Internal Revenue Bulletin 2003-50 (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. 2003-50
December 15, 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. 2003–123, page 1200.
Qualified conservation contribution.This ruling clarifies the
ServiceÊs position that a trust is not allowed either a charita-
ble deduction under section 642(c) or a distribution deduction
under section 661(a)(2) of the Code with respect to a contri-
bution to charity of trust principal that meets the requirements
of a qualified conservation contribution under section 170(h).
Rev. Rul. 68–667 amplified.
T.D. 9094, page 1201.
REG–115472–03, page 1215.
Final, temporary, and proposed regu
lations under section
6031(a) of the Code allow the Commiss
ioner to publish in
the Internal Revenue Bulletin guid
ance that excepts, from the
partnership income tax reporting
requirements, partnerships
whose income is primarily from tax
-exempt bonds.
Notice 2003–75, page 1204.
This notice describes the new simplified reporting regime for
taxpayers who hold interests in Canadian registered retirement
savings plans (RRSPs) and registered retirement income funds
(RRIFs). The new reporting regime, which is effective for tax-
able years beginning after December 31, 2002, is in lieu of the
Form 3520,Annual Return To Report Transactions With For-
eign Trusts and Receipt of Certain Foreign Gifts,andForm
3520–A,Annual Information Return of Foreign Trust With a
U.S. Owner, filing obligations that otherwise apply to U.S. citi-
zens and resident aliens who hold interests in RRSPs and RRIFs
and to the custodians of such plans. Notices 97–34 (section
II-E), 2003–25, and 2003–57 superseded.
Notice 2003–79, page 1206.
Section 1(h) of the Code provides that certain dividends paid
to an individual shareholder from either a domestic corpora-
tion or a "qualified foreign corporation" are subject to tax at the
reduced rates applicable to certain capital gains. This notice
provides guidance for persons required to make returns and
provide statements under section 6042 (e.g., Form 1099-DIV)
regarding distributions with respect to securities issued by a
foreign corporation, and for individuals receiving such state-
ments. The notice also describes when a security (or an Amer-
ican depositary receipt in respect to such security) issued by
a foreign corporation that is other than ordinary or common
stock (such as preferred stock) will satisfy the readily tradable
test.
Announcement 2003–79, page 1219.
This announcement withdraws proposed regulations
(REG–209817–96, 1997–1 C.B. 754) concerning the treat-
ment of obligation-shifting transactions. REG–209817–96
withdrawn.
Announcement 2003–80, page
1220.
This document contains corre
ctions to proposed regulations
(REG–133791–02, 2003–35 I.
R.B. 493) under section 41 of
theCoderelatingtothecomp
utation and allocation of the credit
for increasing research
activities for members of a controlled
group of corporations or
a group of trades or businesses under
common control.
Announcement 2003–81, page 1220.
This document contains corrections to final regulations (T.D.
9078, 2003–39 I.R.B. 630) under section 1361 of the Code
relating to a qualified subchapter S trust election for testamen-
tary trust.
(Continued on the next page)
Announcement of Declaratory Judgment Proceedings Under Section 7428 begins on page 1221.
Anno
uncements of Disbarments and Suspensions begin on page 1216.
Finding Lists begin on page ii.

EMPLOYEE PLANS
Rev. Proc. 2003–86, page 1211.
Professional employer organizations; employee leasing; plan
qualification.This procedure describes certain transitional
rules that may be used by defined contribution retirement plans
of professional employer organizations. Rev. Proc. 2002–21
amplified.
EXEMPT ORGANIZATIONS
Announcement 2003–82, page 1220.
Code Red Cross Training of San Ramon, CA, no longer qualifies
as an organization to which contributions are deductible under
section 170 of the Code.
EMPLOYMENT TAX
Notice 2003–78, page 1205.
This notice publishes the tier 2 Railroad Retireme
nt Tax Act
(RRTA) tax rates for 2004 under sections 3201(b),
3221(b),
and 3211(b) of the Internal Revenue Code for rail
road employ-
ees, employers, and employee representati
ves, respectively.
For 2004, the tier 2 tax rate on employees is
4.9 percent of
compensation and the tier 2 tax rate on emp
loyers and em-
ployee representatives is 13.1 percent o
fcompensation.
ADMINISTRATIVE
T.D. 9094, page 1201.
REG–115472–03, page 1215.
Final, temporary, and proposed regulations under section
6031(a) of the Code allow the Commissioner to publish in
the Internal Revenue Bulletin guidance that excepts, from the
partnership income tax reporting requirements, partnerships
whose income is primarily from tax-exempt bonds.
Notice 2003–75, page 1204.
This notice describes the new si
mplified reporting regime for
taxpayers who hold interests i
nCanadianregisteredretirement
savings plans (RRSPs) and re
gistered retirement income funds
(RRIFs). The new reporting
regime, which is effective for tax-
able years beginning after
December 31, 2002, is in lieu of the
Form 3520,Annual Return T
o Report Transactions With For-
eign Trusts and Receipt of
Certain Foreign Gifts,andForm
3520–A,Annual Informat
ion Return of Foreign Trust With a
U.S. Owner, filing obl
igations that otherwise apply to U.S. citi-
zens and resident alie
ns who hold interests in RRSPs and RRIFs
and to the custodians
of such plans. Notices 97–34 (section
II-E), 2003–25, and 2
003–57 superseded.
December 15, 20032003-50 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.
2003-50 I.R.B.December 15, 2003

Part I. Rulings and Decisions Under the Internal Revenue Code of 1986
Section 1.—Tax Imposed
Section 1(h) of the Code provides that certain div-
idends paid to an individual shareholder from either
a domestic corporation or a "qualified foreign corpo-
ration" are subject to tax at the reduced rates applica-
ble to certain capital gains. See Notice 2003-79, page
1206.
Section 170.—Charitable,
etc., Contributions and Gifts
Is a trust allowed a charitable deduction under sec-
tion 642(c) of the Internal Revenue Code or a distribu-
tion deduction under section 661(a)(2) with respect to
a contribution to charity of trust principal that meets
the requirements of a qualified conservation contribu-
tion under section 170(h)? See Rev. Rul. 2003-123,
page 1200.
Section 401.—Qualified
Pension, Profit-Sharing, and
Stock Bonus Plans
26 CFR 1.401(a)–2: Impossibility of diversion under
qualified plan or trust.
A revenue procedure describes limited relief from
disqualification for certain defined contribution re-
tirement plans currently maintained by Professional
Employer Organizations. See Rev. Proc. 2003-86,
page 1211.
Section 641.—Imposition
of Tax
26 CFR 1.641(a)–2: Gross income of estates and
trusts.
Is a trust allowed a charitable deduction under sec-
tion 642(c) of the Internal Revenue Code or a distribu-
tion deduction under section 661(a)(2) with respect to
a contribution to charity of trust principal that meets
the requirements of a qualified conservation contribu-
tion under section 170(h)? See Rev. Rul. 2003-123,
page 1200.
Section 642.—Special Rules
for Credits and Deductions
26 CFR 1.642(c)–1: Unlimited deduction for
amounts paid for a charitable purpose.
(Also §§ 170, 661, 662, 663; 1.641(a)–2,
1.663(a)–2.)
Qualified conservation contribution.
This ruling clarifies the Service’s position
that a trust is not allowed either a charitable
deduction under section 642(c) or a distri-
bution deduction under section 661(a)(2)
of the Code with respect to a contribution
to charity of trust principal that meets the
requirements of a qualified conservation
contribution under section 170(h). Rev.
Rul. 68–667 amplified.
Rev. Rul. 2003–123
ISSUE
Is a trust allowed a charitable deduc-
tion under § 642(c) of the Internal Rev-
enue Code or a distribution deduction un-
der § 661(a)(2) with respect to a contribu-
tion to charity of trust principal that meets
the requirements of a qualified conserva-
tion contribution under § 170(h)?
FACTS
Trust is a complex trust subject to the
provisions of §§ 661–663. Since its incep-
tion, Trust has owned two adjacent parcels
of real property located in StateA.One
parcel is 20 acres of undeveloped land,
and the other parcel is 50 acres with im-
provements. The governing instrument of
Trust authorizes the trustee to make contri-
butions to charity, including contributions
of Trust’s gross income. The trustee con-
veys a perpetual conservation easement,
valued at $10x, in the 20-acre parcel to
State Agency, an organization described
in § 170(c)(1). The contribution meets
the requirements of a qualified conserva-
tion contribution within the meaning of
§ 170(h). For the year of the contribution,
Trust’s gross income is $20x, and no distri-
butions are made to Trust’s beneficiaries.
LAW AND ANALYSIS
Section 642(c)(1) provides that a trust
(other than a trust subject to §§ 651 and
652) is allowed a deduction in computing
its taxable income for any amount of gross
income, without limitation, that pursuant
to the terms of the governing instrument is,
during the taxable year, paid for a purpose
specified in § 170(c) (determined without
regard to § 170(c)(2)(A)). This deduction
is in lieu of the charitable deduction al-
lowedby§170(a).
Section 1.641(a)–2 of the Income Tax
Regulations provides that the gross income
of an estate or trust is determined in the
same manner as that of an individual.
Section 661(a) provides that a trust
(other than a trust subject to §§ 651 and
652) is allowed as a deduction in com-
puting its taxable income the sum of (1)
any amount of income for the taxable
year required to be distributed currently
(including any amount required to be dis-
tributed that may be paid out of income
or corpus to the extent the amount is paid
out of income for the taxable year) and
(2) any amount properly paid or credited
or required to be distributed for a taxable
year. The deduction, however, cannot
exceed the distributable net income of the
trust.
Section 662(a) provides that the benefi-
ciary of a trust must include in the benefi-
ciary’s gross income the amount described
in § 661(a) that is paid, credited, or re-
quired to be distributed by the trust to that
beneficiary.
Section 663(a)(2) provides that any
amount paid or permanently set aside or
otherwise qualifying for the deduction
provided in § 642(c) (computed without
regard to §§ 508(d), 681, and 4948(c)(4))
shall not be included as an amount falling
within §§ 661(a) and 662(a).
Section 1.663(a)–2 provides that any
amount that is paid, permanently set aside,
or to be used for the charitable purposes
specified in § 642(c) and that is allowable
as a deduction under that section is not al-
lowed as a deduction to an estate or trust
under § 661 or treated as an amount dis-
tributed for purposes of determining the
amounts includible in gross income of ben-
eficiaries under § 662. Amounts paid, per-
manently set aside, or to be used for chari-
table purposes are deductible by estates or
trusts only as provided in § 642(c).See
alsoRev. Rul. 68–667, 1968–2 C.B.
289, holding that an amount paid to char-
ity from a trust’s corpus does not qualify
either for the charitable deduction under
§ 642(c) or for the distribution deduction
under § 661(a)(2).
Under § 642(c), a trust is generally
allowed an unlimited charitable deduc-
tion for amounts that are paid from gross
income for charitable purposes pursuant
to the terms of the governing instrument.
Because § 642(c) specifically requires
that a charitable deduction is available
only if the source of the contribution is
2003-50 I.R.B.1200December 15, 2003

