
test. The regulations also affect taxpay-
ers that transfer money or other property
to a trust, an escrow account, or a court
to provide for the satisfaction of a liabil-
ity for which payment is economic perfor-
mance. The text of these temporary regula-
tions also serves as the text of the proposed
regulations (REG–136890–02) set forth in
the notice of proposed rulemaking on this
subject in this issue of the Bulletin.
DATES:Effective Date:These regulations
are effective November 19, 2003.
Applicability Dates:For dates of appli-
cability, see §1.461–2T(g).
2003-49 I.R.B.1175December 8, 2003

FOR FURTHER INFORMATION
CONTACT: Norma Rotunno, (202)
622–7900 (not a toll free number).
SUPPLEMENTARY INFORMATION:
Background
This document contains amendments to
the Income Tax Regulations (26 CFR Part
1) under section 461(f) of the Internal Rev-
enue Code (Code) relating to the transfer
of money or other property to provide for
the satisfaction of an asserted liability that
a taxpayer is contesting. Section 461(f)
provides an exception to the general rules
of tax accounting by allowing a taxpayer to
deduct a contested liability in a year prior
to the resolution of the contest if the fol-
lowing conditions are met: (1) the taxpayer
contests an asserted liability, (2) the tax-
payer transfers money or other property to
provide for the satisfaction of the asserted
liability, (3) the contest with respect to the
asserted liability exists after the time of
transfer, and (4) but for the fact that the
asserted liability is contested, a deduction
would be allowed for the taxable year of
the transfer (or for an earlier taxable year)
determined after the application of the eco-
nomic performance rules. If these require-
ments are satisfied, a taxpayer may deduct
the liability in the taxable year of the trans-
fer.
Section 461(f)(2) requires the taxpayer
to transfer money or other property to pro-
vide for the satisfaction of the asserted li-
ability. Neither the statute nor the regu-
lations specifically definemoney or other
property.The examples in the regula-
tions and the legislative history involve
only transfers of cash.
Under §1.461–2(c)(1) of the Income
Tax Regulations, a transfer for the satis-
faction of an asserted liability is a transfer
of money or other property beyond the
taxpayer’s control to: (1) the person as-
serting the liability, (2) an escrowee or
trustee pursuant to a written agreement
(among the escrowee or trustee, the tax-
payer, and the person who is asserting
the liability) providing that the money or
other property be delivered in accordance
with the settlement of the contest, (3) an
escrowee or trustee pursuant to an order
of a court or government entity providing
that the money or other property be deliv-
ered in accordance with the settlement of
the contest, or (4) a court with jurisdiction
over the contest. The taxpayer must relin-
quish all authority over the money or other
property transferred.
To qualify for a deduction, section
461(f)(4) provides that a deduction is al-
lowed in the taxable year of the transfer
only if, but for the fact that the asserted
liability is contested, a deduction would be
allowed for the taxable year of the transfer
(or for an earlier taxable year) “deter-
mined after application of subsection
(h).” Congress added the quoted language
to section 461(f)(4) when Congress en-
acted section 461(h), which provides, for
amounts with respect to which a deduc-
tion would be allowable after July 18,
1984, that the all events test is not met
any earlier than when economic perfor-
mance has occurred with respect to the
liability. Section 461(h)(2)(C) provides
that payment to another person is re-
quired to satisfy economic performance
for liabilities arising out of any workers
compensation act or any tort. The Con-
ference Report accompanying enactment
of section 461(h) explains the impact of
the economic performance requirement on
trusts established under section 461(f):
In the case of workers’ compensation or
tort liabilities of the taxpayer
requiring payments to another person,
economic performance occurs
as payments are made to that person.
Since payment to a section
461(f) trust is not a payment to the
claimant and does not discharge
the taxpayer’s liability to the claimant,
such payment does not satisfy
the economic performance test.
H. R. Rep. No. 861, 98
th
Cong., 2d Sess.
871, 876 (1984).
For transfers in taxable years be-
ginning after December 31, 1991,
§1.461–4(g)(2)-(7) expands the list of
liabilities for which payment “to the
person to which the liability is owed”
constitutes economic performance (pay-
ment liabilities). The additional payment
liabilities listed in §1.461–4(g)(2)-(6) in-
clude liabilities for breach of contract (to
the extent of incidental, consequential,
and liquidated damages) or violation of
law, rebates and refunds, awards, prizes,
jackpots, insurance, warranty and ser-
vice contracts, and taxes. In addition,
§1.461–4(g)(7) characterizes as payment
liabilities other liabilities for which other
specific rules are not provided.
Section 1.461–4(g)(1)(ii)(A) provides
that payment does not include the fur-
nishing of a note or other evidence of
indebtedness of the taxpayer.
Section 1.461–4(g)(1)(i) provides
that, for liabilities for which payment is
economic performance, economic perfor-
mance does not occur as a taxpayer makes
payments in connection with a liability to
any other person, including a trust, escrow
account, court-administered fund, or any
similar arrangement, unless the payments
constitute payment to the person to which
the liability is owed under paragraph
(g)(1)(ii)(B). Section 1.461–4(g)(1)(ii)(B)
states that payment is accomplished if
a cash basis taxpayer in the position of
the person to which the liability is owed
would be treated as having actually or
constructively received the amount of the
payment as gross income under section
451.
Explanation of Provisions
Transfers of Property to Provide for the
Satisfaction of an Asserted Liability
The regulations remove §1.461–2(c)(1)
and add §1.461–2T(c)(1). The temporary
regulations restructure the provisions of
current §1.461–2(c)(1)for greater clarity
but retain all of the rules in §1.461–2(c)(1),
including the requirement that the taxpayer
must transfer money or other property be-
yond the taxpayer’s control and relinquish
all authority over the money or other prop-
erty transferred. The temporary regula-
tions clarify that the transfer of the indebt-
edness of a taxpayer or of any promise by
the taxpayer to provide services or prop-
erty in the future is not a transfer to pro-
vide for the satisfaction of an asserted li-
ability. See Eckert v. Burnet, 283 U.S.
140 (1931); Willamette Industries, Inc., v.
Commissioner, 92 T.C. 1116 (1989), aff’d,
149 F.3d 1057 (9
th
Cir. 1998). In addi-
tion, the temporary regulations provide the
express rule that a transfer (other than to
the person asserting the liability) of a tax-
payer’s stock, or the indebtedness or stock
of a person related to the taxpayer (as de-
fined in section 267(b)), is not a transfer to
provide for the satisfaction of an asserted
liability. These rules are consistent with
section 468B(d)(1)(B), which excludes as
December 8, 200311762003-49 I.R.B.

a qualified payment to a designated settle-
ment fund the transfer of any stock or in-
debtedness of the taxpayer (or any related
person). See §1.461–4(g)(1)(ii)(A), which
provides that payment does not include the
furnishing of a note or other evidence of in-
debtedness of the taxpayer or a promise of
the taxpayer to provide services or prop-
erty in the future.
Economic Performance Rules for Payment
Liabilities
Section 1.461–4(g) provides that eco-
nomic performance occurs in the case of
a liability requiring payment to another
person arising out of a workers compensa-
tion act, tort, or other designated liability
as payments are made to the person to
which the liability is owed. Therefore,
the temporary regulations provide in
§1.461–2T(e)(2) that, except as provided
in section 468B or the regulations there-
under, economic performance does not
occur when a taxpayer transfers money or
other property to a trust, escrow account,
or court to provide for the satisfaction of a
contested workers compensation, tort, or
other liability designated in §1.461–4(g)
unless the trust, escrow account, or court
is the claimant or the taxpayer’s payment
to the trust, escrow account, or court
discharges the taxpayer’s liability to the
claimant. See Maxus Energy Corporation
and Subsidiaries v. United States, 31 F.3d
1135 (Fed. Cir. 1994). Rather, economic
performance occurs in the taxable year
in which the taxpayer transfers money or
other property to the person asserting the
liability that the taxpayer is contesting, or
in the taxable year in which payment from
the trust, escrow account, or court registry
is made to the person to which the liability
is owed.
Effective Date
In general, the temporary regulations
apply to transfers made in taxable years
beginning after December 31, 1953, and
ending after August 16, 1954. However,
the temporary regulations apply to trans-
fers of any stock of the taxpayer or any
stock or indebtedness of a related person
on or after November 19, 2003. Section
1.461–2T(e)(2)(i) applies to transfers of
money or other property after July 18,
1984, the effective date of section 461(h).
Similarly, §1.461–2T(e)(2)(ii) applies to
transfers of money or other property after
July 18, 1984, to satisfy workers com-
pensation or tort liabilities, and applies to
transfers of money or other property in tax-
able years beginning after December 31,
1991, the effective date of §1.461–4(g),
to satisfy payment liabilities designated
under §1.461–4(g) (other than liabilities
for workers compensation or tort).
Special Analyses
It has been determined that this Trea-
sury decision is not a significant regula-
tory action as defined in Executive Order
12866. Therefore, a regulatory assessment
is not required. It also has been determined
that section 553(b) of the Administrative
Procedure Act (5 U.S.C. chapter 5) does
not apply to these regulations. Please refer
to the cross-referenced notice of proposed
rulemaking (REG–136890–02) published
elsewhere in this issue of the Bulletin for
applicability of the Regulatory Flexibility
Act (5 U.S.C. chapter 6). Pursuant to sec-
tion 7805(f) of the Code, these temporary
regulations will be submitted to the Chief
Counsel for Advocacy of the Small Busi-
ness Administration for comment on their
impact on small business.
Drafting Information
The principal author o
f these regula-
tions is Norma Rotunn
o of the Office of
the Associate Chief
Counsel (Income Tax
& Accounting). Howe
ver, other personnel
from the IRS and Tre
asury participated in
their developme
nt.
*****
Amendments to the Regulations
Accordingl
y, 26 CFR part 1 is amended
as follows
:
PART 1— INCOME TAXES
Paragraph 1. The authority citation for
part 1 continues to read in part as follows:
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 1.461–2 is amended by:
1. Removing paragraph (a)(5).
2. Revising paragraph (c)(1).
3. Redesignating paragraph (e)(2) as
paragraph (e)(3) and revising it.
4. Adding new paragraph (e)(2).
The addition and revisions read as fol-
lows:
§1.461–2 Contested liabilities.
*****
(c) * * *
(1) [Reserved]. For further guidance,
see §1.461–2T(c)(1).
*****
(e) * * *
(2) [Reserved]. For further guidance,
see §1.461–2T(e)(2).
(3)Examples.The provisions of this
paragraph are illustrated by the following
examples:
Example 1.A, an individual, makes a gift of cer-
tain property to B, an individual. A pays the entire
amount of gift tax assessed against him but contests
his liability for the tax. Section 275(a)(3) provides
that gift taxes are not deductible. A does not satisfy
the requirement of paragraph (a)(1)(iv) of th
is section
because a deduction would not be allowed for the tax-
able year of the transfer even if A did not contest his
liability to the tax.
Example 2.[Reserved]. For further guidance, see
§1.461–2T(e)(3), Example 2.
*****
Par. 3. Section 1.461–2T is added to
read as follows:
§1.461–2T Contested liabiliti
es
(temporary).
(a) and (b) [Reserved]. For further
guidance, see §1.461–2(a) and (b).
(c)Transfer to provide for the satis-
faction of an asserted liability—(1)In
general.(i) A taxpayer may provide for
the satisfaction of an asserted liability
by transferring money or other property
beyond his control to—
(A) The person who is asserting the li-
ability;
(B) An escrowee or trustee pursuant to a
written agreement (among the escrowee or
trustee, the taxpayer, and the person who
is asserting the liability) that the money or
other property be delivered in accordance
with the settlement of the contest;
(C) An escrowee or trustee pursuant to
an order of the United States or of any
State or political subdivision thereof or any
agency or instrumentality of the foregoing,
or of a court, that the money or other prop-
erty be delivered in accordance with the
settlement of the contest; or
2003-49 I.R.B.1177December 8, 2003

(D) A court with jurisdiction over the
contest.
(ii) In order for money or other property
to be beyond the control of a taxpayer, the
taxpayer must relinquish all authority over
the money or other property.
(iii) The following are not transfers to
provide for the satisfaction of an asserted
liability—
(A) Purchasing a bond to guarantee
payment of the asserted liability;
(B) An entry on the taxpayer’s books of
account;
(C) A transfer to an account that is
within the control of the taxpayer;
(D) A transfer of any indebtedness of
the taxpayer or of any promise by the tax-
payer to provide services or property in the
future; and
(E) A transfer to a person (other than the
person asserting the liability) of any stock
ofthetaxpayerorofanystockorindebt-
edness of a person related to the taxpayer
(as defined in section 267(b)).
(c)(2) through (d) [Reserved]. For fur-
ther guidance, see §1.461–2(c)(2) through
(d).
(e)Deduction otherwise allowed—(1)
[Reserved]. For further guidance, see
§1.461–2(e)(1).
(2)Application of economic perfor-
mance rules to transfers under section
461(f).(i) A taxpayer using an accrual
method of accounting is not allowed a
deduction under section 461(f) in the tax-
able year of the transfer unless economic
performance has occurred.
(ii) Economic performance occurs for
liabilities requiring payment to another
person arising out of any workers com-
pensation act or any tort, or any other
liability designated in §1.461–4(g), as
payments are made to the person to which
the liability is owed. Except as provided
in section 468B or the regulations thereun-
der, economic performance does not occur
when a taxpayer transfers money or other
property to a trust, an escrow account,
or a court to provide for the satisfaction
of an asserted workers compensation,
tort, or other liability designated under
§1.461–4(g) that the taxpayer is contest-
ing unless the trust, escrow account, or
court is the person to which the liability
is owed or the taxpayer’s payment to the
trust, escrow account, or court discharges
the taxpayer’s liability to the claimant.
Rather, economic performance occurs in
the taxable year the taxpayer transfers
money or other property to the person that
is asserting the workers compensation,
tort, or other liability designated under
§1.461–4(g) that the taxpayer is contest-
ing or in the taxable year that payment is
made from a trust, an escrow account, or
a court registry funded by the taxpayer to
thepersontowhichtheliabilityisowed.
(3)Examples.The provisions of this
paragraph (e) are illustrated by the follow-
ing examples:
Example 1.[Reserved]. For further guidance, see
§1.461–2(e)(3),Example 1.
Example 2.Corporation X is a defendant in a
class action suit for tort liabilities. In 2002, X es-
tablishes a trust for the purpose of satisfying the as-
serted liability and transfers $10,000,000 to the trust.
The trust does not satisfy the requirements of sec-
tion 468B or the regulations thereunder. In 2004, the
trustee pays $10,000,000 to the plaintiffs in settle-
ment of the litigation. Under paragraph (e)(2) of this
section, economic performance with respect to
X’s li-
ability to the plaintiffs occurs in 2004. X may deduct
the $10,000,000 payment to the plaintiffs in 2004.
(f) [Reserved]. For further guidance,
see §1.461–2(f).
(g)Effective date.(1) Except as other-
wise provided, this section applies to trans-
fers of money or other property in taxable
years beginning after December 31, 1953,
and ending after August 16, 1954.
(2) Paragraph (c)(1)(iii)(E) of this sec-
tion applies to transfers of any stock of the
taxpayer or any stock or indebtedness of a
person related to the taxpayer on or after
November 19, 2003.
(3) Paragraph (e)(2)(i) of this section
applies to transfers of money or other prop-
erty after July 18, 1984.
(4) Paragraphs (e)(2)(ii) and (e)(3) of
this section apply to—
(i) Transfers after July 18, 1984, of
money or other property to provide for the
satisfaction of an asserted workers com-
pensation or tort liability; and
(ii) Transfers in taxable years begin-
ning after December 31, 1991, of money
or other property to provide for the sat-
isfaction of asserted liabilities designated
in §1.461–4(g) (other than liabilities for
workers compensation or tort).
Mark E. Matthews,
Deputy Commissioner for Services
and Enforcement.
Approved November 12, 2003.
Pamela F. Olson,
Assistant Secretary of the Treasury.
(Filed by the Office of the Federal Register on November 19,
2003, 8:45 a.m., and published in the issue of the Federal
Register for November 21, 2003, 68 F.R. 65634)
Section 467.—Certain
Payments for the Use of
Property or Services
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 468.—Special
Rules for Mining and Solid
Waste Reclamation and
Closing Costs
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 482.—Allocation
of Income and Deductions
Among Taxpayers
Federal short-term, mid-term, and long-term rates
are set forth for the month of December 2003. See
Rev. Rul. 2003-122, page 1179.
Section 483.—Interest on
Certain Deferred Payments
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 642.—Special Ru
les
for Credits and Deducti
ons
Federal short-term, mi
d-term, and long-term rates
are set forth for the mon
th of December 2003. See
Rev. Rul. 2003-122, pa
ge 1179.
Section 807.—Rules for
Certain Reserves
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 846.—Discounted
Unpaid Losses Defined
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
December 8, 200311782003-49 I.R.B.