gross income, tracing of the contribu-
tion is required in determining its source.
Van Buren v. Commissioner,89T.C.
1101, 1109 (1987);Riggs National Bank
v. United States, 352 F.2d 812 (Ct. Cl.
1965);Mott v. United States, 462 F.2d
512 (Ct. Cl. 1972),cert. denied,409
U.S. 1108 (1973);see also Crestar Bank
v. Internal Revenue Service, 47 F. Supp.
2d 670 (E.D. Va. 1999).
In the present situation, Trust’s con-
tribution of the conservation easement in
the 20-acre parcel is made pursuant to the
terms of Trust’s governing instrument.
The contribution meets the requirements
of a qualified conservation contribution
within the meaning of § 170(h) and thus
is for a charitable purpose. The charitable
contribution, however, is made with re-
spect to Trust principal, not from the gross
income of Trust. Because the contribu-
tion of the conservation easement is not
paid from Trust’s gross income, Trust is
not allowed a charitable deduction under
§ 642(c) for the contribution.
Furthermore, no deduction is allowed
under § 661(a)(2) because amounts paid,
permanently set aside, or to be used
for charitable purposes are deductible
by trusts only as provided in § 642(c).
Section 1.663(a)–2.See also U.S. Trust
Company v. Internal Revenue Service,803
F.2d 1363 (5
th
Cir. 1986);Mott,supra;
Rev. Rul. 68–667.
HOLDING
A trust is not allowed a charitable de-
duction under § 642(c) and is not allowed
a distribution deduction under § 661(a)(2)
with respect to a contribution to charity
of trust principal that meets the require-
ments of a qualified conservation contribu-
tion under § 170(h).
EFFECT ON OTHER REVENUE
RULING
Rev. Rul. 68–667 is amplified.
DRAFTING INFORMATION
The principal author of this revenue rul-
ing is DeAnn K. Malone of the Office of
the Associate Chief Counsel (Passthroughs
and Special Industries). For further infor-
mation regarding this revenue ruling, con-
tact DeAnn K. Malone at (202) 622–7830
(not a toll-free call).
Section 661.—Deduction
for Estates and Trusts
Accumulating Income or
Distributing Corpus
Is a trust allowed a distribution deduction under
section 661(a)(2) with respect to a contribution to
charity of trust principal that meets the requirements
of a qualified conservation contribution under section
170(h)? See Rev. Rul. 2003-123, page 1200.
Section 662.—Inclusion of
Amounts in Gross Income of
Beneficiaries of Estates and
Trusts Accumulating Income
or Distributing Corpus
Is a trust allowed a distribution deduction under
section 661(a)(2) with respect to a contribution to
charity of trust principal that meets the requirements
of a qualified conservation contribution under section
170(h)? See Rev. Rul. 2003-123, page 1200.
Section 663.—Special
Rules Applicable to Sections
661 and 662
26 CFR 1.663(a)–2: Charitable, etc., distr
ibutions.
Is a trust allowed a distribution deduct
ion under
section 661(a)(2) with respect to a con
tribution to
charity of trust principal that meets t
he requirements
of a qualified conservation contribu
tion under section
170(h)? See Rev. Rul. 2003-123, page 1
200
.
Section 3201.—Rate of Tax
A notice publishes the tier 2 Railroad Retirement
Tax Act (RRTA) tax rates for 2004 under sections
3201(b), 3221(b), and 3211(b) of the Internal Rev-
enue Code. See Notice 2003-78, page 1205.
Section 3211.—Rate of Tax
A notice publishes the tier 2 Railroad Retirement
Tax Act (RRTA) tax rates for 2004 under sections
3201(b), 3221(b), and 3211(b) of the Internal Rev-
enue Code. See Notice 2003-78, page 1205.
Section 3221.—Rate of Tax
A notice publishes the tier 2 Ra
ilroad Retirement
Tax Act (RRTA) tax rates for 20
04 under sections
3201(b), 3221(b), and 3211(b) of the Internal Rev-
enue Code. See Notice 2003-78, page 1205.
Section 3241.—Determi-
nation of Tier 2 Tax Rate
Based on Average Account
Benefits Ratio
A notice publishes the tier 2 Railroad Retirement
Tax Act (RRTA) tax rates for 2004 under sections
3201(b), 3221(b), and 3211(b) of the Internal Rev-
enue Code. See Notice 2003-78, page 1205.
Section 6031(a).—Return of
Partnership Income
26 CFR 1.6031(a)–1: Return of partnership income.
T.D. 9094
DEPARTMENT OF
THE TREASURY
Internal Revenue Service
26 CFR Part 1
Return of Partnership Income
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Final and temporary regula-
tions.
SUMMARY: This document contains final
and temporary regulations that authorize
the Commissioner to provide exceptions
to the requirements of section 6031(a)
of the Internal Revenue Code for certain
partnerships by guidance published in the
Internal Revenue Bulletin. The text of
these temporary regulations also serves
as the text of the proposed regulations
(REG–115472–03) set forth in this issue
of the Bulletin.
DATES:Effective Date: These regulations
are effective November 5, 2003.
Applicability Date: For dates of ap-
plicability, see §§1.6031(a)–1(f)(2) and
1.6031(a)–1T(f)(2).
FOR FURTHER INFORMATION
CONTACT: David A. Shulman, (202)
622–3070 (not a toll-free number
).
December 15, 200312012003-50 I.R.B.

SUPPLEMENTARY INFORMATION:
Background
A partnership may be used to create the
economic equivalent of a variable-rate tax-
exempt bond. The partnership acquires
a tax-exempt obligation and issues both
interests that are entitled to preferred re-
turns based on current short-term yields on
tax-exempt obligations (variable-rate in-
terests) and interests that are entitled to the
rest of the partnership’s income (inverse
interests). As a consequence of this struc-
ture, the partner that holds a variable-rate
interest in the partnership receives a return
that is equivalent to the return on a vari-
able-rate tax-exempt bond. Under section
702(b), income received by a partnership
generally retains its character when allo-
cated to a partner.
Section 6031(a) requires every partner-
ship to make a return for each taxable
year stating specifically the items of its
gross income and the deductions allow-
able by subtitle A of the Internal Revenue
Code, as well as other specified informa-
tion. Section 6031(b) requires every part-
nership that is required to file a return un-
der section 6031(a) to provide each person
who is a partner with such information as
may be required by regulations. Section
1.6031(b)–1T(a)(3) provides that the part-
ner must be provided such information as
is required by any form or instructions that
may be required. Generally, a Schedule
K–1 (Form 1065) must be provided to each
partner.
Section 404 of the Tax Equity and
Fiscal Responsibility Act of 1982 (Public
Law 97–248; 96 Stat. 324, 669) (TEFRA)
authorizes regulations that provide excep-
tions to the filing requirement of section
6031. Current §1.6031(a)–1(a)(3) and (c)
provides exceptions for partnerships that
have no income, deductions, or credits
for a taxable year and for eligible part-
nerships that elect to be excluded from
the application of subchapter K in the
manner specified by §1.761–2(b)(2)(i)
or are deemed to have so elected under
§1.761–2(b)(2)(ii).
The Treasury Department and the IRS
believe that it is in the interest of sound
and efficient administration of the tax laws
to permit the Commissioner to provide in
a timely and flexible manner for an ad-
ditional exception to the requirements of
section 6031(a) in situations in which all
or substantially all of the partnership’s in-
come is derived from the holding or dispo-
sition of tax-exempt obligations or shares
in a regulated investment company (as de-
fined in section 851(a)) (RIC) that pays ex-
empt-interest dividends (as defined in sec-
tion 852(b)(5)).
Explanation of Provisions
Under temporary regulations, the Com-
missioner may, in guidance published in
the Internal Revenue Bulletin, provide an
exception to the reporting requirements of
section 6031(a) for partnerships in situa-
tions in which all or substantially all of the
partnership’s income is derived from the
holding or disposition of tax-exempt obli-
gations (as defined in section 1275(a)(3)
and §1.1275–1(e)) or shares in a RIC that
pays exempt-interest dividends (as defined
in section 852(b)(5)). The exception may
be conditioned on substitute reporting and
eligibility and other requirements. In con-
junction with issuance of this temporary
regulation, the Commissioner is publish-
ing Rev. Proc. 2003–84, 2003–48 I.R.B.
1159, which provides for an exception to
section 6031 for specified eligible partner-
ships.
Effective Date
These regulations are effecti
ve Novem-
ber 5, 2003.
Special Analyses
These temporary regulations are neces-
sary to allow the publication of guidance
in the Internal Revenue Bulletin to reduce
the burden on certain partnerships. Ac-
cordingly, good cause is found for dispens-
ing with notice and public procedure pur-
suantto5U.S.C.553(b)(B)andwithade-
layed effective date pursuant to 5 U.S.C.
553(d)(1) and (3). It has been determined
that this Treasury decision is not a signifi-
cant regulatory action as defined in Exec-
utive Order 12866. Therefore, a regula-
tory assessment is not required. Because
no preceding notice of proposed rulemak-
ing is required for this temporary regula-
tion, the provisions of the Regulatory Flex-
ibility Act do not apply. 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 its
impact on small business.
Drafting Information
The principal author of these reg-
ulations is David A. Shulman of the
Office of the Associate Chief Counsel
(Passthroughs & Special Industries), IRS.
However, other personnel from the IRS
and Treasury Department participated in
their development.
*****
Amendments to the Regulations
Accordingly, 26 CFR part 1 is amended
as follows:
PART 1—INCOME TAXES
Paragraph 1. The authority citation for
part 1 is amended by adding the following
citation:
Authority: 26 U.S.C. 7805. * * *
Section 1.6031(a)–1T is also issued un-
der section 404 of the Tax Equity and Fis-
cal Responsibility Act of 1982 (Public Law
97–248; 96 Stat. 324, 669) (TEFRA). * * *
Par. 2. Section 1.6031(a)–1 is amended
as follows:
1. In paragraph (a)(1), the first sen-
tence is amended by adding the language
“and §1.6031(a)–1T” immediately follow-
ing the language “of this section”.
2. The text of paragraph (a)(3) is redes-
ignated as paragraph (a)(3)(i).
3. Paragraph (a)(3)(ii) is added.
4. Paragraph (f) is revised.
The additions and revisions read as fol-
lows:
§1.6031(a)–1 Return of partnership
income.
(a) * * *
(3)***(i)***
(ii) [Reserved]. For further guidance
see §1.6031(a)–1T(a)(3)(ii).
*****
(f)Effective dates. This section applies
to taxable years of a partnership beginning
after December 31, 1999, except that—
(1) Paragraph (b)(3) of this section ap-
plies to taxable years of a foreign partner-
ship beginning after December 31, 2000;
and
2003-50 I.R.B.1202December 15, 2003

(2) [Reserved]. For further guidance,
see §1.6031(a)–1T(f)(2).
Par. 3. Section 1.6031(a)–1T is added
to read as follows:
§1.6031(a)–1T Return of partnership
income (temporary).
(a) through (a)(3)(i) [Reserved]. For
further guidance, see §1.6031(a)–1(a)
through (a)(3)(i).
(ii) The Commissioner may, in guid-
ance published in the Internal Revenue
Bulletin (see §601.601(d)(2)(ii)(b)ofthis
chapter), provide for an exception to part-
nership reporting under section 6031 and
for conditions for the exception, if all or
substantially all of a partnership’s income
is derived from the holding or disposition
of tax-exempt obligations (as defined in
section 1275(a)(3) and §1.1275–1(e)) or
shares in a regulated investment company
(as defined in section 851(a)) that pays
exempt-interest dividends (as defined in
section 852(b)(5)).
(a)(4) through (f)(1) [Reserved]. For
further guidance, see §1.6031(a)–1(a)(4)
through (f)(1).
(f)(2)Effective dates.Paragraph
(a)(3)(ii) of this section applies to tax-
able years of a partnership beginning on
or after November 5, 2003. The applica-
bility of paragraph (a)(3)(ii) of this section
expires on or before November 6, 2006.
Mark E. Matthews,
Deputy Commissioner for
Services and Enforcement.
Approved October 30, 2003.
Pamela F. Olson,
Assistant Secretary of the Treasury.
(Filed by the Office of the Federal Register on Novemb
er 5,
2003, 1:41 p.m., and published in the issue of the Federal
Register for November 10, 2003, 68 F.R. 63733)
Section 6042.—Returns
Regarding Payments of
Dividends and Corporate
Earnings and Profits
A notice provides guidance for persons required
to make returns and provide statements under section
6042 (e.g., Form 1099-DIV) regarding distributions
with respect to securities issued by a foreign corpo-
ration, and for individuals receiving such statements.
See Notice 2003-79, page 1206.
Section 6048.—Information
With Respect to Certain
Foreign Trusts
A notice describes information reporting for cer-
tain Canadian retirement plans. See Notice 2003-75,
page 1204.
December 15, 200312032003-50 I.R.B.

Part III. Administrative, Procedural, and Miscellaneous
RRSP and RRIF Information
Reporting
Notice 2003–75
SECTION 1. BACKGROUND.
Notice 2003–25, 2003–18 I.R.B. 855,
and Notice 2003–57, 2003–34 I.R.B. 397,
provided guidance to taxpayers regard-
ing their 2002 taxable year information
reporting obligations with respect to
Canadian registered retirement savings
plans (“RRSPs”) and registered retire-
ment income funds (“RRIFs”). These
Notices stated that Treasury and the IRS
intended to develop an alternative, simpli-
fied reporting regime for these Canadian
retirement plans for future taxable years.
This notice describes the new simplified
reporting regime that Treasury and the IRS
have developed for taxpayers who hold in-
terests in RRSPs and RRIFs. The new re-
porting regime, which is effective for tax-
able years beginning after December 31,
2002, is in lieu of the filing obligations
under section 6048 (Form 3520,Annual
Return to Report Transactions With For-
eign Trusts and Receipt of Certain Foreign
Gifts, and Form 3520–A,Annual Informa-
tion Return of Foreign Trust With a U.S.
Owner) that otherwise apply to U.S. citi-
zens and resident aliens who hold interests
inRRSPsandRRIFsandtothecustodians
of such plans. The new simplified report-
ingregimeisdesignedtopermittaxpayers
to meet their reporting obligations by us-
ing information that is readily available to
them.
SECTION 2. NEW REPORTING
REGIME.
.01.New Form. Under the authority
of section 6001 of the Internal Revenue
Code, Treasury and the IRS are designing
a new form that a U.S. citizen or resident
alien who holds an interest in an RRSP or
RRIF must complete and attach to his or
her Form 1040. The new form also will
coordinate the reporting rules with the
procedure set forth in section 4 of Rev-
enue Procedure 2002–23, 2002–1 C.B.
744, for making the election under Article
XVIII(7) of the U.S.-Canada income tax
convention to defer U.S. income taxation
of income accrued in the RRSP or RRIF.
.02.Interim Reporting Rules for Bene-
ficiaries Making the Election to Defer U.S.
Income Taxation on Income of an RRSP or
RRIF. Until the form referred to in section
2.01 of this notice is available, any U.S. cit-
izen or resident alien who is a beneficiary
(as defined in section 2.06 of this notice)
of an RRSP or RRIF and who has made
the election described in section 4 of Rev-
enue Procedure 2002–23 with respect to
the RRSP or RRIF, or who is making such
election effective for the 2003 taxable year
and subsequent taxable years, must
i. attach a copy of each such election to
his or her Form 1040;
ii. indicate the balance in each RRSP or
RRIF at the end of the taxable year
either on the copy of the election or by
attaching a copy of a statement issued
by the custodian of the RRSP or RRIF;
and
iii. comply with section 2.05 of this no-
tice if he or she has received any dis-
tributions during the taxable year from
such RRSP or RRIF.
.03.Interim Reporting Rules for Ben-
eficiaries Not Making the Election to De-
fer U.S. Income Taxation on Income of an
RRSP or RRIF. Until the form referred to
in section 2.01 of this notice is available,
any U.S. citizen or resident alien who is a
beneficiary (as defined in section 2.06 of
this notice) of an RRSP or RRIF and who
has not made the election described in sec-
tion 4 of Revenue Procedure 2002–23 with
respect to the RRSP or RRIF, and who is
not making such election for the 2003 tax-
able year, must attach a statement to his or
her Form 1040 that includes the following
information:
i. The caption “CANADIAN RRSP” or
“CANADIAN RRIF,” whichever is
applicable;
ii. The taxpayer’s name and taxpayer
identification number;
iii. The taxpayer’s address;
iv. The name and address of the custodian
of the RRSP or RRIF and the plan
account number, if any;
v. The amount of contributions to the
RRSP or RRIF during the taxable
year;
vi. The undistributed earnings of the
RRSP or RRIF during the taxable
year in each of the following cate-
gories: interest, dividends, capital
gains, and other;
vii. The total amount of distributions re-
ceived from the RRSP or RRIF during
the taxable year; and
viii. The balance in the RRSP or RRIF at
the end of the taxable year.
The taxpayer must provide a separate state-
ment for each RRSP or RRIF of which he
or she is a beneficiary. In addition to at-
taching the statement described in this sec-
tion 2.03 to his or her Form 1040, the tax-
payer must report the undistributed earn-
ings for that taxable year of all such RRSPs
and RRIFs on Schedule B (Interest and Or-
dinary Dividends) or D (Capital Gains and
Losses), as appropriate, and on line 8a,
9, 13, or 21 of the Form 1040. The tax-
payer must also comply with section 2.05
of this notice if the taxpayer has received
any distributions during the taxable year
from such RRSP or RRIF.
.04.Interim Reporting Rules for An-
nuitants of RRSPs and RRIFs. Until the
form referred to in section 2.01 of this no-
tice is available, if a U.S. citizen or resi-
dent alien is an annuitant (as defined in sec-
tion 2.06 of this notice) under an RRSP or
RRIF that has no beneficiary (as defined in
section 2.06 of this notice), and the annui-
tant receives a distribution from the RRSP
or RRIF, the annuitant must in the year of
distribution attach a statement to his or her
Form 1040 that includes the following in-
formation:
i. The caption “ANNUITANT UNDER
CANADIAN RRSP” or “ANNUI-
TANT UNDER CANADIAN RRIF,”
whichever is applicable;
ii. The annuitant’s name and taxpayer
identification number;
2003-50 I.R.B.1204December 15, 2003

iii. The annuitant’s address;
iv. The name and address of the custodian
of the RRSP or RRIF and the plan
account number, if any;
v. The total amount of distributions re-
ceived from the RRSP or RRIF during
the taxable year; and
vi. The balance in the RRSP or RRIF at
the end of the taxable year.
The annuitant must provide a separate
statement for each such RRSP or RRIF
from which he or she has received a dis-
tribution during the taxable year. The
annuitant must comply with section 2.05
of this notice with respect to such distri-
butions.
.05.Distributions. A U.S. citizen or
resident alien who has received any dis-
tributions during the taxable year from
an RRSP or RRIF must report the total
amount of distributions received during
the taxable year from all such RRSPs and
RRIFs on line 16a of the Form 1040 and
the taxable amount of all such distribu-
tions (as determined under section 72) on
line 16b of the Form 1040.
.06.Definition of Beneficiary and An-
nuitant.For purposes of the new simpli-
fied reporting regime described in this no-
tice, a beneficiary of an RRSP or RRIF
is an individual who is subject to current
U.S. income taxation on income accrued in
the RRSP or RRIF or would be subject to
such taxation had the individual not made
the election under Article XVIII(7) of the
U.S.-Canada income tax convention to de-
fer U.S. income taxation of income ac-
crued in the RRSP or RRIF. For these pur-
poses, an annuitant of an RRSP or RRIF is
an individual who is designated pursuant
to the RRSP or RRIF as an annuitant.
.07.Record Retention. Taxpayers must
retain supporting documentation relating
to information required by the new report-
ing regime, including Canadian Forms
T4RSP, T4RIF, or NR4, and periodic or
annual statements issued by the custodian
of the RRSP or RRIF.
SECTION 3. SECTIONS 6048 AND
6677 ARE NOT APPLICABLE
The new simplified reporting regime,
instituted under the authority of section
6001, provides the information needed for
tax compliance purposes. Therefore, pur-
suant to section 6048(d)(4), no reporting
will be required under section 6048 with
respect to RRSPs and RRIFs that have
beneficiaries or annuitants who are sub-
ject to the new simplified reporting regime.
Accordingly, the associated penalties de-
scribedinsection6677donotapplyto
such RRSPs and RRIFs and their benefi-
ciaries or annuitants. A beneficiary or an-
nuitant of an RRSP or RRIF may, however,
be subject to other penalties.
SECTION 4. EFFECT ON OTHER
DOCUMENTS.
Notice 2003–25, Notice 2003–57, and
section II.E of Notice 97–34 (pertaining to
reporting for certain transfers to RRSPs),
1997–1 C.B. 422, are superseded to the
extent inconsistent with this notice.
SECTION 5. EFFECTIVE DATE.
This notice is effective for taxable years
beginning after December 31, 2002.
SECTION 6. PAPERWORK
REDUCTION ACT.
The collection of information contained
in this notice has been reviewed and ap-
proved by the Office of Management and
Budget in accordance with the Paperwork
Reduction Act (44 U.S.C. 3507) under
control number 1545–1865.
An agency may not conduct or sponsor,
and a person is not required to respond
to, a collection of information unless the
collection of information displays a valid
OMB control number.
The collection of information in this no-
tice is in section 2. This information will
be used to compute and collect the right
amount of tax. The likely respondents are
individuals.
The estimated total annual reporting
burden under the new simplified reporting
regime for taxpayers who hold interests in
RRSPs and RRIFs is 1,500,000 hours. The
estimated annual burden per respondent
varies from 0.5 hour to 5 hours, depending
on individual circumstances, with an esti-
mated average of 2 hours. The estimated
number of respondents is 750,000.
The estimated annual frequency of re-
sponses is once per respondent per plan.
The new simplified reporting regime
substantially reduces the reporting burden
of taxpayers who hold interests in RRSPs
and RRIFs. Under the prior regime, the av-
erage estimated reporting burden was more
than 50 hours per Form 3520 (more than
100 hours per respondent). In addition,
the new simplified reporting regime elimi-
nates the requirement to file Form 3520–A,
reducing the burden of a custodian by more
than 40 hours per RRSP or RRIF.
Books or records relating to a collection
of information must be retained as long
as their contents may become material in
the administration of any internal revenue
law. Generally, tax returns and tax return
information are confidential, as required
by 26 U.S.C. 6103.
SECTION 7. DRAFTING
INFORMATION.
The principal author of this notice is
Willard W. Yates of the Office of Associate
Chief Counsel (International). For further
information regarding this notice, contact
Willard W. Yates at (202) 622–3880 (not a
toll-free call).
Tier 2 Tax Rates for 2004
Notice 2003–78
This notice publishes the tier 2 Rail-
road Retirement Tax Act (RRTA) tax rates
for 2004 under §§ 3201(b), 3221(b), and
3211(b) of the Internal Revenue Code for
railroad employees, employers, and em-
ployee representatives, respectively. For
2004, the tier 2 tax rate on employees is
4.9 percent of compensation and the tier 2
tax rate on employers and employee repre-
sentatives is 13.1 percent of compensation.
BACKGROUND
Under RRTA, railroad employment is
subject to a separate and distinct system
of taxes from the taxes imposed under
the Federal Insurance Contributions Act
(Old-Age, Survivors, and Disability In-
surance (social security) and Hospital
Insurance (Medicare) taxes), which covers
most other employees. Parts of the RRTA
system are the responsibility of Internal
Revenue Service and parts of the system
are the responsibility of the U. S. Railroad
Retirement Board (RRB), an independent
agency of the Federal Government. The
December 15, 200312052003-50 I.R.B.