of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 1274.—Determina-
tion of Issue Price in the Case
of Certain Debt Instruments
Issued for Property
(Also Sections 42, 280G, 382, 412, 467, 468, 482,
483, 642, 807, 846, 1288, 7520, 7872.)
Federal rates; adjusted federal rates;
adjusted federal long-term rate and the
long-term exempt rate.For purposes of
sections 382, 1274, 1288, and other sec-
tions of the Code, tables set forth the rates
for December 2003.
Rev. Rul. 2003–122
This revenue ruling provides various
prescribed rates for federal income tax
purposes for December 2003 (the current
month). Table 1 contains the short-term,
mid-term, and long-term applicable fed-
eral rates (AFR) for the current month
for purposes of section 1274(d) of the
Internal Revenue Code. Table 2 contains
the short-term, mid-term, and long-term
adjusted applicable federal rates (adjusted
AFR) for the current month for purposes
of section 1288(b). Table 3 sets forth
the adjusted federal long-term rate and
the long-term tax-exempt rate described
in section 382(f). Table 4 contains the
appropriate percentages for determining
the low-income housing credit described
in section 42(b)(2) for buildings placed in
service during the current month. Table 5
contains the federalrate for determining
the present value of annuity, an interest for
life or for a term of years, or a remainder
or a reversionary interest for purposes of
section 7520. Finally, Table 6 contains
the 2004 interest rate for sections 846 and
807.
REV. RUL. 2003–122 TABLE 1
Applicable Federal Rates (AFR) for December 2003
Period for Compounding
AnnualSemiannualQuarterlyMonthly
Short-Term
AFR1.68%1.67%1.67%1.66%
110% AFR1.85%1.84%1.84%1.83%
120% AFR2.01%2.00%2.00%1.99%
130% AFR2.18%2.17%2.16%2.16%
Mid-Term
AFR3.55%3.52%3.50%3.49%
110% AFR3.91%3.87%3.85%3.84%
120% AFR4.26%4.22%4.20%4.18%
130% AFR4.63%4.58%4.55%4.54%
150% AFR5.35%5.28%5.25%5.22%
175% AFR6.25%6.16%6.11%6.08%
Long-Term
AFR5.12%5.06%5.03%5.01%
110% AFR5.65%5.57%5.53%5.51%
120% AFR6.16%6.07%6.02%5.99%
130% AFR6.69%6.58%6.53%6.49%
REV. RUL. 2003–122 TABLE 2
Adjusted AFR for December 2003
Period for Compounding
AnnualSemiannualQuarterlyMonthly
Short-term adjusted
AFR
1.37%1.37%1.37%1.37%
Mid-term adjusted AFR2.75%2.73%2.72%2.71%
Long-term adjusted
AFR
4.58%4.53%4.50%4.49%
2003-49 I.R.B.1179December 8, 2003

REV. RUL. 2003–122 TABLE 3
Rates Under Section 382 for December 2003
Adjusted federal long-term rate for the current month4.58%
Long-term tax-exempt rate for ownership changes during the current month (the highest of the ad
justed
federal long-term rates for the currentmonth and the prior two months.)4.74%
REV. RUL. 2003–122 TABLE 4
Appropriate Percentages Under Section 42(b)(2) for December 2003
Appropriate percentage for the 70% pr
esent value low-income housing credit
8.01%
Appropriate percentage for the 30% present value low-income housing credit3.43%
REV. RUL. 2003–122 TABLE 5
Rate Under Section 7520 for December 2003
Applicable federal rate for determining the present value of an annuity, an interest for life or a term of years,
or a remainder or reversionary interest4.2%
REV. RUL. 2003–122 TABLE 6
Applicable rate of interest for 2004
for purposes of section 846 and 8074.82%
Section 1288.—Treatment of
Original Issue Discounts on
Tax-Exempt Obligations
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 7520.—Valuation
Tables
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
Section 7872.—Treatment
of Loans With Below-Market
Interest Rates
The adjusted applicable federal short-term, mid-
term, and long-term rates are set forth for the month
of December 2003. See Rev. Rul. 2003-122, page
1179.
December 8, 200311802003-49 I.R.B.

Part III. Administrative, Procedural, and Miscellaneous
Listed Transactions
Notice 2003–76
This notice updates the list of trans-
actions that have been determined by
the Internal Revenue Service to be
“listed transactions” for purposes of
§ 1.6011–4(b)(2) of the Income Tax Reg-
ulations and § 301.6111–2(b)(2) of the
Procedure and Administration Regula-
tions. This notice restates the list of “listed
transactions” in Notice 2001–51, 2001–2
C.B. 190, and updates the list by adding
transactions identified as “listed trans-
actions” in notices and other guidance
released subsequent to August 2, 2001.
Transactions that are the same as or
substantially similar to transactions de-
scribed in the list below have been deter-
mined by the Service to be tax avoidance
transactions and are “listed transactions”
for purposes of § 1.6011–4(b)(2) and
§ 301.6111–2(b)(2). As a result, taxpayers
may need to disclose their participation
in these listed transactions as prescribed
in § 1.6011–4, and promoters (or other
persons responsible for registering tax
shelter transactions) may need to register
these transactions under § 301.6111–2. In
addition, material advisors must maintain
lists of investors and other information
with respect to these listed transactions
pursuant to § 301.6112–1.
(1) Rev. Rul. 90–105, 1990–2 C.B.
69 (transactions in which taxpayers claim
deductions for contributions to a qualified
cash or deferred arrangement or match-
ing contributions to a defined contribution
plan where the contributions are attribut-
able to compensationearnedbyplanpar-
ticipants after the end of the taxable year
(identified as “listed transactions” on Feb-
ruary 28, 2000)).See alsoRev. Rul.
2002–46, 2002–2 C.B. 117 (result is the
same, and transactions are substantially
similar, even though the contributions are
designated as satisfying a liability estab-
lished before the end of the taxable year),
modified byRev. Rul. 2002–73, 2002–2
C.B. 805;
(2) Notice 95–34, 1995–1 C.B. 309
(certain trust arrangements purported to
qualify as multiple employer welfare
benefit funds exempt from the limits of
§§ 419 and 419A of the Internal Rev-
enue Code (identified as “listed transac-
tions” on February 28, 2000)).See also
§ 1.419A(f)(6)–1 of the Income Tax Reg-
ulations (10 or more employer plans);
(3) Transactions described in Part II
of Notice 98–5, 1998–1 C.B. 334 (trans-
actions in which the reasonably expected
economic profit is insubstantial in compar-
ison to the value of the expected foreign
tax credits (identified as “listed transac-
tions” on February 28, 2000));
(4) Transactions substantially similar to
those at issue inASA Investerings Partner-
ship v. Commissioner, 201 F.3d 505 (D.C.
Cir. 2000), andACM Partnership v. Com-
missioner, 157 F.3d 231 (3d Cir. 1998)
(transactions involving contingent install-
ment sales of securities by partnerships in
order to accelerate and allocate income to
a tax-indifferent partner, such as a tax-ex-
empt entity or foreignperson,andtoallo-
cate later losses to another partner (iden-
tified as “listed transactions” on February
28, 2000));
(5) Treas. Reg. § 1.643(a)–8 (trans-
actions involving distributions described
in § 1.643(a)–8 from charitable remainder
trusts (identified as “listed transactions” on
February 28, 2000));
(6) Notice 99–59, 1999–2 C.B. 761
(transactions involving the distribution of
encumbered property in which taxpayers
claim tax losses forcapital outlays that
they have in fact recovered (identified
as “listed transactions” on February 28,
2000)).See alsoTreas. Reg. § 1.301–1(g);
(7) Treas. Reg. § 1.7701(l)–3 (trans-
actions involving fast-pay arrangements
as defined in § 1.7701(l)–3(b) (identified
as “listed transactions” on February 28,
2000));
(8) Rev. Rul. 2000–12, 2000–1 C.B.
744 (certain transactions involving the ac-
quisition of two debt instruments the val-
ues of which are expected to change sig-
nificantly at about the same time in oppo-
site directions (identified as “listed trans-
actions” on February 28, 2000));
(9) Notice 2000–44, 2000–2 C.B. 255
(transactions generating losses resulting
from artificially inflating the basis of
partnership interests(identified as “listed
transactions” on August 11, 2000)).See
also§ 1.752–6T of the temporary Income
Tax Regulations and §§ 1.752–1(a) and
1.752–7 of the proposed Income Tax Reg-
ulations;
(10) Notice 2000–60, 2000–2 C.B. 568
(transactions involving the purchase of a
parent corporation’s stock by a subsidiary,
a subsequent transfer of the purchased par-
ent stock from the subsidiary to the par-
ent’s employees, and the eventual liqui-
dation or sale of the subsidiary (identified
as “listed transactions” on November 16,
2000));
(11) Notice 2000–61, 2000–2 C.B. 569
(transactions purporting to apply § 935
to Guamanian trusts (identified as “listed
transactions” on November 21, 2000));
(12) Notice 2001–16, 2001–1 C.B. 730
(transactions involving the use of an inter-
mediary to sell the assets of a corporation
(identified as “listed transactions” on Jan-
uary 18, 2001));
(13) Notice 2001–17, 2001–1 C.B. 730
(transactions involving a loss on the sale of
stock acquired in a purported § 351 trans-
fer of a high basis asset to a corporation
and the corporation’s assumption of a lia-
bility that the transferor has not yet taken
into account for federal income tax pur-
poses (identified as “listed transactions” on
January 18, 2001));
(14) Notice 2001–45, 2001–2 C.B. 129
(certain redemptions of stock in transac-
tions not subject to U.S. tax in which the
basis of the redeemed stock is purported
to shift to a U.S. taxpayer (identified as
“listed transactions” on July 26, 2001));
(15) Notice 2002–21, 2002–1 C.B. 730
(transactions involving the use of a loan
assumption agreement to inflate basis in
assets acquired from another party to claim
losses (identified as “listed transactions”
on March 18, 2002));
(16) Notice 2002–35, 2002–1 C.B. 992
(transactions involving the use of a no-
tional principal contract to claim current
deductions for periodic payments made by
a taxpayer while disregarding the accrual
of a right to receive offsetting payments
in the future (identified as “listed transac-
tions” on May 6, 2002));
(17) Notice 2002–50, 2002–2 C.B. 98
(transactions involving the use of a strad-
dle, a tiered partnership structure, a tran-
sitory partner, and the absence of a § 754
election to claim a permanent non-eco-
nomic loss (identified as “listed transac-
tions” on June 25, 2002)); Notice 2002–65,
2003-49 I.R.B.1181December 8, 2003

2002–2 C.B. 690 (transactions involving
the use of a straddle, an S corporation or
apartnership,andoneormoretransitory
shareholders or partners to claim a loss
while deferring an offsetting gain are sub-
stantially similar to transactions described
in Notice 2002–50); and Notice 2003–54,
2003–33 I.R.B. 363 (transactions involv-
ing the use of economically offsetting po-
sitions, one or more tax indifferent par-
ties, and the common trust fund account-
ing rules of § 584 to allow a taxpayer to
claim a noneconomic loss are substantially
similar to transactions described in Notice
2002–50 and Notice 2002–65);
(18) Rev. Rul. 2002–69, 2002–2 C.B.
760, modifying and superseding Rev. Rul.
99–14, 1999–1 C.B. 835 (transactions in
which a taxpayer purports to lease prop-
erty and then purports to immediately sub-
lease it back to the lessor (that is, lease-
in/lease-out or LILO transactions) (iden-
tified as “listed transactions” on February
28, 2000));
(19) Notice 2002–70, 2002–2 C.B.
765 (transactions involving reinsurance
arrangements between a taxpayer and the
taxpayer’s own reinsurance company that
is subject to little or no federal income
tax (identified as “listed transactions” on
October 15, 2002));
(20) Rev. Rul. 2003–6, 2003–3 I.R.B.
286 (certain arrangements involving the
transfer of employee stock ownership
plans (ESOPs) that hold stock in an S
corporation for the purpose of claiming
eligibility for the delayed effective date
of § 409(p) (identified as “listed transac-
tions” on December 17, 2002));
(21) Notice 2003–22, 2003–18 I.R.B.
851 (certain arrangements involving leas-
ing companies that have been used to avoid
or evade federal income and employment
taxes (identified as “listed transactions” on
April 4, 2003));
(22) Notice 2003–24, 2003–18 I.R.B.
853 (certain arrangements that purportedly
qualify as collectively-bargained welfare
benefit funds excepted from the account
limits of §§ 419 and 419A (identified as
“listed transactions” on April 11, 2003));
(23) Notice 2003–47, 2003–30 I.R.B.
132 (transactions involving compensatory
stock options and related persons to avoid
or evade federal income and employment
taxes (identified as “listed transactions” on
July 1, 2003)); and
(24) Notice 2003–55, 2003–34 I.R.B.
395 (transactions in which one participant
claims to realize rental or other income
from property or service contracts and an-
other participant claims the deductions re-
latedtothatincome(oftenreferredtoas
“lease strips”), modifying and supersed-
ing Notice 95–53, 1995–2 C.B. 334 (iden-
tified as “listed transactions” on February
28, 2000)).
Notice 2001–51 is supplemented and
superseded. For updates to this list, go
to the IRS web page atwww.irs.gov/busi-
nesses/corporationsand click on Abusive
Tax Shelters and Transactions. Notices
and other published guidance will still be
used to identify transactions that have been
determined by the Service to be “listed
transactions.”
The principal author of this notice is
Michael J. Goldman of the Office of Asso-
ciate Chief Counsel (Passthroughs & Spe-
cial Industries). For further information re-
garding this notice, contact Mr. Goldman
at (202) 622–3080 (not a toll-free call).
Transfers to Trusts to Provide
for the Satisfaction of Contested
Liabilities
Notice 2003–77
The Internal Revenue Service and
Treasury Department are aware of certain
transactions that use contested liability
trusts improperly to attempt to accelerate
deductions for contested liabilities under
§ 461(f) of the Internal Revenue Code.
This notice alerts taxpayers and their rep-
resentatives that these transactions are tax
avoidance transactions and identifies these
transactions, and substantially similar
transactions, as listed transactions for pur-
poses of § 1.6011–4(b)(2) of the Income
Tax Regulations and §§ 301.6111–2(b)(2)
and 301.6112–1(b)(2) of the Procedure
and Administration Regulations. This no-
tice also alerts parties involved with these
transactions of certain responsibilities that
may arise from their involvement with
these transactions.
LAW
Section 461(f) provides an exception to
the general rules of tax accounting by al-
lowing a taxpayer to deduct a contested li-
ability in a year prior to the resolution of
the contest if the following conditions are
satisfied: (1) the taxpayer contests an as-
serted liability; (2) the taxpayer transfers
money or other property to provide for the
satisfaction of the asserted liability; (3) the
contest with respect to the asserted liability
exists after the time of transfer; and (4) but
for the fact that the asserted liability is con-
tested, a deduction would be allowed for
the taxable year of the transfer (or for an
earlier taxable year) determined after the
application of the economic performance
rules. If these requirements are satisfied,
a taxpayer may deduct the liability in the
taxable year of the transfer.
On November 19, 2003, the Service and
Treasury Department filed with the Fed-
eral Register proposed (REG–136890–02)
and temporary (T.D. 9095) regulations
under § 461(f). Section 1.461–2T(c)(1)
of these temporary regulations, which
replaces and restates § 1.461–2(c)(1), pro-
vides that a transfer for the satisfaction of
an asserted liability is a transfer of money
or property beyond the taxpayer’s control
to: (1) the person asserting the liability;
(2) an escrowee or trustee pursuant to a
written agreement (among the escrowee
or trustee, the taxpayer, and the person
who is asserting the liability) providing
that the money or other property be de-
livered in accordance with the settlement
of the contest; (3) an escrowee or trustee
pursuant to an order of a court or govern-
ment entity providing that the money or
other property be delivered in accordance
with the settlement of the contest; or (4)
a court with jurisdiction over the contest.
An account is in the taxpayer’s control
unless the taxpayer has relinquished all
authority over the money or other property
transferred.
Section 1.461–2T(c)(1)(iii) provides
that the following actions are not transfers
to provide for the satisfaction of an as-
serted liability: (1) the purchase of a bond
to guarantee payment of the asserted lia-
bility; (2) an entry on the taxpayer’s books
of account; and (3) a transfer to an account
in the taxpayer’s control. The temporary
regulations clarify that a transfer in taxable
years beginning after December 31, 1953,
December 8, 200311822003-49 I.R.B.