role of the RRB is to administer the bene-
fits under the railroad retirement system.
The taxes under the RRTA on com-
pensation paid to railroad employees and
employee representatives (a group unique
to the railroad industry) are the primary
source of funding for the railroad retire-
ment system. There are two levels of taxes
or “tiers.” Tier 1 provides equivalent social
security and Medicare benefits, and tier 2
provides a private pension benefit.
Tier 1 benefits are financed by tier 1
taxes imposed under §§ 3201(a), 3211(a),
and 3221(a). The same tax rates apply to
employees and employers. The tier 1 tax
rate is 7.65 percent (6.2 percent for rail-
road retirement and 1.45 percent for Medi-
care). Tier 1 uses the same annual contri-
bution and benefit base as the social secu-
rity wage base for earnings subject to the
6.2 percent rate. The contribution and ben-
efit base is $87,900 for compensation paid
in 2004.See68 Fed. Reg. 60,437 (Oct.
22, 2003). There is no maximum on earn-
ings subject to tier 1 tax at the 1.45 percent
rate for Medicare. The tier 1 tax rates for
employee representatives are 12.4 percent
for railroad retirement and 2.9 percent for
Medicare.
Tier 2 benefits are financed by tier 2
taxes imposed under §§ 3201(b), 3211(b),
and 3221(b). A separate annual base ap-
plies to the tier 2 tax. The contribution and
benefit base is $65,100 for compensation
paid in 2004.See68 Fed. Reg. 60,437
(Oct. 22, 2003). The tax rates for tier 2
differ from those applicable for tier 1 and
tier 2 tax is not assessed equally on the em-
ployer and employee (the employer pays a
significantly greater share of this tax).
The Railroad Retirement and Sur-
vivors’ Improvement Act of 2001 (Act),
Pub. L. 107–90, 115 Stat. 878, set the tier
2 tax rates for 2002 and 2003. Under the
Act, the tier 2 tax rates for employers were
15.6 percent for 2002 and 14.2 percent for
2003. The tier 2 tax rates for employee
representatives were 14.75 percent for
2002 and 14.2 percent for 2003. The tier 2
tax rate for employees was 4.9 percent for
2002 and 2003. The Act also provided a
means of determining future adjustments
in the tier 2 tax rates, depending on rail-
road retirement fund levels. This change
allows tier 2 tax rates to “be raised or low-
ered automatically, without further action
by Congress, depending on the level of
funds available to pay benefits.” H.R. Rep.
No. 82, 107
th
Cong., 1
st
Sess., 13 (2001).
Beginning with 2004, tier 2 tax rates
will be based on an average account bene-
fits ratio. Section 3241(c)(1) provides that
the term “average account benefits ratio”
means, with respect to any calendar year,
the average determined by the Secretary of
the Treasury of the account benefits ratios
for the 10 most recent fiscal years ending
before such calendar year. The account
benefits ratios, used to determine the av-
erage account benefits ratio, are computed
by the RRB. Pursuant to 45 U.S.C. § 231v,
each year the RRB must compute the ac-
count benefits ratio for the fiscal year end-
ing in such year and certify the account
benefits ratio for such fiscal year to the
Secretary of the Treasury.See20 C.F.R.
§§ 206.1 and 206.2 (2003) for information
on how the account benefits ratios are com-
puted.
Section 3241(b) provides the schedule
for the tier 2 tax rates based on the aver-
age account benefits ratio. Depending on
the average account benefits ratio, the tier
2 tax rate for employers and employee rep-
resentatives will range between 8.2 percent
and 22.1 percent, while the tier 2 tax rate
for employees will be between 0 percent
and 4.9 percent.
The average of the account benefits ra-
tios certified by RRB for the 10 most re-
cent fiscal years ending before 2004, in-
creased to the next highest multiple of 0.1,
is 5.9. Section 3241(b) provides that, if
the average account benefits ratio is at least
4.0, but less than 6.1, the applicable per-
centage for employers and employee rep-
resentatives under §§ 3221(b) and 3211(b),
respectively, is 13.1 percent and the ap-
plicable percentagefor employees under
§ 3201(b) is 4.9 percent.
TIER 2 TAX RATES
The tier 2 tax rate on employees will re-
main at 4.9 percent in 2004, but the tier 2
tax rates on employers and employee rep-
resentatives will decrease to 13.1 percent
in 2004. These rates were published in the
Federal Register on November 25, 2003,
as required by § 3241(d).
DRAFTING INFORMATION
The principal author of this notice is
Margaret A. Owens of the Office of Asso-
ciate Chief Counsel (Tax Exempt and Gov-
ernment Entities). For further information
regarding this notice, contact Margaret A.
Owens at (202) 622–6040 (not a toll-free
call).
Information Reporting for
Distributions With Respect to
Securities Issued by Foreign
Corporations
Notice 2003–79
SECTION 1. OVERVIEW
The Jobs and Growth Tax Relief Rec-
onciliation Act of 2003 (P.L. 108–27, 117
Stat. 752) (the “2003 Act”) was enacted
on May 28, 2003. Subject to certain lim-
itations, the 2003 Act generally provides
that a dividend paid to an individual share-
holder from either a domestic corporation
or a “qualified foreign corporation” is sub-
ject to tax at the reduced rates applica-
ble to certain capital gains. A qualified
foreign corporation includes certain for-
eign corporations that are eligible for ben-
efits of a comprehensive income tax treaty
with the United States which the Secretary
determines is satisfactory for purposes of
this provision and which includes an ex-
change of information program. In addi-
tion, a foreign corporation not otherwise
treated as a qualified foreign corporation
is so treated with respect to any dividend
it pays if the stock with respect to which
it pays such dividend is readily tradable
on an established securities market in the
United States.
This notice provides guidance for per-
sons required to make returns and provide
statements under section 6042 of the Inter-
nal Revenue Code (e.g., Form 1099–DIV)
regarding distributions with respect to se-
curities issued by a foreign corporation,
and for individuals receiving such state-
ments. The notice provides simplified pro-
cedures for persons required to make such
returns and provide such statements for
2003. The notice also describes when a se-
curity (or an American depositary receipt
in respect of such security) issued by a for-
eign corporation that is other than ordinary
2003-50 I.R.B.1206December 15, 2003

or common stock (such as preferred stock)
will satisfy the readily tradable test (as de-
scribedinSection2.01below). Theno-
tice also describes generally the certifica-
tion process that Treasury and the IRS in-
tend to develop for future years.
Section 2 of this notice describes the
“qualified foreign corporation” determina-
tion under the 2003 Act and describes the
information reporting requirements with
respect to dividends generally. Section 3
addresses the determinations required un-
der the 2003 Act for information reporting
of a distribution with respect to a security
of a foreign corporation, including how
the readily tradable test applies to a secu-
rity that is other than ordinary or common
stock. Section 4 sets forth simplified pro-
cedures for information reporting for 2003.
Section 5 briefly describes the certification
procedure Treasury and the IRS intend to
develop for use beginning in 2004.
SECTION 2. BACKGROUND
.01The 2003 Act
Section 1(h)(1) of the Internal Revenue
Code generally provides that a taxpayer’s
“net capital gain” for any taxable year
will be subject to a maximum tax rate of
15 percent (or 5 percent in the case of
certain taxpayers). The 2003 Act added
section 1(h)(11), which provides that net
capital gain for purposes of section (1)(h)
means net capital gain (determined with-
out regard to section 1(h)(11)) increased
by “qualified dividend income”. Qual-
ified dividend income means dividends
received during the taxable year from
domestic corporations and “qualified for-
eign corporations.” Section 1(h)(11)(B)(i).
Subject to certain exceptions, a qualified
foreign corporation is any foreign corpo-
ration that is either (i) incorporated in a
possession of the United States (the “pos-
sessions test”), or (ii) eligible for benefits
of a comprehensive income tax treaty with
the United States which the Secretary
determines is satisfactory for purposes
of this provision and which includes an
exchange of information program (the
“treaty test”).
1
Section 1(h)(11)(C)(i).
Subject to the same exceptions, a foreign
corporation that does not satisfy either
of these two tests is treated as a quali-
fied foreign corporation with respect to
anydividendpaidbysuchcorporation
if the stock with respect to which such
dividend is paid is readily tradable on an
established securities market in the United
States (the “readily tradable test”).
2
Sec-
tion 1(h)(11)(C)(ii). A qualified foreign
corporation does not include any foreign
corporation which for the taxable year
of the corporation in which the dividend
was paid, or the preceding taxable year,
is a foreign personal holding company
(as defined in section 552) (a “FPHC”), a
foreign investment company (as defined
in section 1246(b)) (a “FIC”), or a passive
foreign investment company (as defined
in section 1297) (a “PFIC”) (the “foreign
investment company exclusion test”).
Section 1(h)(11)(C)(iii).
A distribution with respect to a secu-
rity issued by a qualified foreign corpora-
tion also is subject to the other limitations
in section 1(h)(11). In particular, the re-
cipient must satisfy the holding period re-
quirements of section 1(h)(11)(B)(iii) (the
“holding period test”). In addition, the
distribution must constitute a dividend for
U.S. federal income tax purposes. Accord-
ingly, the security with respect to which the
distribution is made must be equity rather
than debt for U.S. federal income tax pur-
poses (the “equity test”), and the distribu-
tion must be out of the corporation’s earn-
ings and profits rather than a return of cap-
ital (the “E&P test”).
The determination whether a distribu-
tion with respect to a security issued by
a foreign corporation is eligible for the
reduced rates of tax under the 2003 Act
therefore requires a series of separate de-
terminations. These determinations are
discussedinmoredetailinSection3.First,
the security with respect to which the dis-
tribution is made must satisfy the equity
test. Second, the distribution must satisfy
the E&P test. Third, the security must sat-
isfy the readily tradable test, or the foreign
corporation must satisfy either the posses-
sions test or the treaty test. Fourth, the for-
eign corporation must satisfy the foreign
investment company exclusion test. Fifth,
the recipient of the distribution must sat-
isfy the holding period test.
.02Information Reporting
In General. Any person that makes
payments of dividends aggregating $10 or
more during any calendar year, or any per-
son that receives payments of dividends as
a nominee and makes payments aggregat-
ing $10 or more in a calendar year to an-
other person with respect to the dividends
received, must report those payments to
the IRS by filing an information return.
Section 6042(a). In addition, a person fil-
ing such a return must furnish to every
person with respect to whom such infor-
mation is reported a statement of the ag-
gregate amount of payments required to
be shown on the information return. Sec-
tion 6042(c). If a person furnishing such
a statement is unable to determine the por-
tion of the payment that constitutes a div-
idend or is paid with respect to a divi-
dend, the person making the payment is re-
quired to treat it as a dividend or an amount
paid with respect to a dividend. Section
6042(b)(3).
3
Information Returns. Information re-
turns under section 6042 must be filed on
Form 1099, which specifies that the ag-
gregate amount of dividends (or, in the
case of a nominee, amounts paid with re-
spect to dividends) is reported on Form
1099–DIV.
4
Form 1099–DIV and its in-
structions have been revised to reflect the
2003 Act. The instructions require filers to
enter in Box 1a of the form the aggregate
amount of ordinary dividends paid and to
enter in Box 1b the portion of dividends in
Box 1a that qualifies for reduced rates un-
der the 2003 Act (“qualified dividends”).
The instructions direct filers to include in
Box 1b dividends for which it is imprac-
tical to determine whether the holding pe-
riod test has been met. As described above,
a distribution with respect to a security is-
sued by a foreign corporation must satisfy
specific requirements under the 2003 Act
in order to be considered a qualified divi-
dend.
Regulations under section 6042 pro-
vide that a person required to make an
information return under that section gen-
erally must do so not later than February
1
Notice 2003–69, 2003–42 I.R.B. 851, contains the current list of the U.S. tax treaties that meet these requirements.
2
Notice 2003–71, 2003–43 I.R.B. 922, provides guidance on when ordinary or common stock is considered readily tradable on an established securities market in the United States.
3
Notice 2003–67, 2003–40 I.R.B. 752, provides guidance to brokers and individuals regarding provisions in the 2003 Act that affect information reporting for payments in lieu of dividends.
4
Revenue Procedure 2002–57, 2002–2 C.B. 575, provides circumstances under which a person requiredtofileForm1099mayfileasubstitute.
December 15, 200312072003-50 I.R.B.