and ending after August 16, 1954, of any
indebtedness of a taxpayer or any promise
by the taxpayer to provide services or
property in the future is not a transfer to
provide for the satisfaction of an asserted
liability. In addition, the temporary reg-
ulations provide the express rule that a
transfer (other than tothe person asserting
the liability) of a taxpayer’s stock, or the
indebtedness or stock of a person related
to the taxpayer (as defined in section
267(b)), is not a transfer to provide for the
satisfaction of an asserted liability.
Section 461(h)(2)(C) provides that, if
a workers compensation or tort liability
requires a payment to another person,
then economic performance occurs as
payments to the person are made. The
Conference Report accompanying enact-
ment of § 461(h) states:
In the case of workers’ compensation
or tort liabilities of the taxpayer requir-
ing payments to another person, eco-
nomic performance occurs as payments
are made to that person. Since payment
to a section 461(f) trust is not a payment
to the claimant and does not discharge
the taxpayer’s liability to the claimant,
such payment does not satisfy the eco-
nomic performance test.
H. R. Rep. No. 861, 98
th
Cong., 2d Sess.
871, 876 (1984).
Section 461(h)(2)(D) provides that in
the case of other liabilities, economic per-
formance occurs at the time determined
under regulations prescribed by the Secre-
tary. Section 1.461–4(g)(2) through (7) de-
scribes other liabilities for which payment
is economic performance.
Section 1.461–4(g)(1)(ii)(A) provides
that payment does not include the fur-
nishing of a note or other evidence of
indebtedness of the taxpayer.
Section 1.461–4(g)(1)(i) provides that,
for certain liabilities for which payment is
economic performance, economic perfor-
mance does not occur as a taxpayer makes
payments in connection with the liability
to any other person, including a trust, es-
crow account, court-administered fund, or
any similar arrangement, unless the pay-
ments constitute payment to the person to
which the liability is owed. InMaxus
Energy Corporation and Subsidiaries v.
United States, 31 F.3d 1135, 1144, 1145
(Fed. Cir. 1994), the taxpayer’s payment
to a settlement fund effectively constituted
payment to the person to which the liabil-
ity was owed because the claimants agreed
to look solely to the fund to satisfy their
claims and, therefore,the taxpayer’s pay-
ment to the fund discharged its liability to
the claimant.
Section 1.461–2T(e)(2) provides that,
except as provided in § 468B or the regu-
lations thereunder, economic performance
does not occur when a taxpayer transfers
money or other property to a trust, escrow
account, or court to provide for the satis-
faction of a contested workers compensa-
tion, tort, or other liability designated in
§ 1.461–4(g) unless the trust, escrow ac-
count, or court is the claimant or the tax-
payer’s payment to the trust, escrow ac-
count, or court discharges the taxpayer’s
liability to the claimant.
ANALYSIS
The Service and Treasury Department
have become aware of transactions in
which taxpayers have established trusts
purported to qualify under § 461(f), but
that fail to comply with the requirements
of § 461(f) or the regulations by reason
of: (1) retention of powers over the trust
assets (such as the power to substitute
assets, to pay the contested liabilities out
of assets other than those in the trust, or
to limit the trustee’s ability to sell the tax-
payer’s assets that the taxpayer transferred
to the trust), contrary to the requirement
that the taxpayer relinquish control over
the property transferred; (2) transfer to
the trust of related party notes under cir-
cumstances indicating the liability is not
genuine or that there is no intent between
the parties to enforce the obligation, which
is not a valid transfer to provide for the
satisfaction of an asserted liability; or (3)
establishment of trusts for contested tort,
workers compensation, or other liabilities
designated in § 1.461–4(g), for which
economic performance requires payment
to the claimant.
Transactions that are the same as,
or substantially similar to, the fol-
lowing transactions are identified as
“listed transactions” for purposes of
§§ 1.6011–4(b)(2), 301.6111–2(b)(2) and
301.6112–1(b)(2):
(1) transactions in which a taxpayer
transfers money or other property in tax-
able years beginning after December 31,
1953, and ending after August 16, 1954,
to a trust purported to be established under
§ 461(f) to provide for the satisfaction
of an asserted liability and retains any
oneormoreofthefollowingpowersover
the money or other property transferred:
to pay any liabilities ultimately due to
the claimant out of assets other than those
transferred to the trust; to substitute money
or other property for property transferred
to the trust; to prohibit payment to the
claimant by the trustee until instructed by
the taxpayer; to prohibit notification to
the claimant of the trust’s establishment;
to limit the trustee’s ability to sell the
property after it is transferred to the trust;
and to limit the trustee’s ability to enforce
notes or rights relating to other property
transferred to the trust;
(2) transactions in which a taxpayer
transfers any indebtedness of the taxpayer
or any promise by the taxpayer to provide
services or property in the future in tax-
able years beginning after December 31,
1953, and ending after August 16, 1954,
to a trust purported to be established under
§461(f)toprovideforthesatisfactionof
an asserted liability;
(3) transactions in which a taxpayer us-
ing an accrual method of accounting trans-
fers money or other property after July 18,
1984, to a trust purported to be established
under § 461(f) to provide for the satisfac-
tion of a workers compensation or tort li-
ability (unless the trust is the person to
which the liability is owed, or payment to
the trust discharges the taxpayer’s liability
to the claimant);
(4) transactions in which a taxpayer us-
ing an accrual method of accounting trans-
fers money or other property in taxable
years beginning after December 31, 1991,
to a trust purported to be established un-
der § 461(f) to provide for the satisfac-
tion of a liability for which payment is
economic performance under § 1.461–4(g)
(unless the trust is the person to which the
liability is owed, or payment to the trust
discharges the taxpayer’s liability to the
claimant), other than a liability for work-
ers compensation or tort; and
(5) transactions in which a taxpayer
transfers stock issued by the taxpayer, or
indebtedness or stock issued by a party
related to the taxpayer (as defined in
§ 267(b)), on or after November 19, 2003,
to a trust purported to be established under
§461(f)toprovideforthesatisfactionof
any asserted liability.
2003-49 I.R.B.1183December 8, 2003

Independent of their classification as
“listed transactions,” transactions that are
the same as, or substantially similar to,
the transactions described in this notice
may already be subject to the disclosure
requirements of § 6011 (§ 1.6011–4), the
tax shelter registration requirements of
§ 6111 (§§ 301.6111–1T, 301.6111–2),
or the list maintenance requirements of
§ 6112 (§ 301.6112–1). Persons required
to register these tax shelters under § 6111
whohavefailedtodosomaybesubjectto
the penalty under § 6707(a). Persons re-
quired to maintain lists of investors under
§6112whohavefailedtodoso(orwho
fail to provide such lists when requested
by the Service) may be subject to the
penalty under § 6708(a). In addition, the
Service may impose penalties on parties
involved in these transactions or substan-
tially similar transactions, including the
accuracy-related penalty under § 6662.
Transactions that are the same as, or
substantially similar to, the transactions
described in this notice are identified
as “listed transactions” for purposes of
§§ 1.6011–4(b)(2), 301.6111–2(b)(2) and
301.6112–1(b)(2) effective November 19,
2003, the date this notice is released to
the public. The references to specific
taxable years and dates in the description
of transactions covered by this notice are
intended to provide consistency with the
temporary and proposed regulations under
§ 461(f) filed with the Federal Regis-
ter on November 19, 2003. Only those
transactions covered by the provisions
(including the effective date provisions)
of the disclosure, tax shelter registration,
and list maintenance requirements under
§§ 6011, 6111, and 6112 and the regula-
tions thereunder will be subject to those
requirements.
DRAFTING INFORMATION
The principal author of this notice is
Norma Rotunno of the Office of the As-
sociate Chief Counsel (Income Tax & Ac-
counting). For further information regard-
ing this notice, contact Ms. Rotunno at
(202) 622–7900 (not a toll-free number).
26 CFR 601.602: Tax forms and instructions.
(Also, Part I, §§ 1, 23, 24, 25A, 32, 42, 59, 62, 63, 68, 132, 135, 137, 146, 151, 170, 179, 213, 220, 221, 512, 513, 685, 877, 2032A, 2503, 2523, 4261, 6033, 6039F,
6323, 6334, 6601, 7430, 7702B)
Rev. Proc. 2003–85
TABLE OF CONTENTS
SECTION 1. PURPOSE
SECTION 2. CHANGES
SECTION 3. 2004 ADJUSTED ITEMS
C
odeSection
.01TaxRateTables.......................................................................... 1(a)-(e)
.02 Unearned Income of Minor Children Taxed as
ifParent’sIncome(“KiddieTax”) ................
1(g)
.03AdoptionCredit.......................................................................... 23
.04ChildTaxCredit ......................................................................... 24
.05HopeandLifetimeLearningCredits........................................................ 25A
.06EarnedIncomeCredit..................................................................... 32
.07Low-IncomeHousingCredit............................................................... 42(h)
.08 Alternative Minimum Tax Exemption for a Child
Subjecttothe“KiddieTax” ...................
59(j)
.09 Transportation Mainline Pipeline Construction Industry Optional Expense Substantiation Rules for
PaymentstoEmployeesunderAccountablePlans ............................................... 62(c)
.10StandardDeduction ...................................................................... 63
.11OverallLimitationonItemizedDeductions.................................................. 68
.12QualifiedTransportationFringe............................................................ 132(f)
.13 Income from United States Savings Bonds for Taxpayers Who Pay Qualified Higher Education
Expenses................................................................................... 135
.14AdoptionAssistancePrograms............................................................. 137
.15PrivateActivityBondsVolumeCap ........................................................ 146(d)
December 8, 200311842003-49 I.R.B.

.16PersonalExemption...................................................................... 151
.17ElectiontoExpenseCertainDepreciableAssets.............................................. 179
.18EligibleLong-TermCarePremiums........................................................ 213(d)(10)
.19MedicalSavingsAccounts ................................................................ 220
.20InterestonEducationLoans............................................................... 221
.21TreatmentofDuesPaidtoAgriculturalorHorticulturalOrganizations.......................... 512(d)
.22 Insubstantial Benefit Limitations for Contributions Associated with Charitable Fund-Raising
Campaigns ................................................................................. 513(h)
.23FuneralTrusts ........................................................................... 685
.24ExpatriationtoAvoidTax................................................................. 877
.25 Valuation of Qualified Real Property in Decedent’s Gross Estate............................... 2032A
.26AnnualExclusionforGifts................................................................ 2503&2523
.27PassengerAirTransportationExciseTax.................................................... 4261
.28 Reporting Exception for Certain Exempt Organizations with Nondeductible Lobbying Expenditures
............................................................................................ 6033(e)(3)
.29 Notice of Large Gifts Received from Foreign Persons......................................... 6039F
.30PersonsAgainstWhichaFederalTaxLienIsNotValid....................................... 6323
.31PropertyExemptfromLevy............................................................... 6334
.32InterestonaCertainPortionoftheEstateTaxPayableinInstallments.......................... 6601(j)
.33AttorneyFeeAwards ..................................................................... 7430
.34 Periodic Payments Received under Qualified Long-Term Care Insurance Contracts or under Certain
LifeInsuranceContracts ..................................................................... 7702B(d)
SECTION 4. EFFECTIVE DATE
SECTION 5. DRAFTING INFORMATION
SECTION 1. PURPOSE
This revenue procedure sets forth infla-
tion adjusted items for 2004.
SECTION 2. CHANGES
.01 The initial bracket amounts for the
10% tax rate for married individuals filing
joint returns and surviving spouses under
§ 1(a) of the Internal Revenue Code, and
headsofhouseholdsunder § 1(b) are ad-
justed for inflation under § 1(i)(1)(C)(ii).
Under § 1(i)(1)(B)(iii) the initial bracket
amounts for § 1(c) (unmarried individuals
(other than surviving spouses and heads of
households)) and § 1(d) (married individ-
uals filing separate returns) are equal to
1
/2
the initial bracket amount of § 1(a) (mar-
ried individuals filing joint returns and sur-
viving spouses) after adjustment for infla-
tion.
.02 The amounts deemed substantiated
when paid by eligible employers in the
transportation mainline pipeline construc-
tion industry under an accountable plan to
employees in accordance with Rev. Proc.
2002–41, 2002–1 C.B. 1098, are adjusted
for inflation. (Section 3.09).
.03 The dollar amount in § 179(b)(1)
used to determine the dollar limitation
of the aggregate cost that may be taken
into account under § 179(a) and the dollar
amount in § 179(b)(2) used to calculate
a reduction in the dollar limitation are
adjusted for inflation. (Section 3.17).
.04 The generation-skipping transfer
tax exemption under § 2631, which is al-
lowed in determining the “inclusion ratio”
defined in § 2642, is no longer adjusted
for inflation and has been deleted.
SECTION3.2004ADJUSTEDITEMS
.01TaxRateTables. For taxable years
beginning in 2004, the tax rate tables under
§1areasfollows:
TABLE 1 — Section 1(a). — Married Individuals Filing Joint Returns and Surviving Spouses
If Taxable Income Is:The Tax Is:
Not Over $14,300
10% of the taxable income
Over $14,300 but not over $58,100$1,430 plus 15% of excess over $14,300
2003-49 I.R.B.1185December 8, 2003

TABLE 1 — Section 1(a). — Married Individuals Filing Joint Returns and Surviving Spouses
If Taxable Income Is:The Tax Is:
Over $58,100 but not over $117,250$8,000 plus 25% of excess over $58,100
Over $117,250 but not over $178,650$22,787.50 plus 28% of excess over $117,250
Over $178,650 but not over $319,100$39,979.50 plus 33% of excess over $178,650
Over $319,100$86,328 plus 35% of excess over $319,100
TABLE 2 — Section 1(b). — Heads of Households
If Taxable Income Is:The Tax Is:
Not Over $10,200
10% of the taxable income
Over $10,200 but not over $38,900$1,020 plus 15% of excess over $10,200
Over $38,900 but not over $100,500$5,325 plus 25% of the excess over $38,900
Over $100,500 but not over $162
,700
$20,725 plus 28% of the excess o
ver $100,500
Over $162,700 but not over $319,100$38,141 plus 33% of the excess over $162,700
Over $319,100$89,753 plus 35% of the excess over $319,100
TABLE 3 — Section 1(c). — Unmarried Individuals (other than Surviving Spouse and Heads of Households)
If Taxable Income Is:The Tax Is:
Not over $7,150
10% of the taxable income
Over $7,150 but not over $29,050$715 plus 15% of the excess over $7,150
Over $29,050 but not over $70,350$4,000 plus 25% of the excess over $29,050
Over $70,350 but not over $146,750$14,325 plus 28% of the excess over $70,350
Over $146,750 but not over $319,100$35,717 plus 33% of the excess over $146,750
Over $319,100$92,592.50 plus 35% of the excess over $319,100
TABLE 4 — Section 1(d). — Married Individuals Filing Separate Returns
If Taxable Income Is:The Tax Is:
Not Over $7,150
10% of the taxable income
Over $7,150 but not over $29,050$715 plus 15% of the excess over $7,150
Over $29,050 but not over $58,625$4,000 plus 25% of the excess over $29,050
Over $58,625 but not over $89,325$11,393.75 plus 28% of the excess over $58,625
Over $89,325 but not over $159,550$19,989.75 plus 33% of the excess over $89,325
Over $159,550$43,164 plus 35% of the excess over $159,550
December 8, 200311862003-49 I.R.B.