28 (March 31 if filed electronically) of
the year following the calendar year in
which the dividend was paid. Section
1.6042–2(c) of the Income Tax Regula-
tions. A person required to furnish a payee
statement under that section generally
must do so not later than January 31 of the
year in which the information return is to
be filed.
5
Penalties. Section 6721 imposes a
penalty if a person fails to file a timely
correct information return, including a
return under section 6042. Section 6722
imposes a penalty if a payor fails to furnish
to a payee a timely correct information
statement, including a statement under
section 6042. Section 6724(a) provides
that the penalties under sections 6721 and
6722 do not apply if the failure to com-
ply is due to reasonable cause and not to
willful neglect.
Recipients of Payee Statements. Sec-
tion 6662 imposes a penalty if a taxpayer
substantially understates its income tax
liability. Section 6664(c) provides that no
penalty shall be imposed under section
6662 with respect to any portion of an
underpayment if it is shown that there
was a reasonable cause for such portion
and that the taxpayer acted in good faith
with respect to such portion. The regu-
lations under section 6664 provide that
the determination of whether a taxpayer
acted with reasonable cause and in good
faith is made on a case-by-case basis,
taking into account all pertinent facts and
circumstances. Under those regulations,
a taxpayer’s reliance on erroneous infor-
mation reported on a Form 1099 indicates
reasonable cause and good faith, pro-
vided the taxpayer did not know or have
reason to know that the information was
incorrect. Section 1.6664–4(b)(1) of the
Income Tax Regulations. For these pur-
poses, a taxpayer generally knows, or has
reason to know, that the information on an
information return is incorrect if such in-
formation is inconsistent either with other
information reported or furnished to the
taxpayer or with the taxpayer’s knowledge
of the transaction.Id.
The instructions to Form 1040 for 2003
state that some distributions that are re-
ported as qualified dividends in Box 1b
of Form 1099–DIV may not actually be
qualified dividends. For example, the
instructions provide examples illustrating
situations in which amounts reported as
qualified dividends in Box 1b of Form
1099–DIV are not qualified dividends be-
cause the recipient of the dividends failed
to satisfy the holding period test.
SECTION 3. ANALYSIS
This Section discusses the information
reporting determinations with respect to
each of the tests relevant to whether a dis-
tribution with respect to a security issued
by a foreign corporation is a qualified div-
idend.
.01Equity Test
In order to be a qualified dividend, a
distribution must bemade with respect to
equity rather than indebtedness, as deter-
mined under U.S. federal income tax prin-
ciples. The characterizationofaninstru-
ment for U.S. federal income tax purposes
depends on the terms of the instrument and
all surrounding facts and circumstances.
See,e.g., Notice 94–47, 1994–1 C.B. 357.
Common or ordinary shares generally
are treated as equityfor U.S. federal in-
come tax purposes. For a security issued
by a foreign corporation other than a com-
monoranordinaryshare(suchasapre-
ferred share), a person required to make
a return under section 6042 may not be
aware of all the information relevant to
determining whether a particular security
is debt or equity, although such a person
does have access to information contained
in public filings with the SEC. A foreign
corporation generally will have all the in-
formation relevant to applying the equity
test.
For 2003 information reporting, a per-
son required to make a return under sec-
tion 6042 for a distribution with respect to
a security issued by a foreign corporation
shall treat the security as satisfying the eq-
uity test if the security is a common or an
ordinary share. In addition, if the secu-
rity is not a common or an ordinary share,
such person shall treat the security as sat-
isfying the equity test if the foreign cor-
poration has a public statement filed with
the SEC stating that the security will be,
should be, or more likely than not will be
properly classified as equity rather than as
debt for U.S. federal income tax purposes.
For 2004 and future information report-
ing, Treasury and the IRS intend to issue
regulations providing a certification pro-
cedure under which foreign corporations
may certify that a security with respect to
which a distribution is made meets the eq-
uity test. As discussed below, it is expected
that it will be possible to make such certi-
fication either in a public SEC filing (such
as in a Form 20–F) or in a public statement
with a copy filed with the IRS.
.02E&P Test
In order to be a qualified dividend, a dis-
tribution must be a dividend. Section 316
generally provides that a dividend means
any payment made by a corporation to its
shareholders out of earnings and profits. A
person required to file an information re-
turn under section 6042 may not know in a
given circumstance whether a distribution
by a corporation represents a distribution
of earnings and profits. If a person mak-
ing a payment of or with respect to a dis-
tribution by a corporation is unable to de-
termine the portion of such a payment that
is a dividend or is paid with respect to a
dividend, then under section 6042 the per-
son making the payment must treat the en-
tire payment as a dividend or as an amount
paid with respect to a dividend. Section
6042(b)(3).
.03Tests in the Alternative: Readily
Tradable Test, Possessions Test, and Treaty
Test
(a)Readily Tradable Test.Aforeign
corporation is treated as a qualified for-
eign corporation with respect to any div-
idendpaidbysuchcorporationifthestock
with respect to which that dividend is paid
is readily tradable onan established secu-
rities market in the United States. Notice
2003–71 defines when ordinary or com-
mon stock is considered readily tradable
on an established securities market in the
United States. In addition, for 2003, a se-
curity (or an American depositary receipt
in respect of such security) issued by a for-
eign corporation that is other than ordinary
or common stock (such as preferred stock)
will satisfy the readily tradable test if it
is listed on a national securities exchange
that is registered under section 6 of the Se-
curities Exchange Act of 1934 (15 U.S.C.
§78f)orontheNasdaqStockMarketas
described in Notice 2003–71. (See Section
3.01 for discussion of the equity test.)
5
See Section 1.6042–3 of the Income Tax Regulations for guidance on when dividends are subject to information reporting.
2003-50 I.R.B.1208December 15, 2003

(b)Possessions Test. The 2003 Act pro-
vides that, in order to satisfy the posses-
sions test, a corporation must be incorpo-
ratedinapossessionoftheUnitedStates.
For 2003 and future years, a person re-
quired to make a return under section 6042
shall treat a corporation incorporated in a
possession of the United States as satisfy-
ing the possessions test.
(c)Treaty Test. The 2003 Act provides
that, in order to satisfy the treaty test, a cor-
poration must be eligible for benefits of a
comprehensive income tax treaty with the
United States which the Secretary deter-
mines is satisfactory for purposes of sec-
tion 1(h)(11) and which includes an ex-
change of information program. Notice
2003–69 contains the current list of treaties
that meet the requirements of the 2003 Act.
Treaties generally confer benefits only
on “residents” of the countries that are
parties to the treaty and frequently include
a “limitation on benefits” provision de-
signed to ensure that treaty benefits are
not available to persons engaged in “treaty
shopping.” For example, the mere fact that
a corporation is organized in a country
may not be sufficient for the corporation
to qualify for benefits under the relevant
treaty. The terms of each treaty, includ-
ing any limitation on benefits provision,
reflect the particular circumstances of
the relevant treaty partner relative to the
United States. The determination as to
whether a particular foreign corporation
would be eligible for benefits under a
particular treaty can be a fact-intensive
determination. A foreign corporation
generally will have all the information
relevant to applying the treaty test. For
example, a foreign corporation that re-
ceives U.S. source income eligible for a
reduced rate of withholding under a treaty
generally must complete a Form W–8BEN
certifying under penalties of perjury that,
among other items, it is a resident of the
relevant country within the meaning of the
relevant treaty and satisfies the limitation
on benefits provision, if any, provided
in that treaty. As discussed in Section 5
below, for 2004 and future information
reporting Treasury and the IRS intend to
develop a certification procedure under
which a foreign corporation may certify
that it meets the treaty test. For corpora-
tions that complete a Form W–8BEN for
other purposes, it is expected that filing a
copy of this form with the IRS could be
used as a means of meeting the certifica-
tion requirement with respect to the treaty
test, depending on the circumstances.
Treasury and the IRS recognize that the
fact-intensive natureof the determination
whether a foreign corporation is eligible
for benefits under a treaty, coupled with the
need for persons required to make informa-
tion returns to begin work now on process-
ing those returns and related payee state-
ments, makes it appropriate to use a sim-
plified procedure for 2003 information re-
porting.
For 2003 information reporting, a per-
son required to make a return under sec-
tion 6042 shall treat a foreign corporation
as satisfying the treaty test provided that
(i) the foreign corporation is organized in
a country whose income tax treaty with the
United States is listed in Notice 2003–69,
and (ii) if the relevant treaty contains a lim-
itation on benefits provision, the corpora-
tion’s common or ordinary stock is listed
on an exchange covered by the public trad-
ing test in that limitation on benefits provi-
sion. However, a person required to make
such a return shall not treat a foreign cor-
poration as satisfyingthe treaty test if such
person knows or has reason to know that
the corporation is not eligible for benefits
under the relevant treaty. For this purpose,
apersonwillbeconsideredtohaverea-
son to know the corporation is not eligible
for treaty benefits if the corporation has so
stated in its most recent SEC annual filing
(ifany)forthesecurity(e.g., Form 20–F).
For example, assume that a foreign cor-
poration is incorporated in Austria and that
its common stock is listed on the Vienna
exchange. The U.S.-Austria income tax
treaty is listed in Notice 2003–69, and the
Vienna exchange is covered by the pub-
lic trading test in the limitation on benefits
provision of the U.S.-Austria income tax
treaty. A person required to make a return
under section 6042 would treat the Aus-
trian corporation as satisfying the treaty
test unless the person knew or had reason
to know that the corporation was not eligi-
ble for benefits of the U.S.-Austria income
tax treaty.
.04Foreign Investment Company Ex-
clusion Test
The 2003 Act provides that a qualified
foreign corporation does not include any
foreign corporation that is a FPHC, FIC,
or PFIC for the taxable year in which the
dividend was paid or the preceding year.
A foreign corporation generally will have
all of the information relevant to making
these determinations. Many foreign cor-
porations that are publicly traded in the
United States currently make these deter-
minations each year and provide discus-
sions regarding one or more of these deter-
minations in their annual filings with the
SEC, such as Form 20–F. However, not
all foreign companies provide such a dis-
cussion in their U.S. public filings. Addi-
tionally, many foreign companies that are
notpubliclytradedintheUnitedStatesdo
not include discussions regarding these de-
terminations in their public filings in their
home jurisdiction.
As discussed below, Treasury and the
IRS intend to develop a certification pro-
cedure for 2004 and future information
reporting under which a foreign corpora-
tion may certify that it satisfies the foreign
investment company exclusion test. For
2003 information reporting, Treasury and
the IRS believe it is appropriate to use a
simplified procedure that is based on the
knowledge of persons required to make a
return under section 6042. Accordingly, a
person required to make a return under sec-
tion 6042 for 2003 shall treat a foreign cor-
poration as satisfying the foreign invest-
ment company exclusion test unless the
person knows or has reason to know that
the corporation is or expects to be a FPHC,
FIC, or PFIC. For this purpose, a person
would have the requisite reason to know if
a corporation has stated in its most recent
annual public filing with the SEC that it is
or expects to be a FPHC, FIC, or PFIC.
6
.05Holding Period Test
The 2003 Act provides that a recipient
of a dividend must satisfy certain holding
period requirements in order for the divi-
dend to be considered a qualified dividend.
The instructions to Form 1099–DIV direct
a person required to file Form 1099–DIV
to report in Box 1b as qualified dividends
any dividends for which it is impractical
to determine whether the recipient has met
the holding period requirements for the
stock with respect to which the dividend is
paid. Accordingly, if a person required to
6
AU.S.personowningashareinaforeigncorporationmay be subject to a number of separate reporting rules.See e.g., Form 8621 (annual return for shareholders owning stock in a PFIC).
December 15, 200312092003-50 I.R.B.

make a return under section 6042 has de-
termined that a recipient has satisfied the
relevant holding period requirements or if
it is impractical for such person to deter-
mine whether a recipient has satisfied the
holding period requirements, the person
required to make such return shall treat the
recipient as satisfying the holding period
test.
.06Waiver of Penalties for Reporting
BasedonSimplifiedProcedures
The IRS will exercise its authority un-
der section 6724(a) of the Code to waive
penalties under sections 6721 and 6722
with respect to reporting of calendar year
2003 payments if a person required to
make a return under section 6042 makes
a good faith effort to report payments
consistent with the simplified procedures
contained in this notice.
.07Distributions That Do Not Satisfy
the Simplified Procedures In This Notice
This notice describes simplified infor-
mation reporting procedures for 2003 for
a distribution with respect to a security
issued by a foreign corporation. A per-
son required to make a return under sec-
tion 6042 may believe a particular distri-
bution should be reported in Box 1b of
Form 1099–DIV as a qualified dividend
even though the distribution does not sat-
isfy the simplified information reporting
procedures. In that case, the person re-
quired to make a return under section 6042
may report the distribution in Box 1b as a
qualified dividend, subject to the applica-
ble penalty provisions.
For example, assume that a foreign
corporation incorporated in the United
Kingdom issues equity securities to U.S.
persons in a private placement under SEC
Rule 144A. Assume further that the for-
eign corporation does not have its ordinary
or common stock listed on any stock ex-
change. Finally, assume that the equity,
E&P and holding period tests are satisfied.
Under these facts, the securities would not
satisfy the readily tradable test (because
the privately placed securities would not
be considered readily tradable) and the
foreign corporation would not satisfy the
possessions test (because the corpora-
tion is not incorporated in a possession).
Additionally, the simplified procedure de-
scribed in this notice regarding the treaty
test would not be satisfied (because the
foreign corporation’s ordinary or common
stock is not listed on exchange covered
by the public trading test in the limitation
on benefits provision of the U.S.-U.K.
income tax treaty). A person required to
makeareturnundersection6042may
nonetheless believe that the foreign corpo-
ration is in fact eligible for benefits under
the U.S.-U.K. income tax treaty and thus
satisfies the treaty test. Such a person
could report a distribution with respect to
the security in Box 1b of Form 1099–DIV
as a qualified dividend. However, a person
doing so could be subject to applicable
penalty provisions if the foreign corpora-
tion did not in fact satisfy the treaty test
and such person did not have reasonable
cause for believing the foreign corporation
satisfied the treaty test.
.08Payments Reported on Form
1099–DIV for 2003
For taxable years beginning in 2003,
a recipient of Form 1099–DIV may treat
amounts reported in Box 1b as qualified
dividends, unless and to the extent that the
recipient knows or has reason to know that
such amounts are not qualified dividends.
As provided in § 1.6664–4(b)(1), such re-
liance may constitute reasonable cause and
good faith reliance for purposes of applica-
ble penalties, depending on the facts and
circumstances. In addition, a recipient of
Form 1099–DIV may treat a dividend ex-
cluded from Box 1b as a qualified divi-
dend if such person believes the dividend
is a qualified dividend, subject to applica-
ble penalties in the event the amount so re-
ported is not in fact a qualified dividend.
SECTION 4. SUMMARY OF
GUIDANCE FOR 2003
.01PersonsRequiredtoFileForm
1099–DIV
For 2003 information reporting, a per-
son required to make a return under sec-
tion 6042 shall report a distribution with
respect to a security issued by a foreign
corporation in Box 1b of Form 1099–DIV
as a qualified dividend if:
1. either the security with respect to
which the distribution is made is a common
or an ordinary share, or a public SEC filing
contains a statement that the security will
be, should be, or more likely than not will
be treated as equity rather than debt for
U.S. federal income tax purposes;and
2. either:
a. the security is considered “readily
tradable on an established securities mar-
ket in the United States”;
b. the foreign corporation is organized
in a possession of the United States;or
c. the foreign corporation is organized
in a country whose income tax treaty
with the United States is listed in Notice
2003–69, and if the relevant treaty con-
tains a limitation on benefits provision, the
corporation’s common or ordinary stock
islistedonanexchangecoveredbythat
limitation on benefits provision’s public
trading test, unless the person required to
file an information return knows or has
reason to know that the corporation is not
eligible for benefits under that treaty;and
3. the person required to file Form
1099–DIV does not know or have reason
to know that the foreign corporation is or
expects to be, in the taxable year of the cor-
poration in which the dividend was paid
or was, in the preceding taxable year, a
FPHC,FIC,orPFIC;and
4. the person required to make a re-
turn under section 6042 determines that the
owner of the distribution has satisfied the
holding period test or it is impractical for
such person to make such determination.
The IRS will exercise its authority un-
der section 6724(a) of the Code to waive
penalties under sections 6721 and 6722
with respect to reporting of calendar year
2003 payments if persons required to file
Form 1099–DIV make a good faith ef-
fort to report payments consistent with the
above rules. A person required to make
a return under section 6042 may report a
distribution in Box 1b as a qualified divi-
dend even if the distribution does not sat-
isfy the simplified information reporting
procedures for 2003, subject to the appli-
cable penalty provisions.
.02Recipients of Form 1099–DIV for
2003
For taxable years beginning in 2003,
a recipient of Form 1099–DIV may treat
amounts reported in Box 1b as qualified
dividends, unless and to the extent the re-
cipient knows or has reason to know that
such amounts are not qualified dividends.
SECTION 5. SUMMARY OF
EXPECTED GUIDANCE FOR FUTURE
YEARS
For years after 2003, Treasury and the
IRS intend to issue regulations providing
2003-50 I.R.B.1210December 15, 2003

procedures for a foreign corporation to cer-
tify that it is a qualified foreign corpora-
tion. It is expected that such regulations
generally will require persons required to
file information returns to report a distribu-
tion with respect to a security issued by a
foreign corporation as a qualified dividend
if the corporation has made an appropriate
certification under penalties of perjury to
the effect that:
1. for any security that is not a common
or an ordinary share, the security is equity
rather than debt for U.S. federal income tax
purposes;
2. where a security is not readily trad-
able on an established securities market in
the United States and where the foreign
corporation is not incorporated in a posses-
sion, the foreign corporation is eligible for
the benefits of a tax treaty with the United
States that meets the requirements of the
2003 Act;and
3. the foreign corporation is not, in the
taxable year of the corporation in which
the dividend was paid, and was not, in the
preceding taxable year, a FPHC, FIC, or
PFIC.
It is expected that certifications will be
made annually and that these certifications
would be made available by the foreign
corporation to the public. It is further
expected that the regulations will provide
procedures under which a foreign corpora-
tion submits its certification to the IRS for
date stamping. For publicly traded com-
panies, it is expected that the regulations
will provide that such certification may be
made in a public SEC filing (such as in a
Form 20–F).
SECTION 6. EFFECTIVE DATE
This notice is effecti
ve for taxable years
beginning on or after
January 1, 2003.
SECTION 7. COMMENTS
Treasury and the IRS invite interested
persons to comment on the information
reporting and certification procedures
to be developed for years after 2003.
Written comments may be submitted to
CC:PA:LPD:PR (Notice 2003–79), room
5207, Internal Revenue Service, P.O. Box
7604, Ben Franklin Station, Washing-
ton, DC 20044. Submissions may be
hand delivered Monday through Friday
between the hours of 8 am and 5 pm
to: CC:PA:LPD:PR (Notice 2003–79),
Courier’s desk, Internal Revenue Ser-
vice, 1111 Constitution Avenue, NW,
Washington, DC 20224. Alternatively,
taxpayers may submit comments electron-
ically via the following e-mail address:
Notice.Comments@irscounsel.treas.gov.
Please include “Notice 2003–79” in the
subject line of any electronic communica-
tions.
SECTION 8. PAPERWORK
REDUCTION ACT
The information collection referenced
in this notice has been previously reviewed
and approved by the Office of Manage-
ment and Budget as part of the promulga-
tion of Form 1099–DIV.SeeOMB Control
Number 1545–0110. This notice merely
provides additional guidance regarding the
proper filing of such returns and furnishing
of such statements.
An agency may not conduct or sponsor,
and a person is not required to respond
to, a collection of information unless the
collection of information displays a valid
OMB control number.
Books or records relating to a collection
of information must be retained as long
as their contents may become material in
the administration of any internal revenue
law. Generally tax returns and tax return
information are confidential, as required
by 26 U.S.C. § 6103.
SECTION 9. CONTACT
INFORMATION
The principal author of this notice is
Michelle S. Lyon of the Office of Associate
Chief Counsel (International). For further
information regarding this notice, contact
Ms. Lyon at (202) 622–3880 (not a toll-
free call).
26 CFR 601.201: Rulings and determination letters.
(Also, Part I, §401, §1.401(a)–2.)
Rev. Proc. 2003–86
SECTION 1. PUR
POSE
This revenue procedure amplifies Rev.
Proc. 2002–21, 2002–1 C.B. 911, relating
to relief provided to certain defined con-
tribution plans maintained by professional
employer organizations (PEOs) that bene-
fit Worksite Employees who perform ser-
vices for a client organization (CO). These
plans are referred to below as PEO Retire-
ment Plans. The questions and answers
contained in this revenue procedure pro-
vide guidance on certain transitional issues
that were raised by practitioners after the
publication of Rev. Proc. 2002–21.
SECTION 2. BACKGROUND
.01 If a PEO satisfies the requirements
under Rev. Proc. 2002–21, the Service
will not disqualify the PEO Retirement
Plan solely on the grounds that the plan
has violated the exclusive benefit rule of
§ 401(a)(2) of the Internal Revenue Code
by benefiting Worksite Employees who
perform services for a CO. Under section
5 of Rev. Proc. 2002–21, a plan sponsor
of a PEO Retirement Plan has two op-
tions for taking remedial action in order
to obtain the relief provided in section 4
of that revenue procedure. Under the fir
st
option, the PEO can terminate the PE
O
Retirement Plan in accordance wit
h sec-
tion 5.02 of the revenue procedure
. Under
the second option, the PEO can con
vert
its single-employer PEO Retire
ment Plan
into a Multiple Employer Retir
ement Plan
in accordance with the requi
rements under
section5.03oftherevenue
procedure. The
PEO must have made a decisi
on regarding
these options by the PEO De
cision Date,
which is defined in Rev. P
roc. 2002–21
as the date that is 120 da
ys after the first
day of the plan year begi
nning on or after
January 1, 2003 (for a
calendar year plan,
May 2, 2003). Sectio
n7ofRev. Proc.
2002–21 provides t
ransitional and proce-
dural rules for PEO
Retirement Plans and
Multiple Employe
r Retirement Plans.
.02 The definition
sinRev. Proc.
2002–21 also app
ly for purposes of this
revenue proced
ure.
SECTION 3. SCOPE
The guidance provided by the questions
and answers in this revenue procedure may
be relied upon by PEO Retirement Plans
that are eligible for relief under section 4
of Rev. Proc. 2002–21 and Multiple Em-
ployer Retirement Plans.
December 15, 200312112003-50 I.R.B.