TABLE 5 — Section 1(e). — Estates and Trusts
If Taxable Income Is:The Tax Is:
Not Over $1,950
15% of the taxable income
Over $1,950 but not over $4,600$292.50 plus 25% of the excess over $1,950
Over $4,600 but not over $7,000$955 plus 28% of the excess over $4,600
Over $7,000 but not over $9,550$1,627 plus 33% of the excess over $7,000
Over $9,550$2,468.50 plus 35% of the excess over $9,550
.02Unearned Income of Min
or
Children Taxed as if Pa
rent’s Income
(the “Kiddie Tax”).F
or taxable years
beginning in 2004, t
he amount in
§ 1(g)(4)(A)(ii)(
I), which is used to reduce
the net unearned i
ncome reported on the
child’s return th
at is subject to the “kiddie
tax,” is $800. (T
his amount is the same
as the $800 sta
ndard deduction amount
provided in s
ection 3.10(2) of this revenue
procedure.
) The same $800 amount is
used for pu
rposes of § 1(g)(7) (that is, in
determin
ing whether a parent may elect
to includ
e a child’s gross income in the
parent
’s gross income and for calculating
the “k
iddie tax”). For example, one of the
requi
rements for the parental election is
that
a child’s gross income is more than the
amo
unt referenced in § 1(g)(4)(A)(ii)(I)
but
less than 10 times such amount; thus,
ac
hild’s gross income for 2004 must be
m
ore than $800 but less than $8,000 to
satisfy that requirement.
.
03Adoption Credit. For taxable years
beginning in 2004, under § 23(a)(3) the
maximum credit allowed for an adoption
of a child with special needs is $10,390.
For taxable years beginni
ng in 2004, under
§ 23(b)(1) the maximum
credit allowed
with regard to other a
doptions is the
amount of qualified
adoption expenses up
to $10,390. The ava
ilable adoption credit
begins to phase ou
t under § 23(b)(2)(A)
for taxpayers wit
h modified adjusted
gross income in e
xcess of $155,860 and
is completely
phased out for taxpayers
with modifie
d adjusted gross income of
$195,860. (
Seesection3.14forthead-
justed ite
ms relating to adoption assistance
programs
.)
.04Child T
ax Credit. For taxable
years beg
inning in 2004, the value used
in § 24(d
)(1)(B)(i) in determining the
amount
of credit under § 24 that may be
refun
dable is $10,750.
.05Hop
e and Lifetime Learning Cred-
its.
(1) For
taxable years beginning in 2004,
100 pe
rcent of qualified tuition and re-
late
d expenses not in excess of $1,000 and
50 pe
rcent of such expenses in excess of
$1,
000 are taken into account in determin-
in
g the amount of the Hope Scholarship
Cr
edit under § 25A(b)(1).
(2) For taxable years begi
nning in
2004, a taxpayer’s mod
ified adjusted
gross income in exces
s of $42,000
($85,000 for a joint
return) is taken
into account in det
ermining the reduction
under § 25A(d)(2)
(A)(ii) in the amount of
the Hope Scholars
hip and Lifetime Learn-
ing Credits othe
rwise allowable under
§25A(a).
.06Earned Inc
ome Credit.
(1)In general.
For taxable years be-
ginning in 200
4, the following amounts
are used to det
ermine the earned income
credit under
§ 32(b). The “earned in-
come amoun
t” is the amount of earned
income at
or above which the maximum
amount of
the earned income credit is al-
lowed. T
he “threshold phaseout amount”
is the a
mount of adjusted gross income
(or, i
f greater, earned income) above which
the ma
ximum amount of the credit begins
to ph
ase out. The “completed phaseout
amo
unt” is the amount of adjusted gross
in
come (or if greater, earned income) at or
ab
ove which no credit is allowed.
Number of Qualifying Children
ItemOneTwo or MoreNone
Earn
ed Income Amount
$7,
660
$10
,750
$5,
100
Maximum Amount of Credit
$ 2,604$ 4,300$ 390
Threshold Phaseout Amount
$14,040$14,040$ 6,390
Comp
leted Phaseout Amount
$30
,338
$34
,458
$11
,490
Threshold Phaseout Amount (Married Filing
Jointly)
$15,040$15,040$ 7,390
Completed Phaseout Amount (Married Filing
Jointly)
$31,338$35,458$12,490
The instructions for the Form 1040 series
provide tables showing the amount of the
earned income credit for each type of tax-
payer.
(2)Excessive investment income.For
taxable years beginning in 2004, the
earned income tax credit is denied under
2003-49 I.R.B.1187December 8, 2003

§ 32(i) if the aggregate amount of certain
investment income exceeds $2,650.
.07Low-Income Housing Credit.For
calendar years beginning in 2004, the
amounts used under § 42(h)(3)(C)(ii) to
calculate the State housing credit ceiling
for the low-income housing credit is the
greater of $1.80 multiplied by the State
population or $2,075,000.
.08Alternative Minimum Tax Exemp-
tion for a Child Subject to the “Kiddie
Tax.”For taxable years beginning in 2004,
for a child to whom the § 1(g) “kiddie tax”
applies, the exemption amount under §§ 55
and 59(j) for purposes of the alternative
minimum tax under § 55 may not exceed
the sum of (A) such child’s earned income
for the taxable year, plus (B) $5,750.
.09Transportation Mainline Pipeline
Construction Industry Optional Expense
Substantiation Rules for Payments to Em-
ployees under Accountable Plans. For cal-
endar years beginning in 2004, an eligi-
ble employer may pay certain welders and
heavy equipment mechanics an amount of
up to $13 per hour for rig-related expenses
that is deemed substantiated under an ac-
countable plan when paid in accordance
with Rev. Proc. 2002–41. If the employer
provides fuel or otherwise reimburses fuel
expenses, up to $8 per hour is deemed
substantiatedwhenpaidunderRev. Proc.
2002–41.
.10Standard Deduction.
(1)In general. For taxable years be-
ginning in 2004, the standard deduction
amounts under § 63(c)(2) are as follows:
Filing StatusStandard Deduction
Married Individuals Filing Joint Returns and Surviving Spouses (§ 1(a))
$9,700
HeadsofHouseholds(§1(b))
$7,150
Unmarried Individuals (other than Surviving Spouses and He
ads of
Households) (§ 1(c))
$4,850
Married Individuals Filing Separate Returns (§ 1(d))
$4,850
(2)Dependent. For taxable years be-
ginning in 2004, the standard deduction
amount under § 63(c)(5) for an individual
who may be claimed as a dependent by an-
other taxpayer may not exceed the greater
of $800 or the sum of $250 and the indi-
vidual’s earned income.
(3)Aged and blind. For taxable years
beginning in 2004, the additional standard
deduction amounts under § 63(f) for the
aged and for the blind are $950 for each.
These amounts are increased to $1,200 if
the individual is also unmarried and not a
surviving spouse.
.11Overall Limitation on Itemized De-
ductions. For taxable years beginning in
2004, the “applicable amount” of adjusted
gross income under § 68(b), above which
the amount of otherwise allowable item-
ized deductions is reduced under § 68, is
$142,700 (or $71,350 for a separate return
filedbyamarriedindividual).
.12Qualified Transportation Fringe.
For taxable years beginning in 2004, the
monthly limitation under § 132(f)(2)(A),
regarding the aggregate fringe benefit
exclusion amount for transportation in a
commuter highway vehicle and any transit
pass, is $100. The monthly limitation
under § 132(f)(2)(B) regarding the fringe
benefit exclusion amount for qualified
parking is $195.
.13Income from United States Savings
Bonds for Taxpayers Who Pay Qualified
Higher Education Expenses. For taxable
years beginning in 2004, the exclusion un-
der § 135, regarding income from United
States savings bonds for taxpayers who
pay qualified higher education expenses,
begins to phase out for modified adjusted
gross income above $89,750 for joint re-
turns and $59,850 for other returns. This
exclusion completely phases out for modi-
fied adjusted gross income of $119,750 or
more for joint returns and $74,850 or more
for other returns.
.14Adoption Assistance Programs.For
taxable years beginning in 2004, under
§ 137(a)(2) the maximum amount that can
be excluded from an employee’s gross
income in connection with the adoption
by the employee of a child with special
needs is $10,390. For taxable years be-
ginning in 2004, under § 137(b)(1) the
maximum amount that can be excluded
from an employee’s gross income for
the amounts paid or expenses incurred
by the employer for qualified adoption
expenses furnished pursuant to an adop-
tion assistance program in connection
with other adoptions by the employee is
$10,390. The amount excludable from an
employee’s gross income begins to phase
out under § 137(b)(2)(A) for taxpayers
with modified adjusted gross income in
excess of $155,860 and is completely
phased out for taxpayers with modified
adjusted gross income of $195,860. (See
section 3.03 for the adjusted items relating
to the adoption credit.)
.15Private Activity Bonds Volume Cap.
For calendar years beginning in 2004, the
amounts used under § 146(d)(1) to calcu-
late the State ceiling for the volume cap
for private activity bonds is the greater of
$80 multiplied by the State population or
$233,795,000.
.16Personal Exemption.
(1)Exemption amount. For taxable
years beginning in 2004, the personal ex-
emption amount under § 151(d) is $3,100.
(2)Phase out. For taxable years be-
ginning in 2004, the personal exemption
amount begins to phase out at, and is com-
pletely phased out after, the following ad-
justed gross income amounts:
December 8, 200311882003-49 I.R.B.

Filing Status
AGI – Beginning
of Phaseout
AGI – Exemption
Fully Phased Out
Married Individuals Filing Joint Returns and Surviving Spouse (§ 1(a))
$214,050$336,550
HeadsofHouseholds(§1(b))
$178,350$300,850
Unmarried Individuals (other than Surviving Spouses and Heads of
Households) (§ 1(c))
$142,700$265,200
Married Individuals Filing Separate Returns (§ 1(d))
$107,025$168,275
.17Election to Expense Certain Depre-
ciable Assets. For taxable years beginning
in 2004, under § 179(b)(1), the aggregate
cost of any § 179 property a taxpayer may
elect to treat as an expense shall not ex-
ceed $102,000. Under § 179(b)(2), the
$102,000 limitation shall be reduced (but
not below zero) by the amount by which
the cost of § 179 property placed in ser-
vice during the 2004 taxable year exceeds
$410,000.
.18Eligible Long-Term Care Premi-
ums. For taxable years beginning in 2004,
the limitations under § 213(d)(10), re-
garding eligible long-term care premiums
includible in the term “medical care,” are
as follows:
Attained age before the close of the taxable yearLimitation on premiums
40 or less
$260
More than 40 but not more than 50
$490
More than 50 but not more than 60
$980
More than 60 but not more than 70
$2,600
More than 70
$3,250
.19Medical Savings Accounts.
(1)Self-only coverage. For taxable
years beginning in 2004, the term “high
deductible health plan” as defined in
§ 220(c)(2)(A) means, for self-only cov-
erage, a health plan that has an annual
deductible that is not less than $1,700 and
not more than $2,600, and under which the
annual out-of-pocket expenses required
to be paid (other than for premiums) for
covered benefits does not exceed $3,450.
(2)Family coverage. For taxable years
beginning in 2004, the term “high de-
ductible health plan” means, for family
coverage, a health plan that has an annual
deductible that is not less than $3,450 and
not more than $5,150, and under which the
annual out-of-pocket expenses required
to be paid (other than for premiums) for
covered benefits does not exceed $6,300.
.20Interest on Education Loans.For
taxable years beginning in 2004, the
$2,500 maximum deduction for interest
paid on qualified education loans under
§ 221 is reduced under § 221(b)(2)(B)
when modified adjusted gross income
exceeds $50,000 ($100,000 for joint re-
turns), and is completely eliminated when
modified adjusted gross income is $65,000
($130,000 for joint returns).
.21Treatment of Dues Paid to Agricul-
tural or Horticultural Organizations.For
taxable years beginning in 2004, the limi-
tation under § 512(d)(1), regarding the ex-
emption of annual dues required to be paid
by a member to an agricultural or horticul-
tural organization, is $124.
.22Insubstantial Benefit Limitations for
Contributions Associated with Charitable
Fund-Raising Campaigns.
(1)Low cost article. For taxable years
beginning in 2004, the unrelated business
income of certain exempt organizations
under § 513(h)(2) does not include a “low
cost article” of $8.20 or less.
(2)Other insubstantial benefits.For
taxable years beginning in 2004, the $5,
$25, and $50 guidelines in section 3 of
Rev. Proc. 90–12, 1990–1 C.B. 471 (as
amplified and modified), for disregarding
the value of insubstantial benefits received
by a donor in return for a fully deductible
charitable contribution under § 170, are
$8.20, $41, and $82, respectively.
.23Funeral Trusts. For a contract en-
tered into during calendar year 2004 for
a “qualified funeral trust,” as defined in
§ 685, the trust may not accept aggregate
contributions by or for the benefit of an in-
dividual in excess of $8,000.
.24Expatriation to Avoid Tax. For cal-
endar year 2004, the amounts used under
§ 877(a)(2), regarding whether an individ-
ual’s loss of United States citizenship had
the avoidance of United States taxes as one
of its principal purposes, are more than
$124,000 for “average annual net income
tax” and $622,000 or more for “net worth.”
.25Valuation of Qualified Real Prop-
erty in Decedent’s Gross Estate.Foran
estate of a decedent dying in calendar year
2004, if the executor elects to use the spe-
cial use valuation method under § 2032A
for qualified real property, the aggregate
decrease in the value of qualified real prop-
erty resulting from electing to use § 2032A
that is taken into account for purposes of
the estate tax may not exceed $850,000.
.26Annual Exclusion for Gifts.
(1) For calendar year 2004, the first
$11,000 of gifts to any person (other than
gifts of future interests in property) are
not included in the total amount of taxable
gifts under § 2503 made during that year.
(2) For calendar year 2004, the first
$114,000 of gifts to a spouse who is not
2003-49 I.R.B.1189December 8, 2003

a citizen of the United States (other than
gifts of future interests in property) are
not included in the total amount of taxable
gifts under §§ 2503 and 2523(i)(2) made
during that year.
.27Passenger Air Transportation Ex-
cise Tax. For calendar year 2004, the tax
under § 4261(b) on the amount paid for
each domestic segment of taxable trans-
portation by air is $3.10. For calendar
year 2004, the tax under § 4261(c) on any
amount paid (whether within or without
the United States) for any transportation
of any person by air, if such transportation
begins or ends in the United States, gen-
erally is $13.70. However, for a domes-
tic segment beginning or ending in Alaska
or Hawaii as described in § 4261(c)(3), the
tax only applies to departures and is at the
rate of $6.90.
.28Reporting Exception for Certain
Exempt Organizations with Nondeductible
Lobbying Expenditures. For taxable years
beginning in 2004, the annual per per-
son, family, or entity dues limitation to
qualify for the reporting exception under
§ 6033(e)(3) (and section 5.05 of Rev.
Proc. 98–19, 1998–1 C.B. 547), regarding
certain exempt organizations with nonde-
ductible lobbying expenditures, is $86 or
less.
.29Notice of Large Gifts Received from
Foreign Persons. For taxable years begin-
ning in 2004, recipients of gifts from cer-
tain foreign persons may be required to re-
port these gifts under § 6039F if the ag-
gregate value of gifts received in a taxable
year exceeds $12,097.
.30Persons Against Which a Federal
Tax Lien Is Not Valid. For calendar year
2004, a federal tax lien is not valid against
(1) certain purchasers under § 6323(b)(4)
who purchased personal property in a
casual sale for less than $1,180, or (2) a
mechanic’s lienor under § 6323(b)(7) that
repaired or improved certain residential
property if the contract price with the
owner is not more than $5,890.
.31Property Exempt from Levy.For
calendar year 2004, the value of property
exempt from levy under § 6334(a)(2) (fuel,
provisions, furniture, and other household
personal effects, as well as arms for per-
sonal use, livestock, and poultry) may not
exceed $7,040. The value of property ex-
empt from levy under § 6334(a)(3) (books
and tools necessary for the trade, business,
or profession of the taxpayer) may not ex-
ceed $3,520.
.32InterestonaCertainPortionofthe
Estate Tax Payable in Installments.Foran
estate of a decedent dying in calendar year
2004, the dollar amount used to determine
the “2-percent portion” (for purposes of
calculating interest under § 6601(j)) of the
estate tax extended as provided in § 6166
is $1,140,000.
.33Attorney Fee Awards. For fees
incurred in calendar year 2004, the
attorney fee award limitation under
§ 7430(c)(1)(B)(iii) is $150 per hour.
.34Periodic Payments Received un-
der Qualified Long-Term Care Insurance
Contracts or under Certain Life Insur-
ance Contracts. For calendar year 2004,
the stated dollar amount of theper diem
limitation under § 7702B(d)(4), regarding
periodic payments received under a qual-
ified long-term care insurance contract or
periodic payments received under a life
insurance contract that are treated as paid
by reason of the death of a chronically ill
individual, is $230.
SECTION 4. EFFECTIVE DATE
.01General Rule. Except as provided
in section 4.02, this revenue procedure ap-
plies to taxable years beginning in 2004.
.02Calendar Year Rule.Thisrevenue
procedure applies to transactions or events
occurring in calendar year 2004 for pur-
poses of sections 3.07 (low-income hous-
ing credit), 3.09 (pipeline construction
industry optional expense substantiation
rules), 3.15 (private activity bond volume
cap), 3.23 (funeral trusts), 3.24 (expa-
triation to avoid tax), 3.25 (valuation of
qualified real property in decedent’s gross
estate), 3.26 (annual exclusion for gifts),
3.27 (passenger air transportation excise
tax), 3.30 (persons against which a fed-
eral tax lien is not valid), 3.31 (property
exempt from levy), 3.32 (interest on a
certain portion of the estate tax payable in
installments), 3.33 (attorney fee awards
),
and 3.34 (periodic payments received
under qualified long-term care insur
ance
contracts or under certain life insu
rance
contracts).
SECTION 5. DRAFTING
INFORMATION
The principal author of this revenue
procedure is Marnette M. Myers of the Of-
fice of Associate Chief Counsel (Income
Tax & Accounting). For further infor-
mation regarding this revenue procedure,
contact Ms. Myers at (202) 622–4920 (not
a toll-free call).
December 8, 200311902003-49 I.R.B.

Part IV. Items of General Interest
Notice of Proposed Rulemaking
by Cross-Reference to Temporary
Regulations and Notice of Public
Hearing
Transfers to Provide for
Satisfaction of Contested
Liabilities
REG–136890–02
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Notice of proposed rulemaking
by cross-reference to temporary regula-
tions and notice of public hearing.
SUMMARY: In this issue of the Bulletin,
the IRS is issuing temporary regulations
(T.D. 9095) relating to the transfer of in-
debtedness or stock of a taxpayer or related
persons or of a promise to provide services
or property in the future to provide for the
satisfaction of an asserted liability that the
taxpayer is contesting. The temporary reg-
ulations also relate to transfers of money
or other property to a trust, an escrow ac-
count, or a court to provide for the satisfac-
tion of a liability for which payment is eco-
nomic performance. The text of those tem-
porary regulations also serves as the text
of these proposed regulations. This docu-
ment also provides notice of a public hear-
ing on these proposed regulations.
DATES: Written or electronic comments
must be received by February 19, 2004.
Requests to speak and outlines of topics to
be discussed at the public hearing sched-
uled for March 23, 2004, must be received
by March 2, 2004.
ADDRESSES: Send submissions to:
CC:LPD:PR (REG–136890–02), room
5226, Internal Revenue Service, POB
7604, Ben Franklin Station, Washing-
ton, DC. 20044. Submissions may be
hand delivered Monday through Fri-
day between the hours of 8 a.m. and 4
p.m. to: CC:LPD:PR (REG–136890–02),
Courier’s Desk, Internal Revenue Service,
1111 Constitution Avenue, NW, Wash-
ington, DC, or sent electronically via the
IRS Internet site atwww.irs.gov/regs.The
public hearing will be held in the 7th floor
auditorium, Internal Revenue Building,
1111 Constitution Avenue, NW, Washing-
ton, DC.
FOR FURTHER INFORMATION
CONTACT: Concerning the hearing,
submission of comments, and/or to be
placed on the building access list to at-
tend the hearing, Guy Traynor, (202)
622–7180; concerning the proposed regu-
lations, Norma Rotunno, (202) 622–7900
(not toll-free numbers).
SUPPLEMENTARY INFORMATION:
Background and Explanation of
Provisions
Temporary regulations in this issue
of the Bulletin amend the Income Tax
Regulations (26 CFR Part 1) relating to
section 461(f) of the Internal Revenue
Code (Code). The temporary regulations
provide the express rule that transfers of
theindebtednessofataxpayerorofany
promise to provide services or property
in the future, or transfers (other than to
the person asserting the liability) of a
taxpayer’s stock, or the indebtedness or
stock of a person related to the taxpayer
(as defined in section 267(b)), are not
transfers to provide for the satisfaction
of an asserted liability. The temporary
regulations also provide rules relating to
the application of the economic perfor-
mance rules to transfers of money or other
property under section 461(f) to provide
for the satisfaction of a contested workers
compensation or tort liability, or other
liability for which payment is economic
performance under §1.461–4(g). The text
of the temporary regulations also serves
as the text of these proposed regulations.
The preamble to the temporary regulations
explains the amendments.
Special Analyses
It has been determined that this notice
of proposed rulemaking is not a significant
regulatory action as defined in Executive
Order 12866. Therefore, a regulatory as-
sessment is not required. It also has been
determined that section 553(b) of the Ad-
ministrative Procedure Act (5 U.S.C. chap-
ter 5) does not apply to these regulations,
and because the regulation does not im-
pose a collection of information on small
entities, the Regulatory Flexibility Act (5
U.S.C. chapter 6) does not apply. Pursuant
to section 7805(f) of the Code, this notice
of proposed rulemaking will be submitted
to the Chief Counsel for Advocacy of the
Small Business Administration for com-
ment on its impact on small business.
Comments and Public Hearing
Before these proposed regulations are
adopted as final regulations, consideration
will be given to any written comments
(a signed original and eight (8) copies)
or electronic comments that are submitted
timely to the IRS. The IRS and Treasury
Department request comments on the clar-
ity of the proposed rules and how they can
be made easier to understand. All com-
ments will be available for public inspec-
tion and copying.
A public hearing has been scheduled
for March 23, 2004, in the 7th floor audi-
torium of the Internal Revenue Building,
1111 Constitution Avenue, NW, Washing-
ton, DC. Due to building security proce-
dures, visitors must enter at the Consti-
tution Avenue entrance. In addition, all
visitors must present photo identification
to enter the building. Because of access
restrictions, visitors will not be admitted
beyond the immediate entrance area more
than 30 minutes before the hearing starts.
For information about having your name
placed on the building access list to attend
the hearing, see the “FOR FURTHER IN-
FORMATION CONTACT” section of this
preamble.
The rules of 26 CFR 601.601(a)(3) ap-
ply to the hearing. Persons who wish to
present oral comments at the hearing must
submit written comments and an outline of
the topics to be discussed and the time to be
devoted to each topic (signed original and
eight (8) copies) by March 2, 2004. A pe-
riod of 10 minutes will be allotted to each
person for making comments. An agenda
showing the scheduling of the speakers
will be prepared after the deadline for re-
ceiving outlines has passed. Copies of the
agendawillbeavailablefreeofchargeat
the hearing.
2003-49 I.R.B.1191December 8, 2003

Drafting Information
The principal author of these regula-
tions is Norma Rotunno, Office of the As-
sociate Chief Counsel (Income Tax & Ac-
counting). However, other personnel from
the IRS and Treasury Department partici-
pated in their development.
*****
Proposed Amendments to the
Regulations
Accordingly, 26 CFR part 1 is proposed
to be amended as follows:
PART 1— INCOME TAXES
Paragraph 1. The authority citation for
part 1 continues to read in part as follows:
Authority: 26 U.S.C. 7805 * * *
Par. 2. Section 1.461–2 is amended by
revising paragraphs (c)(1), (e)(2), (e)(3),
and (g) to read as follows:
§1.461–2 Contested liabilities.
[The text of proposed paragraphs (c)(1),
(e)(2), (e)(3), and (g) is the same as the
text of §1.461–2T(c)(1), (e)(2), (e)(3), and
(g) published elsewhere in this issue of the
Bulletin
Mark E. Matthews,
Deputy Commissioner for
Services and Enforcement.
(Filed by the Office of the Federal Register on November 19,
2003, 8:45 a.m., and published in the issue of the Federal
Register for November 21, 2003, 68 F.R. 65645)
Announcement of Disciplinary Actions Involving Attorneys,
Certified Public Accountants, Enrolled Agents, and Enrolled
Actuaries — Suspensions, Censures, Disbarments, and
Resignations
Announcement 2003-71
Under Title 31, Code of Federal Regu-
lations, Part 10, attorneys, certified public
accountants, enrolled agents, and enrolled
actuaries may not accept assistance from,
or assist, any person who is under disbar-
ment or suspension from practice before
the Internal Revenue Service if the assis-
tance relates to a matter constituting prac-
tice before the Internal Revenue Service
and may not knowingly aid or abet another
person to practice before the Internal Rev-
enue Service during a period of suspen-
sion, disbarment, or ineligibility of such
other person.
To enable attorneys, certified public
accountants, enrolled agents, and enrolled
actuaries to identify persons to whom
these restrictions apply, the Director, Of-
fice of Professional Responsibility will
announce in the Internal Revenue Bulletin
their names, their city and state, their pro-
fessional designation, the effective date
of disciplinary action, and the period of
suspension. This announcement will ap-
pear in the weekly Bulletin at the earliest
practicable date after such action and will
continue to appear in the weekly Bulletins
for five successive weeks.
Disbarments From Practice Before the Internal Revenue
Service After Notice and an Opportunity for a Proceeding
Under Title 31, Code of Federal Regu-
lations, Part 10, after notice and an oppor-
tunity for a proceeding before an adminis-
trative law judge, the following individuals
have been disbarred from practice before
the Internal Revenue Service:
NameAddressDesignationEffective Date
Loy, Michael F.Pittsburgh, KSCPAJuly 23, 2003
December 8, 200311922003-49 I.R.B.

Consent Suspensions From Practice Before the Internal
Revenue Service
Under Title 31, Code of Federal Regu-
lations, Part 10, an attorney, certified pub-
lic accountant, enrolled agent, or enrolled
actuary, in order to avoid institution or con-
clusion of a proceeding for his or her dis-
barment or suspension from practice be-
fore the Internal Revenue Service, may of-
fer his or her consent to suspension from
such practice. The Director, Office of Pro-
fessional Responsibility, in his discretion,
may suspend an attorney, certified public
accountant, enrolled agent or enrolled ac-
tuary in accordance with the consent of-
fered.
The following individuals have been
placed under consent suspension from
practice before the Internal Revenue Ser-
vice:
NameAddressDesignationDate of Suspension
Gillis, Robert F.Jacksonville,FLEnrolled AgentJuly 1, 2003
to
January 31, 2004
Ziedins, AivarsCastle Rock, COEnrolled AgentIndefinite
from
July 1, 2003
A. N. HebeshaVisalia, CAEnrolled AgentIndefinite
from
July 11, 2003
Stafford, Robert M.Allston, MACPAIndefinite
from
July 14, 2003
Carnahan, Larry K.Ashland, KYAttorneyIndefinite
from
July 18, 2003
McAlarney, Nancy A.Kissimmee,FLEnrolled AgentIndefinite
from
July 24, 2003
Rahman, ErnestMelville, NYEnrolled AgentIndefinite
from
July 31, 2003
Oleksy, Dennis L.Cary, ILEnrolled AgentIndefinite
from
August 12, 2003
Witti, Mary E.Boulder City, NVEnrolled AgentIndefinite
from
September 1, 2003
Lau, WillieHowell, NJEnrolled AgentIndefinite
from
September 1, 2003
Couch, Leslie L.Kihei, HIEnrolled AgentIndefinite
from
September 5, 2003
Khoudary, NicholasEast Brunswick, NJEnrolled AgentIndefinite
from
September 15, 2003
2003-49 I.R.B.1193December 8, 2003

NameAddressDesignationDate of Suspension
Solomon, DorothyLos Angeles, CAEnrolled AgentIndefinite
from
October 6, 2003
McMahon, AngelaToms River, NJEnrolled AgentIndefinite
from
October 20, 2003
Lee, Chun HyongLakewood, WACPAIndefinite
from
October 22, 2003
Expedited Suspensions From Practice Before the Internal
Revenue Service
Under Title 31, Code of Federal Regu-
lations, Part 10, the Director, Office of Pro-
fessional Responsibility, is authorized to
immediately suspend from practice before
the Internal Revenue Service any practi-
tioner who, within five years from the date
the expedited proceeding is instituted (1)
has had a license to practice as an attorney,
certified public accountant, or actuary sus-
pended or revoked for cause or (2) has been
convicted of certain crimes.
The following individuals have been
placed under suspension from practice
before the Internal Revenue Service by
virtue of the expedited proceeding provi-
sions:
NameAddressDesignationDate of Suspen
sion
Daniels, MarioFlint, MICPAIndefinite
from
September 4, 2003
Hertz, KevinMcAllen, TXCPAIndefinite
from
October 1, 2003
Roselli, AntonioTopsfield, MACPAIndefinite
from
October 17, 2003
Moran, Maxine C.San Clemente, CACPAIndefinite
from
October 17, 2003
Muscio, Richard J.Solana Beach, CACPAIndefinite
from
October 17, 2003
Yates, James L.LaPlata, MDCPAIndefinite
from
October 21, 2003
December 8, 200311942003-49 I.R.B.

Censure Issued by Consent
Under Title 31, Code of Federal Reg-
ulations, Part 10, in lieu of a proceeding
being instituted or continued, an attorney,
certified public accountant, enrolled agent,
or enrolled actuary, may offer his or her
consent to the issuance of a censure. Cen-
sure is a public reprimand.
The following individuals have con-
sented to the issuance of a Censure:
NameAddressDesignationDate of Censure
Haynes, Gwenivar L.Ellenwood, GAEnrolled AgentAugust 1, 2003
Ritchie, DonaldMilton, MAEnrolled AgentSeptember 3, 2003
Bagley, HaywoodVista, CAEnrolled AgentSeptember 4, 2003
Book, Robert L.Plymouth, MNEnrolled AgentSeptember 15, 2003
Pub. 1179 (Rev. Proc.
2003–28),General Rules and
Specifications For Substitute
Forms 1096, 1098, 1099, 5498,
W–2G and 1042–S;Updated
Announcement 2003–75
In response to Notice 2003–67,
2003–40 I.R.B. 752, the IRS announces
that Publication 1179 (Rev.Proc.
2003–28),General Rules and Specifi-
cations for Substitute Forms 1096, 1098,
1099, 5498, W–2G, and 1042–S,is re-
vised.
The changes made by the Jobs and
Growth Tax Relief Reconciliation Act
of 2003 ( JGTRRA), P. L. 108–27, for
the tax treatment of individuals receiving
substitute payments in lieu of dividends
required that IRS revise the instructions
for the 2003 Form 1099–MISC,Miscel-
laneous Income.The revised instructions
require that substitute payments in lieu
of dividends paid to individuals now be
reported in Box 8 of Form 1099–MISC,
and not on Form 1099–DIV,Dividends
and Distributions.
The brokerage community has re-
quested that the composite substitute
statement procedures, outlined in Pub.
1179, be revised to allow composite
substitute statements to be furnished for
Form 1099–DIV and Form 1099–MISC
reporting substitute payments in lieu of
dividends. The IRS has decided to allow
these composite statements beginning
with statements required to be furnished
for 2003. As a result, the following bullet
should be added to the bulleted list in Sec-
tion 4.2.2 of Pub. 1179 underExceptions:
•Substitute payments in lieu of div-
idends reported in Box 8 of Form
1099–MISC may be reported on a
composite substitute statement with
Form 1099–DIV.
This change will be reflected in the next
version of Pub. 1179. In addition, the next
version of Pub. 1179 may allow additional
forms to be furnished on substitute com-
posite statements.
The rules and specifications for prepar-
ing the other forms discussed in Publica-
tion 1179 remain the same. If you are un-
certain of any specification and need clar-
ification, please submit a letter citing the
specification, state your understanding and
interpretation of the specification, and en-
close an example of the form (if appropri-
ate) to:
Internal Revenue Service
Attn: Substitute Forms Program
SE:W:CAR:MP:T:T:SP
1111 Constitution Ave., NW
Room 6411
Washington, DC 20224
Note:Allow at least 45 days for the IRS
to respond.
You may also contact the Substi-
tute Forms Program Unit via email at
*taxforms@irs.gov.Enter “Substitute
Forms” on the subject line.
Foundations Status of Certain
Organizations
Announcement 2003–77
The following organizations have failed
to establish or have been unable to main-
tain their status as public charities or as
op-
erating foundations. Accordingly, gran
tors
and contributors may not, after this dat
e,
rely on previous rulings or designa
tions
in the Cumulative List of Organizat
ions
(Publication 78), or on the presum
ption
arising from the filing of notice
s under sec-
tion 508(b) of the Code. This list
ing does
notindicate that the organizat
ions have lost
their status as organizatio
ns described in
section 501(c)(3), eligib
le to receive de-
ductible contributions.
Former Public Charities.T
he follow-
ing organizations (which h
ave been treated
as organizations that are
not private foun-
dations described in sec
tion 509(a) of the
Code) are now classifi
ed as private foun-
dations:
100 Strong Men of Compt
on,
Compton, CA
210 Masonic Foundatio
n, Lincoln, NE
A & P Counseling Servi
ces, Inc.,
Beltsville, MD
A Childs Zone, Inc., C
harlotte, NC
Able Abilities Enter
prises, Malvern, AR
Acts of Love, Inc., For
t Wayne, IN
Africa Solidarity Coun
cil,
Washington, DC
African Heritage Pla
yhouse Theatre,
Buffalo, NY
Airport Neighbors Un
ited, Inc.,
Modesto, CA
Akido America, Incor
porated,
Santa Cruz, CA
2003-49 I.R.B.1195December 8, 2003