SECTION 4. QUESTIONS AND
ANSWERS
.01 The following questions and an-
swers provide guidance on common in-
quiries that the Service has received relat-
ing to certain transitional issues for a PEO
Retirement Plan and a Multiple Employer
Retirement Plan.
.02 A PEO electing to use the transi-
tional rules in the questions and answers
in this revenue procedure must adopt
conforming plan amendments for the Mul-
tiple Employer Retirement Plan no later
than the last day of the remedial amend-
ment period relating to the Economic
Growth and Tax Relief Reconciliation
Act of 2001, Pub. L. 107–16 (115 Stat.
38) (EGTRRA). The EGTRRA remedial
amendment period is the period under
§ 401(b) during which plan sponsors may
adopt retroactive remedial amendments
with regard to EGTRRA. As provided
in Notice 2001–42, 2001–2 C.B. 70, the
EGTRRA remedial amendment period
will end no earlier than the last day of
the first plan year beginning on or after
January 1, 2005.
.03 Unless otherwise specified, the
guidance in this revenue procedure applies
to the first plan year beginning after the
Compliance Date.
.04 Generally, for purposes of § 401(a),
it is permissible for a Multiple Employer
Retirement Plan to treat Worksite Employ-
ees who perform services for a CO as if
they were employees of the PEO for all
plan years up to and including the plan year
in which the Compliance Date occurs.
.05 Alternatively, for purposes of
§ 401(a), it would be permissible for a
Multiple Employer Retirement Plan to
treat Worksite Employees who perform
services for a CO as employees of the CO
for all plan years.
.06 Plan documents should reflect
whether a Multiple Employer Retirement
Plan has chosen under this revenue proce-
dure to treat all the Worksite Employees
who perform services for a CO as em-
ployees of the PEO for plan years up to
and including the plan year in which the
Compliance Date occurs or to treat all the
Worksite Employees as employees of the
CO for all plan years, and such treatment
should be consistent for all § 401(a) pur-
poses, except as specifically provided for
in this revenue procedure.
Q–1:Successor Plans.Can a Spinoff
Retirement Plan make distributions upon
termination of the plan in accordance with
section 5.04(2) of Rev. Proc. 2002–21 to
Worksite Employees who perform services
for a CO, if (following termination of the
PEO Retirement Plan or conversion of the
PEO Retirement Plan to a Multiple Em-
ployer Retirement Plan) the CO maintains
a defined contribution plan for its employ-
ees (whether or not the plan covers Work-
site Employees) or if the PEO maintains
another plan that covers the PEO’s own
employees?
A–1: (a) Section 1.401(k)–1(d)(3) of
the Income Tax Regulations provides that
a distribution may not be made upon ter-
minationofa§401(k)planiftheem-
ployer establishes or maintains a succes-
sor plan. A successor plan is defined as
any other defined contribution plan main-
tained by the same employer if the plan ex-
ists at any time during the period beginning
on the date of plan termination and end-
ing 12 months after distribution of all as-
sets from the terminated plan. The plan is
not a successor plan if at all times during
the 24-month period beginning 12 months
before the termination, fewer than two per-
cent of the employees who were eligible
under the terminated plan as of the date
of plan termination are eligible under the
plan.
(b) Neither a defined contribution plan
maintained by the CO for its employees
(whether or not the plan covers Worksite
Employees) nor a plan maintained by the
PEO covering the PEO’s own employ-
ees will be treated as a successor plan to
the Spinoff Retirement Plan for purposes
of § 1.401(k)–1(d)(3). Accordingly, the
Spinoff Retirement Plan is permitted to
make a distribution to Worksite Employ-
ees regardless of whether the CO or the
PEO maintains a plan described in the
preceding sentence.
Q–2:Top-heavy rules.After a PEO
Retirement Plan converts to a Multiple
Employer Retirement Plan, how do the
top-heavy rules apply with respect to par-
ticipants’ benefits that accrued in the PEO
Retirement Plan by the Compliance Date?
A–2: (a) Q&A G–2 of § 1.416–1 pro-
vides that a multiple employer plan is sub-
ject to the requirements of § 416, but only
with respect to each individual employer.
Q&A T–2 of § 1.416–1 provides that, for
top-heavy purposes, a multiple employer
plan to which an employer makes contribu-
tions on behalf of its employees is treated
as a plan of that employer to the extent that
benefits under the plan are provided to its
employees because of service with the em-
ployer.
(b) Section 7.01(3) of Rev. Proc.
2002–21 provides that, for purposes of
determining whether a Multiple Employer
Retirement Plan is top-heavy (as defined
in § 416(g)(1)(A)(ii)) in its first plan year,
the determination date with respect to the
first plan year will be the last day of such
plan year.
(c) In general, a CO that is a sponsor of
a Multiple Employer Retirement Plan may
treat the benefits of Worksite Employees
who perform services for the CO that ac-
crued in the PEO Retirement Plan on or be-
fore the Compliance Date as attributable to
contributions made by the CO when deter-
mining whether the plan is top heavy for
plan years beginning after the Compliance
Date. If a CO chooses this option, in subse-
quent years the CO must continue to treat
the benefits of Worksite Employees who
provide services to the CO that accrued in
the PEO Retirement Plan on or before the
Compliance Date as attributable to contri-
butions made by the CO when determining
whether the plan is top-heavy.
(d) However, it is also permissible for
a CO that is a sponsor of the Multiple Em-
ployer Retirement Plan to treat the benefits
of Worksite Employees who perform ser-
vices for the CO that accrued in the PEO
Retirement Plan prior to the plan conver-
sion as attributable to contributions made
by the PEO and not the CO. Thus, when
testing the Multiple Employer Retirement
Plan for top-heaviness, a CO may treat the
benefits of Worksite Employees who per-
form services for the CO that accrued in
the PEO Retirement Plan on or before the
Compliance Date prior to the plan conver-
sion as being zero. Nevertheless, the Mul-
tiple Employer Retirement Plan must in-
clude in these Worksite Employees’ ben-
efits the amounts that accrued in the PEO
Retirement Plan prior to the plan conver-
sion and compute the gains and losses at-
tributable to these benefits in subsequent
plan years.
(e) For purposes of this Q&A–2, the
following applies:
(1) The consistency rule of section
4.06 of this revenue procedure is deemed
2003-50 I.R.B.1212December 15, 2003

satisfied if each CO is consistent in treat-
ing the accrued benefits of all Worksite
Employees who perform services for that
CO in accordance with either (c) or (d) of
this question and answer.
(2) In determining whether a plan is
top-heavy, the aggregation rules under
§ 414(b), (c), and (m) apply with respect
to a CO. See Q&A T–1 of § 1.416–1.
(3) Regardless of whether the plan
usestheoptionsetforthin(c)or(d)of
this Q&A–2, the determination date with
respect to the first plan year of the Multi-
ple Employer Retirement Plan will be the
lastdayofsuchplanyear.
Q–3:ADP and ACP Testing.How do
the actual deferral percentage (ADP) and
actual contribution percentage (ACP) tests
under § 401(k)(3) and (m)(2) apply to a
Multiple Employer Retirement Plan in its
first plan year?
A–3: (a)General rule. A Multiple Em-
ployer Retirement Plan must be treated as
a new plan for purposes of ADP and ACP
testing rules rather than as a successor plan
to the PEO Retirement Plan. Thus, for the
first plan year beginning after the Com-
pliance Date, a Multiple Employer Retire-
ment Plan can elect to use the prior year
testing method for the ADP and/or ACP
testwithoutregardtotheADPandACP
testing methods used by the PEO Retire-
ment Plan.
(b)ADP testing. A Multiple Employer
Retirement Plan that uses the prior year
testing method for the ADP test is per-
mitted to provide that the ADP for the
nonhighly compensated employees for the
first plan year beginning after the Compli-
ance Date is 3% or is determined based
on the actual deferral percentages of the
nonhighly compensated employees for that
year.
(c)ACP testing. A Multiple Employer
Retirement Plan that uses the prior year
testing method for the ACP test is per-
mitted to provide that the ACP for the
nonhighly compensated employees for the
first plan year beginning after the Compli-
ance Date is 3% or is determined based on
the actual contribution percentages of the
nonhighly compensated employees for that
year.
Q–4:Minimum Distribution Re-
quirements.For purposes of applying the
required minimum distribution rules under
§ 401(a)(9) with respect to Worksite Em-
ployees who have attained age 70
1
/2but
have not yet retired, who will be treated as
a 5-percent owner of a CO in the first plan
year of the Multiple Employer Retirement
Plan, what is the first calendar year for
which a minimum distribution is required,
and how is the required distribution calcu-
lated for that calendar year?
A–4: (a)General Rule. Section
401(a)(9)(A) provides that a trust will not
be a qualified trust unless the plan provides
that the entire interest of each employee
will be distributed to the employee not
later than the required beginning date or,
in accordance with the regulations, will
be distributed beginning not later than the
required beginning date over the life of
the employee or the lives of the employee
and a designated beneficiary. The required
beginning date is defined in § 401(a)(9)(C)
as April 1 of the calendar year following
the later of the calendar year in which the
employee attains age 70
1
/2or the calendar
year in which the employee retires. How-
ever, § 401(a)(9)(C)(ii) provides that, in
the case of an employee who is a 5-percent
owner (as defined in § 416(i)(1)(B)(i)), the
required beginning date is April 1 of the
calendar year following the calendar year
in which the employee attains age 70
1
/2.
(b)Options for Determining 5-Percent
Ownership Status. Beginning in 2004, a
Multiple Employer Retirement Plan may
use either of the following two options in
determining whether Worksite Employees
who have attained age 70
1
/2(but have not
yet retired) before the first day of the first
plan year of the Multiple Employer Re-
tirement Plan are 5-percent owners of a
CO for whom they perform services. Un-
der the first option, a Multiple Employer
Retirement Plan may opt to test whether
Worksite Employees are 5-percent owners
of a CO on the first day of the first plan
year of the Multiple Employer Retirement
Plan. If a Worksite Employee is a 5-per-
cent owner on that day, the Worksite Em-
ployee will be treated as a 5-percent owner
of the CO in the plan year ending in the cal-
endar year in which the employee attained
age 70
1
/2. Under the second option, a Mul-
tiple Employer Retirement Plan may opt to
test whether Worksite Employees who are
overtheageof70
1
/2in 2004 were 5-per-
cent owners of a CO in the year that the
Worksite Employees actually attained age
70
1
/2. For this testing purpose, the Work-
site Employees will be treated as employ-
ees of the CO, not the PEO.
(c)Minimum Distribution Require-
ments for Worksite Employees who are
5-Percent Owners. Under either option, a
Multiple Employer Retirement Plan will
not be required to make minimum dis-
tributions under § 401(a)(9) for calendar
years before 2004 to Worksite Employees
who have attained age 70
1
/2before the first
day of the first plan year of the Multiple
Employer Retirement Plan and who have
not retired (and the employees will not
be subject to the excise tax under § 4974
for failure to receive required minimum
distributions for those years) even if they
are 5-percent owners of a CO for whom
they perform services. However, a min-
imum distribution is required for 2004
and subsequent years for each Worksite
Employee who is a 5-percent owner of a
CO (determined under paragraph (b) of
this Q&A–4) and who attained age 70
1
/2
before January 1, 2004, as well as each
Worksite Employeewho is a 5-percent
owner of a CO and who attains age 70
1
/2
in 2004. The required beginning date for
the 2004 required minimum distribution
for those Worksite Employees (those who
attained age 70
1
/2in 2004 and in any
earlier year) is April 1, 2005. Thus, the
required minimum distribution for 2004
for those employees is not required to be
made until April 1, 2005, but subsequent
required minimum distributions must be
made by the end of the calendar year
for which they are made, including the
required minimum distribution for 2005.
For calculating the minimum required
distributions for Worksite Employees
for each calendar year, see Q&A–4 of
§ 1.401(a)(9)–5 and the Uniform Lifetime
Table in Q&A–2 of § 1.401(a)(9)–9.
Q–5:Determination of Highly Com-
pensated Employee (HCE Status).If an
individual was a Worksite Employee in
the year preceding the first plan year of
the Multiple Employer Retirement Plan, is
compensation received by that individual
during that year taken into account in
determining if the individual is a highly
compensated employee, as defined in
§ 414(q)(1), in the first plan year of the
Multiple Employer Retirement Plan?
A–5: (a)General Rule.HCEstatusis
generally determined on the basis of the
December 15, 200312132003-50 I.R.B.