All Saints Academy, Hickory, NC
Allegro Orchestral Association,
Minnetonka, MN
Aloha Noblehouse, Inc., Wahiawa, HI
Alton United Soccer Club, Godfrey, IL
American Grassroots Unlimited, Inc.,
Cullowhee, NC
American Samoa Humane Society, Inc.,
Pago Pago, AS
Ankylosing Spondylitis Research
International, Portland, OR
Ann Goulden Orphanage Benefit
Corporation, Red Oak, TX
Anne Arundel Council of Community
Services, Annapolis, MD
Arabic American National Hall of Fame,
Detroit, MI
Arc of Oklahoma, Inc.,
Oklahoma City, OK
Arkansas City Rotary Charitable Fund,
Inc., Arkansas City, KS
Arts in Paterson, Inc., Woodstock, NY
Aspire Group, Inc., Jacksonville, FL
Bales Intermediate PTO, Friendship, TX
Barrington Youth Baseball, Inc.,
Fox River Grove, IL
Bath Community Center, Inc., Bath, NC
Bedford Central Community Development
Corporation, Inc., Brooklyn, NY
Bell Social Services Enterprises, Inc.,
Pomona, CA
Belleville After School Program,
Belleville, KS
Bill Emerson Memorial Foundation,
Washington, DC
Birch Run — Taymouth Educational
Foundation, Birch Run, MI
BIRPS, Inc., Oklahoma City, OK
BIRSCO International Ins. Small
Business University, Charlotte, NC
Bradley Physical Therapy and
Rehabilitation, Boca Raton, FL
Bread of Life Outreach Ministries,
Chicago, IL
Breakthrough-Education for Economic
Action, Saint Louis, MO
Breast Cancer Action, Inc., Lawrence, KS
Broome Recipient Affairs Office, Inc.,
Binghamton, NY
Bullhead City Rotary Foundation, Inc.,
Bullhead City, AZ
Cal-State Community Services, Inc.,
Altadena, CA
Cannon Walters Foundation,
West Valley City, UT
Career Bridge Family Day Care Network,
New York, NY
Carver-Scott Educational Foundation,
Chaska, MN
Catalina Sea Bass Fund, Inc.,
Homestead, IL
Catoctin Foundation, Inc., Leesburg, VA
CAW,Inc.,Boise,ID
Center for Chesapeake Communities,
Ltd., Annapolis, MD
Center for Psychological Medicine, Inc.,
Santa Barbara, CA
Center for Sports Leadership,
Colorado Springs, CO
Centro De Bienestar Para La Gente,
Santa Maria, CA
Chama Valley Search and Rescue,
Chama, NM
Charleston Regional Economic
Development, Inc., Charleston, MO
Cheboygan Hoops Boosters, Inc.,
Cheboygan, MI
Chevra Chai Charitable Foundation of
California, Inc., Los Angeles, CA
Children and Adolescent Addiction
Services, Inc., Hagerstown, MD
Christian Family Heritage, Encino, CA
Christian Financial Network, Inc.,
Rock Hill, SC
Christian Golfers International, Inc.,
New Port Richey, FL
Christian Lon Foundation for MPS
Children, Germantown, MD
Christmas in April Franklin, Inc.,
Franklin, VA
Citizens Association for Police Support,
Charlotte, NC
City of Beeville Housing Authority
Non-Profit Corporation, Beeville, TX
Class of 1988 Scholarship Fund, Inc.,
Washington, DC
Clayton Recreation Sports and Wellness
Commission, Inc., Clayton, MO
Coalition for Responsible
Econlockhatchee Development,
Chuluota, FL
Coast to Coast Referral Center,
Monrovia, CA
Columbus/Franklin County News Bureau,
Columbus, OH
Comfort Place Caring & Sharing,
Grand Rapids, MI
Communities in Schools of Pensacola
Escambia County, Inc., Pensacola, FL
Community Housing Development
Corp. of Mooresville-South Iredell,
Mooresville, NC
Community Impact Resident Council
for Leadership and Education,
Ann Arbor, MI
Community of Parma Renewal
Corporation, Parma, MO
Cooperative Community Services,
Wichita, KS
Cooperative Housing, Inc., Dayton, OH
Crescent Community Services, Inc.,
Tustin, CA
Criminon Community Education Center
of Silicon Valley, San Jose, CA
Cued Speech and Language Association
of Utah, Park City, UT
Cullen Medical Foundation, Inc.,
Lauderhill, FL
Dads Making Christmas, Inc.,
Richmond, VA
Dakota Foundation, St. Paul, MN
Deep Horizon Corporation,
Friendswood, TX
Delaware Civil War Society, Inc.,
Newport, DE
Delta County Genealogical Society,
Escanaba, MI
Deltas Center for Addictions,
Des Moines, IA
District Five Christian Learning Center,
Duncan, SC
District of Safety Advisory Board, Inc.,
Keithburg, IL
Dominique Moceanu Foundation,
Spring, TX
Downtown Collinsville Office,
Collinsville, IL
DRIVE For Youth 2020,
Missouri City, TX
East Kingsford Playground Association,
Kingsford, MI
Eclectic Religious Service Association,
Spartanburg, SC
EDR, Inc., Chicago, IL
Emmet County Genealogical Society,
Petoskey, MI
Enviro 1st, Durham, NC
Ettrick Community Development &
Housing Corporation, Petersburg, VA
Evergreen Youth, San Diego, CA
Exeter Senior Center, Incorporated,
Exeter, CA
Faith Cancer Foundation, Dallas, TX
Fast Lane Track Club, Bluffton, SC
Fathers and Mothers Who Care, Inc.,
Long Beach, CA
Feline Society, Inc., Birmingham, AL
First Step Services, Inc., Kenosha, WI
Florida Safety Network, Inc., Naples, FL
Forth Worth Diamond Soccer Club,
Fort Worth, TX
Foundation 2000 for Children, Inc.,
Mableton, GA
December 8, 200311962003-49 I.R.B.

Franklin Lady Cougars Basketball Booster
Club, El Paso, TX
Freedom Fellowship Outreach Center,
Newport News, VA
Frenship Isd Athletic Booster Club,
Wolfforth, TX
Friends of Pep Academy, Detroit, MI
Friends of the Aldridge, McAlester, OK
Friends of the Flat River Community
Library, Greenville, MI
Friends of the Ice Show, Southfield, MI
Friends of Uvalde Memorial Hospital
Hospice Services, Bedford, NY
Garden City Figure Skating Club,
Livonia, MI
Gates County Partnership for Children,
Sunbury, NC
Georgia Affordable Housing Corporation,
Atlanta, GA
Geriatric Healthcare Association,
Pittsburgh, PA
GHS Owl Football Club, Garland, TX
Gilead II, Inc., Oshkosh, WI
Givemore Org., Pasadena, CA
Global Art in Action, Inc., Paia, HI
Global Taekwon-Do-Alaska, Inc.,
Fairbanks, AK
Goal Identification for True Success, Inc.
(GIFTS), Charleston, WV
Graduate and Professional Student
Assembly, Minneapolis, MN
Grand South Brand Growth Association,
St. Louis, MO
Gray Rock Community Center,
Lavaca, AR
Great Rivers Alliance of Natural Resource
Districts, Maryville, IL
Greater Fairplay Youth Council, Inc.,
Fairplay, CO
Gymnastics of San Antonio Parents Club,
San Antonio, TX
Hampden Ministries, Inc., Denver, CO
Hands to Honduras-Outreach Ministries,
Alma, MI
Hartley Daycare Association, Hartley, IA
Hawaii Association of Rural Private
Schools, Kailua, HI
Helping Our Public Education
Corporation, Bunnell, FL
Hidalgo Independent School District
Scholarship Foundation, Hidalgo, TX
Hillcrest Ministries, Inc.,
Grand Rapids, MI
Hispanic Business Development Institute,
San Jose, CA
Historic Jackson Ward Main St., Inc.,
Richmond, VA
Historic Meacham Hotel & Retreat
Center, Inc., Meacham, OR
History Makers International,
Granada Hills, CA
Hmong Culture Collection, Inc.,
Fresno, CA
Hollister Police Activities League,
Hollister, CA
Home and School Association of
Annunciation School, Green Bay, WI
Homebound, Coon Rapids, MI
Honeys Women Helping Women and
Children, Jonesboro, GA
Housing and Supportive Alliance of
Salisbury-Rowan, Inc., Salisbury, NC
Hunters for the Hungry, Inc., Augusta, ME
Illinois High School Athletic Hall of
Fame, Princeton, IL
Illinois Life Underwriters Foundation,
Springfield, IL
Illinois Principals Foundation,
Springfield, IL
Inner Growth Youth Center,
Thomasville, NC
Inspirational Community Development
and Learning Center, Inc.,
Belle Glade, FL
Institute for the Advancement of Micro
Finance, Inc., Deerfield Beach, FL
Integrated Architecture Learning Center,
Inc., Grand Rapids, MI
International Accreditation Forum,
Milwaukee, WI
International Connectivity and
Capacitation in Education, Eugene, OR
International School of Prague
Foundation, Inc., New York, NY
Ira B. Jones Primary Parent-Teacher
Organization, Asheville, NC
Ironwoods Homeownership Program,
Ironwood, MI
Isaac Suku Memorial Foundation
of America for Liberia, Inc.,
Hyattsville, MD
Ishyirahamwe Ubumwe, Stockton, CA
Islamic Message Foundation of New
Orleans, Inc., New Orleans, LA
Iuka Dixie Girls Softball, Inc., Iuka, MS
J. E. Ealy Foundation, Southfield, MI
James Madison Elementary School Parent
Club, Madera, CA
James T. Murone Childrens Museum of
Discovery, Warner Robins, GA
Jasper County Family Connection, Inc.,
Monticello, GA
John Philip Sousa Foundation,
West Lafayette, IN
Johnson Memorial Foundation, Inc.,
New York, NY
Journey Foundation, Des Moines, IA
Just For Me Child Care Services,
Charlotte, NC
Kansas City Alumia Foundation,
Kansas City, MO
Kathleen High School Athletic Booster
Club, Inc., Lakeland, FL
Kent County Enhancement Program,
Jayton, TX
Kids With Crohns Foundation,
Thousand Oaks, CA
Kidsplan, Ctr Barnstead, NH
Kingwood Pops Orchestra, Kingwood, TX
Klein Forest High School Publications
Booster Club, Inc., Houston, TX
Krista Ford Foundation, Decatur, GA
Lacrosse Area Dyslexia Research
Institute, Inc., Waumandee, WI
Ladera Land Conservancy,
San Juan Capistrano, CA
LakeshorePTO,EauClaire,WI
Larry Emery Memorial Rotary
Scholarship Foundation, Camarillo, CA
Las America Educational Foundation,
Chicago, IL
Laurent Clerc Deaf Academy, Aurora, IL
Lazy Eight Foundation, Denver, CO
Leadership Big Bend, Alpine, TX
Life Building Communities, Florence, NJ
Lifespan Learning Network,
Monterey, CA
Light of the World Economic
Development Corporation,
Columbia, SC
Lock Ness Learning Center,
Minneapolis, MN
Long Shoals Community Center,
Lincolnton, NC
Love of Life, Alameda, CA
Lowell Area Youth Development, Inc.,
Troy, MI
Lydia Foundation, Arlington, VA
M.I.S. Charities, Inc.,
Warrensville Heights, OH
Maranatha Foundation, Houma, LA
Martin County Agricultural Fair
Association, Inc., Stuart, FL
Martin High School Oral Interpretation
Booster Club, Arlington, TX
Masters Ministry, Inc., Charlotte, NC
Men for Social Change, Lake City, FL
Metaphysical Co-Op Love, Inc.,
Philadelphia, PA
Miami Dade Resident College, Inc.,
Miami, FL
2003-49 I.R.B.1197December 8, 2003

Michigan Interscholastic Forensic
Association, Ann Arbor, MI
Mid-Peninsula Oroysom Senior Housing,
Inc., Redwood City, CA
Middle Atlantic Sports Academy, Inc.,
Allentown, PA
Millennium Jazz Works Society, Inc.,
Annapolis, MD
Minnesota Association of Black Lawyers
Foundation, Minneapolis, MN
Minnesota Revels, Inc., Minneapolis, MN
Minority Development Association, Inc.,
Los Angeles, CA
Missouri African American Culture
Initiative, St. Louis, MO
Missouri Alliance for Arts Education,
St. Louis, MO
Missouri Center on Addictive Disorders,
Inc., Raytown, MO
Missourians Promoting Safe & Sober
Driving Foundation, Jefferson City, MO
Moonlight Theatre Company, Clifton, VA
Mt. Clemens Hockey Scholarship Fund,
Inc., Clinton Township, MI
National Mens History Month Project,
Lacey, WA
National Organization of Mens Outreach
for Rape Education, Baltimore, MD
NCAL-Acquisition II, Inc.,
Winston-Salem, NC
New Birth Recovery Home, San Jose, CA
New Direction Foundation, Inc.,
Norman, OK
New Friends Adult Day Care-Day Health
Incorporate,Charlotte, NC
New Life Cultural Society, Northbrook, IL
Nisei Week Foundation, Inc.,
Los Angeles, CA
No Longer a Victim, Inc., Houston, TX
Normas Academy of Dance Scholarship
Fund, Inc., Atlanta, GA
North American Konani Association, Inc.,
Brooklyn, NY
North Carolina Association of Black
Storyteller, Inc., Charlotte, NC
North Carolina Crime Prevention
Association, Southern Shore, NC
NorthHarlingenRotaryClubStudent
Loan Foundation, Harlingen, TX
Northern Ponca Housing Resident
Association, Norfolk, NE
Northwest Cabarrus Band Boosters, Inc.,
Kannapolis, NC
NUJC,Inc.,NewUlm,MN
Oak Ridge High School Sports Booster
Club, Conroe, TX
Ocala Toros Soccer Club, Inc., Ocala, FL
Olde Friends Concert Artists, Inc.,
Broomfield, CO
Olympic Hearts Gymnastics Foundation,
Brooklyn Park, MN
Our Place Personal Care Home, Inc.,
Doraville, GA
Oxnard Public Library Development
Corporation, Oxnard, CA
Parents in Control Educational
Foundation, Olathe, KS
Pedernales Valley Disaster Discovery,
Inc., Austin, TX
Petersburg High School Boosters Club,
Petersburg, VA
Phillips Kids, Inc., Eagan, MN
Phoenix Academy for the Performing
Arts, South Orange, NJ
Phoenix Dance Theatre, Oswego, IL
Pine Bluff Arkansas Black Nurses
Association, Pine Bluff, AR
Pray Train & Study, Inc., Wilmington, DE
Project Change, Washington, DC
Randolph County Community Alliance,
Inc., Elkins, WV
Readi Corp., Rural Hall, NC
Red Sea Missions, Charlotte, NC
Region a Connect NC Commission, Inc.,
Bryson City, NC
Regulatory Checkbook, Alexandria, VA
Repairers of the Breach, Inc., Toledo, OH
Rescue Me An Avian Sanctuary,
Washington, DC
Residential Service Corporation,
St. Louis, MO
Resource Directory, Inc., New York, NY
River Valley Foundation, Mankato, MN
Riverside County Library Foundation,
Riverside, CA
Rizpah Family Services,
Boynton Beach, FL
Rotary Charities Foundation of District
6490, Champaign, IL
Rotary Club of Lakeway-Lake Travis
Foundation, Inc., Austin, TX
Ruth Camp Campbell Memorial Library,
Franklin, VA
RX Alms, Inc., Tulsa, OK
Salt Mine Youth Center, Harrisonburg, VA
Sankofa, Inc., Greensboro, NC
Saugatuck Athletic Boosters,
Saugatuck, MI
School District 92 Foundation for
Educational Excellence, Lockport, IL
Scotland Home Health, Inc.,
Laurinburg, NC
S.E. & L.C. Backhus Foundation,
San Rafael, CA
S E R V Ministries, Dana Point, CA
Second Chance Project, Inc.,
Baltimore, MD
Senior Society of Friends, San Mateo, FL
Service Net, Walterboro, SC
Seven Corners Childrens Center, Inc.,
Falls Church, VA
Shenandoah Valley Blues Society,
Fisherville, VA
Shield of Chernobyl, Inc., Rochester, NY
Shih Tzu Rescue, Inc., S.W. Ranches, FL
Shiloh Spiritual Growth Ministries,
Chino Valley, AZ
Sickles High School Omnibus Booster
Organization, Inc., Tampa, FL
Sierra Leone-American Organization of
Texoma, Inc., Garland, TX
Simi Valley Broadcast Academy,
Simi Valley, CA
Simkus & Ventura Group Foundation for
Financial Literacy, Lawrenceville, NJ
Sisters Community Outreach Program,
Philadelphia, PA
Sky-High Exposure, Inc., Bronx, NY
Smart Ride, Columbia, MO
Society for Interdisciplinary Studies,
North Bend, WA
Societys Assets, Racine, WI
Solutions Television Magazine, Inc,
Huntington Beach, CA
Sounds of the Spirit Center for Jazz,
Chicago, IL
South Amboy Irish-American
Association, Inc., South Amboy, NJ
South Carolina School for the Deaf
Alumni Association, Spartanburg, SC
South Charleston Public Library
Foundation, Inc., S. Charleston, WV
South San Jose Lions Charitable
Foundation, San Jose, CA
Southwest Atlanta Community
Partnership, Inc., Atlanta, GA
Southwest Leadership Team, Inc.,
Baltimore, MD
Southwest Michigan Basketball,
Portage, MI
Space Port Rotary Foundation, Inc.,
Titusville, FL
Spring Valley Athletic Boosters
Association, Inc., Huntington, WV
Starr Elementary PTO, Anderson, SC
Stoughton Area Educational Foundation,
Stoughton, WI
Sundays at Three, Inc., Columbia, MD
Sunridge Conservancy, Sacramento, CA
Sunshine Care, Inc., Forestville, MD
Support Your Own, Inc., Stockton, CA
Tender Mercy Ministries, Lexington, KY
December 8, 200311982003-49 I.R.B.

Texas Topps Booster Club, Inc.,
San Marcos, TX
Thunder Mountain Soccer Association,
Palisade, CO
Timothy’s Charge Ministries, Inc.,
Columbus, OH
TouchedbyLoveMinistries,Inc.,
Sierra, CA
Tough Town, Incorporated, Houston, TX
Tri-County Mental Health Consumers,
Inc., Conroe, TX
Tri-Valley Football Parents Association,
Inc., Hegins, PA
Truth for Living, Inc., Dade City, FL
Universal Health Care Education Fund,
Boston, MA
University of Hawaii Alumni-Associates
Capital Region Charter, Alexandria, VA
Victorious Life Outreach, Seattle, WA
Vine and Branch Connection, Inc.,
Virginia Beach, VA
Vintage Radio Museum, Fairhope, AL
Virginia Professionals Association, Inc.,
Charlottesville, VA
Virginia Rhythmic Sport of Gymnastics
Association, Virginia Beach, VA
W. M. Fountain Corporation, Lowell, MA
Wake Technology Academy, Raleigh, NC
Wake Up America of Lake Fairways, Inc.,
North Ft. Myers, FL
Washington Heights Arts Center, Inc.,
New York, NY
Waterwise-America, Inc., Milwaukee, WI
Way Ministries, Omaha, NE
We Can Make a Difference Development
Corporation, Bronx, NY
Welfare Reform Corporation of the United
States of America, Inc., Mobile, AL
West Coast Solutions, Inc., Tampa, FL
West Fresno Community Foundation,
Inc., Fresno, CA
White Feather Medicine Society,
Lakewood, WA
White Lick Literary Society, Avon, IN
Windhaven, Laurel, MD
Winds of Change Foundation,
Woodside, CA
Wings of Refuge, Inc., Tomball, TX
Witness for Jesus, Inc., Malden, MO
Womens Suffrage for Prostate Cancer
Awareness, Sunnyvale, CA
Work With Dignity, Minneapolis, MN
World Education Business Board,
Detroit, MI
If an organization listed above submits
information that warrants the renewal of
its classification as a public charity or as
a private operating foundation, the Inter-
nal Revenue Service will issue a ruling or
determination letter with the revised clas-
sification as to foundation status. Grantors
and contributors may thereafter rely upon
such ruling or determination letter as pro-
videdinsection1.509(a)–7oftheIncome
Tax Regulations. It is not the practice of
the Service to announce such revised clas-
sification of foundation status in the Inter-
nal Revenue Bulletin.
2003-49 I.R.B.1199December 8, 2003

Definition of Terms
Revenue rulings and revenue procedures
(hereinafter referred to as “rulings”) that
have an effect on previous rulings use the
following defined terms to describe the ef-
fect:
Amplifieddescribes a situation where
no change is being made in a prior pub-
lished position, but the prior position is be-
ingextendedtoapplytoavariationofthe
fact situation set forth therein. Thus, if
an earlier ruling held that a principle ap-
plied to A, and the new ruling holds that the
same principle also applies to B, the earlier
ruling is amplified. (Compare withmodi-
fied,below).
Clarifiedis used in those instances
where the language in a prior ruling is
being made clear because the language
has caused, or may cause, some confusion.
It is not used where a position in a prior
ruling is being changed.
Distinguisheddescribes a situation
where a ruling mentions a previously pub-
lished ruling and points out an essential
difference between them.
Modifiedis used where the substance
of a previously published position is being
changed. Thus, if a prior ruling held that a
principle applied to A but not to B, and the
new ruling holds that it applies to both A
and B, the prior ruling is modified because
it corrects a published position. (Compare
withamplifiedandclarified,above).
Obsoleteddescribes a previously pub-
lished ruling that is not considered deter-
minative with respect to future transac-
tions. This term is most commonly used in
a ruling that lists previously published rul-
ings that are obsoleted because of changes
in laws or regulations. A ruling may also
be obsoleted because the substance has
been included in regulations subsequently
adopted.
Revokeddescribes situations where the
position in the previously published ruling
is not correct and the correct position is
beingstatedinanewruling.
Supersededdescribes a situation where
the new ruling does nothing more than re-
state the substance and situation of a previ-
ously published ruling (or rulings). Thus,
the term is used to republish under the
1986 Code and regulations the same po-
sition published under the 1939 Code and
regulations. The term is also used when
it is desired to republish in a single rul-
ing a series of situations, names, etc., that
were previously published over a period of
time in separate rulings. If the new rul-
ing does more than restate the substance
of a prior ruling, a combination of terms
is used. For example,modifiedandsu-
persededdescribes a situation where the
substance of a previously published ruling
is being changed in part and is continued
without change in part and it is desired to
restate the valid portion of the previously
published ruling in a new ruling that is self
contained. In this case, the previously pub-
lished ruling is first modified and then, as
modified, is superseded.
Supplementedis used in situations in
which a list, such as a list of the names of
countries, is published in a ruling and that
list is expanded by adding further names in
subsequent rulings. After the original rul-
ing has been supplemented several times, a
new ruling may be published that includes
the list in the original ruling and the ad-
ditions, and supersedes all prior rulings in
the series.
Suspendedis used in rare situations
to show that the previous published rul-
ings will not be applied pending some
future action such as the issuance of new
or amended regulations, the outcome of
cases in litigation, or the outcome of a
Service study.
Abbreviations
The following abbreviations in current use
and formerly used will appear in material
published in the Bulletin.
A—Individual.
Acq.—Acquiescence.
B—Individual.
BE—Beneficiary.
BK—Bank.
B.T.A.—Board of Tax Appeals.
C—Individual.
C.B.—Cumulative Bulletin.
CFR—Code of Federal Regulations.
CI—City.
COOP—Cooperative.
Ct.D.—Court Decision.
CY—County.
D—Decedent.
DC—Dummy Corporation.
DE—Donee.
Del. Order—Delegation Order.
DISC—Domestic International Sales Corporation.
DR—Donor.
E—Estate.
EE—Employee.
E.O.—Executive Order.
ER—Employer.
ERISA—Employee Retirement Income Security Act.
EX—Executor.
F—Fiduciary.
FC—Foreign Country.
FICA—Federal Insurance Contributions Act.
FISC—Foreign International Sales Company.
FPH—Foreign Personal Holding Company.
F.R.—Federal Register.
FUTA—Federal Unemployment Tax Act.
FX—Foreign corporation.
G.C.M.—Chief Counsel’s Memorandum.
GE—Grantee.
GP—General Partner.
GR—Grantor.
IC—Insurance Company.
I.R.B.—Internal Revenue Bulletin.
LE—Lessee.
LP—Limited Partner.
LR—Lessor.
M—Minor.
Nonacq.—Nonacquiescence.
O—Organization.
P—Parent Corporation.
PHC—Personal Holding Company.
PO—Possession of the U.S.
PR—Partner.
PRS—Partnership.
PTE—Prohibited Transaction Exemption.
Pub. L.—Public Law.
REIT—Real Estate Investment Trust.
Rev. Proc.—Revenue Procedure.
Rev. Rul.—Revenue Ruling.
S—Subsidiary.
S.P.R.—Statement of Procedural Rules.
Stat.—Statutes at Large.
T—Target Corporation.
T.C.—Tax Court.
T.D.—Treasury Decision.
TFE—Transferee.
TFR—Transferor.
T.I.R.—Technical Information Release.
TP—Taxpayer.
TR—Trust.
TT—Trustee.
U.S.C.—United States Code.
X—Corporation.
Y—Corporation.
Z—Corporation.
December 8, 2003i2003-49 I.R.B.

Numerical Finding List
1
Bulletins 2003–27 through 2003–49
Announcements:
2003-45, 2003-28 I.R.B.73
2003-46, 2003-30 I.R.B.222
2003-47, 2003-29 I.R.B.124
2003-48, 2003-28 I.R.B.73
2003-49, 2003-32 I.R.B.339
2003-50, 2003-30 I.R.B.222
2003-51, 2003-37 I.R.B.555
2003-52, 2003-32 I.R.B.345
2003-53, 2003-32 I.R.B.345
2003-54, 2003-40 I.R.B.761
2003-55, 2003-38 I.R.B.597
2003-56, 2003-39 I.R.B.694
2003-57, 2003-37 I.R.B.555
2003-58, 2003-40 I.R.B.746
2003-59, 2003-40 I.R.B.746
2003-60, 2003-45 I.R.B.1049
2003-61, 2003-42 I.R.B.890
2003-62, 2003-41 I.R.B.821
2003-63, 2003-45 I.R.B.1015
2003-64, 2003-43 I.R.B.934
2003-65, 2003-43 I.R.B.935
2003-66, 2003-45 I.R.B.1049
2003-67, 2003-44 I.R.B.1005
2003-68, 2003-45 I.R.B.1050
2003-69, 2003-46 I.R.B.1086
2003-70, 2003-46 I.R.B.1090
2003-71, 2003-46 I.R.B.1090
2003-72, 2003-47 I.R.B.1146
2003-73, 2003-47 I.R.B.1149
2003-74, 2003-48 I.R.B.1171
2003-75, 2003-49 I.R.B.1195
2003-76, 2003-48 I.R.B.1171
2003-77, 2003-49 I.R.B.1195
2003-78, 2003-48 I.R.B.1172
Notices:
2003-38, 2003-27 I.R.B.9
2003-39, 2003-27 I.R.B.10
2003-40, 2003-27 I.R.B.10
2003-41, 2003-28 I.R.B.49
2003-42, 2003-28 I.R.B.49
2003-43, 2003-28 I.R.B.50
2003-44, 2003-28 I.R.B.52
2003-45, 2003-29 I.R.B.86
2003-46, 2003-28 I.R.B.53
2003-47, 2003-30 I.R.B.132
2003-48, 2003-30 I.R.B.133
2003-49, 2003-32 I.R.B.294
2003-50, 2003-32 I.R.B.295
2003-51, 2003-33 I.R.B.361
2003-52, 2003-32 I.R.B.296
Notices— Continued:
2003-53, 2003-33 I.R.B.362
2003-54, 2003-33 I.R.B.363
2003-55, 2003-34 I.R.B.395
2003-56, 2003-34 I.R.B.396
2003-57, 2003-34 I.R.B.397
2003-58, 2003-35 I.R.B.429
2003-59, 2003-35 I.R.B.429
2003-60, 2003-39 I.R.B.643
2003-61, 2003-42 I.R.B.851
2003-62, 2003-38 I.R.B.576
2003-63, 2003-38 I.R.B.577
2003-64, 2003-39 I.R.B.646
2003-65, 2003-40 I.R.B.747
2003-66, 2003-48 I.R.B.1159
2003-67, 2003-40 I.R.B.752
2003-68, 2003-41 I.R.B.824
2003-69, 2003-42 I.R.B.851
2003-70, 2003-43 I.R.B.916
2003-71, 2003-43 I.R.B.922
2003-72, 2003-44 I.R.B.964
2003-73, 2003-45 I.R.B.1017
2003-74, 2003-47 I.R.B.1097
2003-76, 2003-49 I.R.B.1181
2003-77, 2003-49 I.R.B.1182
Proposed Regulations:
REG-209377-89, 2003-36 I.R.B.521
REG-208199-91, 2003-40 I.R.B.756
REG-106486-98, 2003-42 I.R.B.853
REG-108639-99, 2003-35 I.R.B.431
REG-106736-00, 2003-28 I.R.B.60
REG-108524-00, 2003-42 I.R.B.869
REG-115037-00, 2003-44 I.R.B.967
REG-140378-01, 2003-41 I.R.B.825
REG-107618-02, 2003-27 I.R.B.13
REG-122917-02, 2003-27 I.R.B.15
REG-128203-02, 2003-41 I.R.B.828
REG-131997-02, 2003-33 I.R.B.366
REG-133791-02, 2003-35 I.R.B.493
REG-136890-02, 2003-49 I.R.B.1191
REG-138495-02, 2003-37 I.R.B.541
REG-138499-02, 2003-37 I.R.B.541
REG-140808-02, 2003-38 I.R.B.582
REG-140930-02, 2003-38 I.R.B.583
REG-141402-02, 2003-43 I.R.B.932
REG-141669-02, 2003-34 I.R.B.408
REG-142538-02, 2003-38 I.R.B.590
REG-143679-02, 2003-38 I.R.B.592
REG-144908-02, 2003-38 I.R.B.593
REG-146893-02, 2003-44 I.R.B.967
REG-157164-02, 2003-44 I.R.B.1004
REG-162625-02, 2003-35 I.R.B.500
REG-163974-02, 2003-38 I.R.B.595
REG-108676-03, 2003-36 I.R.B.523
REG-112039-03, 2003-35 I.R.B.504
Proposed Regulations— Continued:
REG-113112-03, 2003-40 I.R.B.760
REG-116914-03, 2003-32 I.R.B.338
REG-121122-03, 2003-37 I.R.B.550
REG-129709-03, 2003-35 I.R.B.506
REG-130262-03, 2003-37 I.R.B.553
REG-132483-03, 2003-34 I.R.B.410
REG-132760-03, 2003-43 I.R.B.933
REG-146692-03, 2003-48 I.R.B.1164
Revenue Procedures:
2003-45, 2003-27 I.R.B.11
2003-46, 2003-28 I.R.B.54
2003-47, 2003-28 I.R.B.55
2003-48, 2003-29 I.R.B.86
2003-49, 2003-29 I.R.B.89
2003-50, 2003-29 I.R.B.119
2003-51, 2003-29 I.R.B.121
2003-52, 2003-30 I.R.B.134
2003-53, 2003-31 I.R.B.230
2003-54, 2003-31 I.R.B.236
2003-55, 2003-31 I.R.B.242
2003-56, 2003-31 I.R.B.249
2003-57, 2003-31 I.R.B.257
2003-58, 2003-31 I.R.B.262
2003-59, 2003-31 I.R.B.268
2003-60, 2003-31 I.R.B.274
2003-61, 2003-32 I.R.B.296
2003-62, 2003-32 I.R.B.299
2003-63, 2003-32 I.R.B.304
2003-64, 2003-32 I.R.B.306
2003-65, 2003-32 I.R.B.336
2003-66, 2003-33 I.R.B.364
2003-67, 2003-34 I.R.B.397
2003-68, 2003-34 I.R.B.398
2003-69, 2003-34 I.R.B.403
2003-70, 2003-34 I.R.B.406
2003-71, 2003-36 I.R.B.517
2003-72, 2003-38 I.R.B.578
2003-73, 2003-39 I.R.B.647
2003-74, 2003-43 I.R.B.923
2003-75, 2003-45 I.R.B.1018
2003-76, 2003-43 I.R.B.924
2003-77, 2003-44 I.R.B.964
2003-78, 2003-45 I.R.B.1029
2003-79, 2003-45 I.R.B.1036
2003-80, 2003-45 I.R.B.1037
2003-81, 2003-45 I.R.B.1046
2003-82, 2003-47 I.R.B.1087
2003-83, 2003-47 I.R.B.1099
2003-84, 2003-48 I.R.B.1159
2003-85, 2003-49 I.R.B.1184
Revenue Rulings:
2003-70, 2003-27 I.R.B.3
2003-71, 2003-27 I.R.B.1
1
A cumulative list of all revenue rulings, revenue procedures, Treasury decisions, etc., published in Internal Revenue Bulletins 2003-1 through 2003-26 is in Internal Revenue Bulletin 2003-27,
dated July 7, 2003.
2003-49 I.R.B.iiDecember 8, 2003

Revenue Rulings— Continued:
2003-72, 2003-33 I.R.B.346
2003-73, 2003-28 I.R.B.44
2003-74, 2003-29 I.R.B.77
2003-75, 2003-29 I.R.B.79
2003-76, 2003-33 I.R.B.355
2003-77, 2003-29 I.R.B.75
2003-78, 2003-29 I.R.B.76
2003-79, 2003-29 I.R.B.80
2003-80, 2003-29 I.R.B.83
2003-81, 2003-30 I.R.B.126
2003-82, 2003-30 I.R.B.125
2003-83, 2003-30 I.R.B.128
2003-84, 2003-32 I.R.B.289
2003-85, 2003-32 I.R.B.291
2003-86, 2003-32 I.R.B.290
2003-87, 2003-29 I.R.B.82
2003-88, 2003-32 I.R.B.292
2003-89, 2003-37 I.R.B.525
2003-90, 2003-33 I.R.B.353
2003-91, 2003-33 I.R.B.347
2003-92, 2003-33 I.R.B.350
2003-93, 2003-33 I.R.B.346
2003-94, 2003-33 I.R.B.357
2003-95, 2003-33 I.R.B.358
2003-96, 2003-34 I.R.B.386
2003-97, 2003-34 I.R.B.380
2003-98, 2003-34 I.R.B.378
2003-99, 2003-34 I.R.B.388
2003-100, 2003-34 I.R.B.385
2003-101, 2003-36 I.R.B.513
2003-102, 2003-38 I.R.B.559
2003-103, 2003-38 I.R.B.568
2003-104, 2003-39 I.R.B.636
2003-105, 2003-40 I.R.B.696
2003-106, 2003-44 I.R.B.936
2003-107, 2003-41 I.R.B.815
2003-108, 2003-44 I.R.B.963
2003-109, 2003-42 I.R.B.839
2003-110, 2003-46 I.R.B.1083
2003-111, 2003-45 I.R.B.1009
2003-112, 2003-45 I.R.B.1007
2003-113, 2003-44 I.R.B.962
2003-114, 2003-45 I.R.B.1012
2003-115, 2003-46 I.R.B.1052
2003-116, 2003-46 I.R.B.1083
2003-117, 2003-46 I.R.B.1051
2003-118, 2003-47 I.R.B.1095
2003-119, 2003-47 I.R.B.1094
2003-120, 2003-48 I.R.B.1154
2003-121, 2003-48 I.R.B.1153
2003-122, 2003-49 I.R.B.1179
2003-124, 2003-49 I.R.B.1173
Social Security Contribution and Benefit
Base; Domestic Employee Coverage
Threshhold:
2003-66, 2003-48 I.R.B.1159
Tax Conventions:
2003-58, 2003-40 I.R.B.746
2003-59, 2003-40 I.R.B.746
2003-62, 2003-41 I.R.B.821
2003-63, 2003-45 I.R.B.1015
Treasury Decisions:
9061, 2003-27 I.R.B.5
9062, 2003-28 I.R.B.46
9063, 2003-36 I.R.B.510
9064, 2003-36 I.R.B.508
9065, 2003-36 I.R.B.515
9066, 2003-36 I.R.B.509
9067, 2003-32 I.R.B.287
9068, 2003-37 I.R.B.538
9069, 2003-37 I.R.B.525
9070, 2003-38 I.R.B.574
9071, 2003-38 I.R.B.560
9072, 2003-37 I.R.B.527
9073, 2003-38 I.R.B.570
9074, 2003-39 I.R.B.601
9075, 2003-39 I.R.B.608
9076, 2003-38 I.R.B.562
9077, 2003-39 I.R.B.634
9078, 2003-39 I.R.B.630
9079, 2003-40 I.R.B.729
9080, 2003-40 I.R.B.696
9081, 2003-35 I.R.B.420
9082, 2003-41 I.R.B.807
9083, 2003-40 I.R.B.700
9084, 2003-40 I.R.B.742
9085, 2003-41 I.R.B.775
9086, 2003-41 I.R.B.817
9087, 2003-41 I.R.B.781
9088, 2003-42 I.R.B.841
9089, 2003-43 I.R.B.906
9090, 2003-43 I.R.B.891
9091, 2003-44 I.R.B.939
9092, 2003-46 I.R.B.1055
9093, 2003-48 I.R.B.1156
9095, 2003-49 I.R.B.1175
December 8, 2003iii2003-49 I.R.B.

Findings List of Current Actions on
Previously Published Items
1
Bulletins 2003-27 through 2003-49
Notices:
87-5
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
87-66
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
87-79
Modified by
Notice 2003-65, 2003-40 I.R.B.747
89-79
Modified and superseded by
Rev. Proc. 2003-47, 2003-28 I.R.B.55
89-94
Modified by
Notice 2003-50, 2003-32 I.R.B.295
94-46
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
95-18
Modified by
Notice 2003-70, 2003-43 I.R.B.916
95-50
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
95-53
Modified and superseded by
Notice 2003-55, 2003-34 I.R.B.395
2001-4
Section III.C. superseded for 2004 and subsequent
calendar years by
Rev. Proc. 2003-64, 2003-32 I.R.B.306
2001-51
Supplemented and superseded by
Notice 2003-76, 2003-49 I.R.B.1181
2001-70
Amplified by
Notice 2003-45, 2003-29 I.R.B.86
2001-74
Amplified by
Notice 2003-45, 2003-29 I.R.B.86
2002-1
Amplified by
Notice 2003-49, 2003-32 I.R.B.294
Notices— Continued:
2003-12
Obsoleted by
T.D. 9090, 2003-43 I.R.B.891
REG-141402-02, 2003-43 I.R.B.932
2003-36
Modified by
Notice 2003-59, 2003-35 I.R.B.429
Proposed Regulations:
REG-EE-86-88 (LR-279-81)
Withdrawn by
REG-122917-02, 2003-27 I.R.B.15
REG-105606-99
Withdrawn by
REG-133791-02, 2003-35 I.R.B.493
REG-110385-99
Partially withdrawn by
Ann. 2003-78, 2003-48 I.R.B.1172
Revenue Procedures:
66-3
Revoked by
Rev. Proc. 2003-74, 2003-43 I.R.B.923
66-50
Modified, amplified, and superseded by
Rev. Proc. 2003-62, 2003-32 I.R.B.299
68-23
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-41
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-6
Modified and superseded, in part by
Notice 2003-70, 2003-43 I.R.B.916
77-12
Amplified, modified, and superseded by
Rev. Proc. 2003-51, 2003-29 I.R.B.121
80-4
Modified and amplified by
Notice 2003-70, 2003-43 I.R.B.916
81-40
Modified and superseded by
Rev. Proc. 2003-62, 2003-32 I.R.B.299
84-71
Revoked by
Rev. Proc. 2003-74, 2003-43 I.R.B.923
Revenue Procedures— Continued:
85–56
Revoked by
Rev. Proc. 2003-74, 2003-43 I.R.B.923
87–21
Revoked by
Rev. Proc. 2003-74, 2003-43 I.R.B.923
89-12
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
89-21
Superseded by
Rev. Proc. 2003-53, 2003-31 I.R.B.230
89-31
Obsoleted by
REG-108524-00, 2003-42 I.R.B.869
90-19
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
90-32
Section4supersededby
Rev. Proc. 2003-55, 2003-31 I.R.B.242
Section5supersededby
Rev. Proc. 2003-56, 2003-31 I.R.B.249
Section6supersededby
Rev. Proc. 2003-57, 2003-31 I.R.B.257
Section7supersededby
Rev. Proc. 2003-59, 2003-31 I.R.B.268
Section8supersededby
Rev. Proc. 2003-60, 2003-31 I.R.B.274
91-11
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
91-13
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
91-39
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
92-33
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
92-35
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
92–39
Superseded in part by
Rev. Proc. 2003-78, 2003-43 I.R.B.1029
1
A cumulative list of current actions on previously published items in Internal Revenue Bulletins 2003-1 through 2003-26 is in Internal Revenue Bulletin 2003-27, dated July 7, 2003.
2003-49 I.R.B.ivDecember 8, 2003

Revenue Procedures— Continued:
92-66
Obsoleted by
REG-108524-00, 2003-42 I.R.B.869
92-88
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
93-17
Obsoleted by
REG-132483-03, 2003-34 I.R.B.410
94-46
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
94-52
Revoked by
Rev. Proc. 2003-74, 2003-43 I.R.B.923
95-10
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
95-11
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
95-39
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
96-17
Modified and superseded by
Rev. Proc. 2003-69, 2003-34 I.R.B.403
96-30
Modified and amplified by
Rev. Proc. 2003-48, 2003-29 I.R.B.86
96-38
Obsoleted by
Rev. Proc. 2003-71, 2003-36 I.R.B.517
97-11
Revoked by
Rev. Proc. 2003-74, 2003-43 I.R.B.923
2000-12
Modified by
Rev. Proc. 2003-64, 2003-32 I.R.B.306
2000-15
Superseded by
Rev. Proc. 2003-61, 2003-32 I.R.B.296
2000-20
Modified by
Rev. Proc. 2003-72, 2003-38 I.R.B.578
2001-19
Amplified by
Rev. Proc. 2003-75, 2003-45 I.R.B.1018
2001-40
Superseded by
Rev. Proc. 2003-83, 2003-47 I.R.B.1099
Revenue Procedures— Continued:
2002-9
Modified by
T.D. 9090, 2003-43 I.R.B.891
REG-141402-02, 2003-43 I.R.B.932
Rev. Proc. 2003-45, 2003-27 I.R.B.11
Amplified and modified by
Rev. Proc. 2003-50, 2003-29 I.R.B.119
Modified and amplified by
Rev. Proc. 2003-63, 2003-32 I.R.B.304
Rev. Rul. 2003-81, 2003-30 I.R.B.126
2002-13
Revoked by
Rev. Proc. 2003-68, 2003-34 I.R.B.398
2002-14
Amplified by
Rev. Proc. 2003-75, 2003-45 I.R.B.1018
2002-29
Modified by
Rev. Proc. 2003-72, 2003-38 I.R.B.578
2002-33
Amplified and modified by
Rev. Proc. 2003-50, 2003-29 I.R.B.119
2002-34
Superseded by
Rev. Proc. 2003-52, 2003-30 I.R.B.134
2002-38
Modified by
Rev. Proc. 2003-79, 2003-45 I.R.B.1036
2002-39
Modified by
Rev. Proc. 2003-79, 2003-45 I.R.B.1036
2002-45
Revoked by
Rev. Proc. 2003-68, 2003-34 I.R.B.398
2002-60
Superseded by
Rev. Proc. 2003-73, 2003-39 I.R.B.647
2002-61
Superseded by
Rev. Proc. 2003-76, 2003-43 I.R.B.924
2002-63
Superseded by
Rev. Proc. 2003-80, 2003-45 I.R.B.1037
2002-68
Modified and superseded by
Rev. Proc. 2003-84, 2003-48 I.R.B.1159
2003-3
Modified by
Rev. Proc. 2003-48, 2003-29 I.R.B.86
2003-15
Modified and superseded by
Rev. Proc. 2003-49, 2003-29 I.R.B.89
Revenue Procedures— Continued:
2003-28
Modified by
Ann. 2003-35, 2003-38 I.R.B.597
Modified in part by
Ann. 2003-75, 2003-49 I.R.B.1195
2003-44
Modified by
Rev. Proc. 2003-72, 2003-38 I.R.B.578
2003-49
Supplemented by
Rev. Proc. 2003-81, 2003-45 I.R.B.1046
Revenue Rulings:
53-56
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
54-139
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
54-396
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
55-105
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
55-372
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-128
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-160
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-212
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-220
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-271
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-344
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-448
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
December 8, 2003v2003-49 I.R.B.

Revenue Rulings— Continued:
56-451
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-586
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-680
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
56-681
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
57-116
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
57-296
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
57-542
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
58-92
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
58-618
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
59-108
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
59-120
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
59-122
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
59-233
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
59-326
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
59-356
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
59-400
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
59-412
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
Revenue Rulings— Continued:
60-49
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
60-246
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
60-262
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
60-307
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
61-96
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
63-157
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
63-224
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
63-248
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
64-147
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
64-177
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
64-285
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
65-110
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
65-260
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
65-273
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
66-4
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
66-23
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
66-610
Partially obsoleted by
Rev. Rul. 2003-105, 2003-40 I.R.B.696
Revenue Rulings— Continued:
66-290
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
67-186
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
67-189
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
67-326
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-309
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-388
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-434
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-477
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-522
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-608
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-640
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
68-641
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
69-18
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
69-20
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
69-241
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
69-361
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
69-426
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
2003-49 I.R.B.viDecember 8, 2003

Revenue Rulings— Continued:
69-485
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
69-517
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-6
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-111
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-229
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-230
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-264
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-286
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-378
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-409
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
70-496
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
71-13
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
71-384
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
71-440
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
71-453
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
71-454
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
71-495
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
Revenue Rulings— Continued:
71-518
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
71-565
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
71-582
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
72-61
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
72-116
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
72-212
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
72-357
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
72-472
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
72-526
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
72-599
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
72-603
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
73-46
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
73-119
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
73-182
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
73-257
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
73-277
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
73-473
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
Revenue Rulings— Continued:
73-490
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
73-498
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-6
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-59
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-73
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-83
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-87
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-211
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-376
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-476
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-521
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
74-610
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-53
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-54
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-105
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-106
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-107
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
December 8, 2003vii2003-49 I.R.B.

Revenue Rulings— Continued:
75-111
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-134
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-160
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-174
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-179
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-212
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-248
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-298
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-341
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-426
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-468
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-515
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
75-561
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
76-44
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
76-67
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
76-90
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
76-225
Revoked by
T.D. 9068, 2003–37 I.R.B.538
Revenue Rulings— Continued:
76-239
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
76-329
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
76-347
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
76-535
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-41
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-81
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-150
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-256
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-284
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-321
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-343
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-405
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-456
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-482
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
77-483
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
78-89
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
78-287
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
Revenue Rulings— Continued:
78-420
Obsoleted by
Rev. Rul. 2003-105, 2003-40 I.R.B.696
78-441
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
79-29
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
79-50
Obsoleted by
Rev. Rul. 2003-105, 2003-40 I.R.B.696
79-71
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
79-82
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
79-104
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
79-116
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
79-314
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
79-410
Amplified by
Rev. Rul. 2003-90, 2003-33 I.R.B.353
79-424
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
80-78
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
80-79
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
80-101
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
80-167
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
80-170
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
80-358
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
2003-49 I.R.B.viiiDecember 8, 2003

Revenue Rulings— Continued:
81-190
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
81-225
Clarified and amplified by
Rev. Rul. 2003-92, 2003-33 I.R.B.350
81-247
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
82-164
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
82-226
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
83-101
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
83-119
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
84-28
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
84-30
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
85-55
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
85-136
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
86-52
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
87-1
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
87-95
Superseded by
Rev. Rul. 2003-109, 2003-42 I.R.B.839
88-7
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
89-72
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
94-56
Superseded by
Rev. Rul. 2003-109, 2003-42 I.R.B.839
Revenue Rulings— Continued:
2002-78
Supplemented and superseded by
Rev. Rul. 2003-118, 2003-47 I.R.B.1095
2002-79
Supplemented and superseded by
Rev. Rul. 2003-119, 2003-47 I.R.B.1094
2003-58
Distinguished by
Rev. Rul. 2003-102, 2003-38 I.R.B.559
Treasury Decisions:
9033
Removed by
T.D. 9065, 2003-36 I.R.B.515
9083
Corrected by
Ann. 2003-60, 2003-45 I.R.B.1049
December 8, 2003ix2003-49 I.R.B.
*U.S. Government Printing Office: 2003—304–774/60112