plan year of the plan for which a deter-
mination is being made (the determination
year) and the preceding 12-month period
(the look-back year). Section 414(q)(1)
defines a highly compensated employee as
any employee who was a 5-percent owner
at any time during the determination year
or the look-back year and any employee
who, for the look-back year, had com-
pensation from the employer in excess of
$80,000 (adjusted for inflation) and, if the
employer elects, was in the top-paid group
of employees for the look-back year.
(b)Worksite Employees Treated as CO
Employees. For purposes of Rev. Proc.
2002–21, the HCE status of an individual
who was a Worksite Employee in the year
preceding the first plan year of the Multi-
ple Employer Retirement Plan (the MERP
look-back year) andwho performed ser-
vices for a CO in that year is determined by
treating the Worksite Employee as an em-
ployee of the CO for the MERP look-back
year. Any compensation received by the
Worksite Employee from the PEO or the
CO in the MERP look-back year for ser-
vices performed for the CO must be treated
as received from the CO. Accordingly, all
compensation received by a Worksite Em-
ployee from the PEO or the CO for ser-
vices performed for the CO in the MERP
look-back year must be considered in de-
termining whether the Worksite Employee
is an HCE of the CO for the first plan year
of the Multiple Employer Retirement Plan.
SECTION 5. EFFECT ON OTHER
DOCUMENTS
Rev. Proc. 2002–21 is amplified.
DRAFTING INFORMATION
The principal authors of this revenue
procedure are Donzel H. Littlejohn of the
Employee Plans, Tax Exempt and Gov-
ernment Entities Division and Pamela R.
KinardoftheOfficeofAssociateChief
Counsel (Tax Exempt and Government
Entities). For further information re-
garding this revenue procedure, contact
the Employee Plans taxpayer assistance
telephone service between the hours
of 8:00 a.m. and 6:30 p.m. Eastern
Time, Monday through Friday by calling
1–877–829–5500 (a toll-free number).
Mr. Littlejohn can be reached at (202)
283–9888 and Ms. Kinard can be reached
at (202) 622–6060 (not toll-free numbers).
2003-50 I.R.B.1214December 15, 2003

Part IV. Items of General Interest
Notice of Proposed Rulemaking
by Cross-Reference to Temporary
Regulations
Return of Partnership Income
REG–115472–03
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Notice of proposed rulemaking
by cross-reference to temporary regula-
tions.
SUMMARY: In this issue of the Bulletin,
the IRS is issuing temporary regulations
(T.D. 9094) that authorize the Commis-
sioner to provide exceptions to the require-
ments of section 6031(a) of the Internal
Revenue Code for certain partnerships by
guidance published in the Internal Rev-
enue Bulletin. The text of those tempo-
raryregulationsalsoservesasthetextof
these proposed regulations. The regula-
tions generally affect both certain partner-
ships that invest in tax-exempt obligations
and partners in those partnerships.
DATES: Written or electronic comments
must be received by February 9, 2003.
ADDRESSES: Send submissions to:
CC:PA:LPD:PR(REG–115472–03),
room 5203, Internal Revenue Service,
POB 7604, Ben Franklin Station, Wash-
ington, DC 20044. Submissions may be
hand delivered Monday through Friday
between the hours of 8 a.m. and 4 p.m.
to: CC:PA:LPD:PR (REG–115472–03),
Courier’s Desk, Internal Revenue Service,
1111 Constitution Avenue, NW, Wash-
ington, DC. Alternatively, taxpayers may
submit comments electronically via the
internet directly to the IRS Internet site at
www.irs.gov/regs.
FOR FURTHER INFORMATION
CONTACT: Concerning the proposed
regulations, David A. Shulman, (202)
622–3070 (not a toll-free number); con-
cerning the submissions of comments
or the request for a public hearing, Guy
Traynor, (202) 622–3693 (not a toll-free
number).
SUPPLEMENTARY INFORMATION:
Background
Temporary regulations published else-
whereinthisissueofthe Bulletin amend
the Income Tax Regulations (26 CFR
part 1) relating to section 6031(a). The
temporary regulations authorize the Com-
missioner to provide, in guidance pub-
lished in the Internal Revenue Bulletin,
exceptions to the requirements of section
6031(a) if all or substantially all of the
partnership’s income is derived from the
holding or disposition of tax-exempt obli-
gations (as defined in section 1275(a)(3)
and §1.1275–1(e)) or shares in a regulated
investment company (as defined in section
851(a)) that pays exempt-interest divi-
dends (as defined in section 852(b)(5)).
The text of those temporary regulations
also serves as the text of these proposed
regulations. The preamble to the tempo-
rary regulations explains the temporary
regulations.
Proposed Effective Date
These regulations are proposed to apply
November 5, 2003.
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 is hereby cer-
tified that these regulations will not have a
significant economic impact on a substan-
tial number of small entities. This certifi-
cation is based upon the fact that relatively
few partnerships have income that is pri-
marily from tax-exempt obligations. Fur-
thermore, the purpose of this regulation is
to decrease (rather than increase) the num-
ber of entities required to file a partnership
return. Therefore, a Regulatory Flexibil-
ity Analysis under the Regulatory Flexi-
bility Act (5 U.S.C. chapter 6) is not re-
quired. Pursuant to section 7805(f) of the
Internal Revenue Code, this notice of pro-
posed rulemaking will be submitted to the
Chief Counsel for Advocacy of the Small
Business Administration for comment on
its impact on small business.
Comments and Requests for Public
Hearing
Before these proposed regulations are
adopted as final regulations, consideration
will be given to any written (a signed orig-
inal and 8 copies) or electronic comments
that are submitted timely to the IRS. The
IRS and Treasury Department request
comments on the clarity of the proposed
rules and how they can be made easier to
understand. All comments will be avail-
able for public inspection and copying.
A public hearing will be scheduled if
requested in writing by any person that
timely submits written comments. If a
public hearing is scheduled, notice of the
date, time, and place for the public hearing
will be published in theFederal Register.
Drafting Information
The principal author of these reg-
ulations is David A. Shulman of the
Office of the Associate Chief Counsel
(Passthroughs & Special Industries), IRS.
However, other personnel from the IRS
and Treasury Department participated 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
part1isamendedbyrevisingtheentryfor
“Section 1.6031(a)–1” to read in part as
follows:
Authority: 26 U.S.C. 7805. * * *
Section 1.6031(a)–1 is also issued un-
der section 404 of the Tax Equity and Fis-
cal Responsibility Act of 1982 (Pub. L.
97–248; 96 Stat. 324, 669) (TEFRA), and
26 U.S.C. 6031. * * *
Par. 2. Section 1.6031(a)–1 is amended
as follows:
1. Paragraph (a)(3)(ii) is revised.
2. Paragraph (f) is revised.
The revisions read as follows:
December 15, 200312152003-50 I.R.B.

§1.6031(a)–1 Return of partnership
income.
(a) * * *
(3)***(i)***
(ii) [The text of the proposed amend-
ment to §1.6031(a)–1(a)(3)(ii) is the same
as the text of §1.6031(a)–1T (a)(3)(ii) pub-
lished elsewhere in this issue of the Bul-
letin].
*****
(f) * * *
(1) * * *
(2) [The text of the proposed amend-
ment to §1.6031(a)–1(f)(2) is the same as
the text of §1.6031(a)–1T (f)(2) 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 5,
2003, 1:41 p.m., and published in the issue of the Federal
Register for November 10, 2003, 68 F.R. 63743)
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
2003-50 I.R.B.1216December 15, 2003

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
December 15, 200312172003-50 I.R.B.

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
2003-50 I.R.B.1218December 15, 2003

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
Treatment of Obligation-Shifting
Transactions
Announcement 2003–79
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Withdrawal of notice of pro-
posed rulemaking.
SUMMARY: This document withdraws
a proposed regulation (REG–209817–96)
relating to the treatment of certain multi-
ple-party financing transactions in which
one party realizes income from leases or
other similar agreements and another party
claims deductions related to that income.
FOR
FURTHER INFORMATION
CO
NTACT: Pamela Lew, (202) 622–3950,
(
not a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
In Notice 95–53, 1995–2 C.B. 334,
(modified and superseded by Notice
2003–55, 2003–34 I.R.B. 395), the IRS
and Treasury Department stated that reg-
ulations under section 7701(1) would be
issued to recharacterize lease strips to
prevent tax avoidance. On December 27,
1996, a notice of proposed rulemaking
(REG–209817–96, 1997–1 C.B. 754 [61
FR 68175]) relating to the treatment of
certain obligation-shifting transactions
was published in the Federal Register. An
obligation-shifting transaction is a transac-
tion in which the transferee (the assuming
party) assumes obligations or acquires
property subject to obligations under an
existing lease or similar agreement and
the transferor (the property provider) or
any other party has already received or
retains the right to receive amounts that
are allocable to periods after the transfer.
The proposed regulations recharac-
terize obligation-shifting transactions in
a manner intended to reflect the eco-
nomic substance of the transactions and
to clearly reflect the income of the parties
to the transaction. Under the recharac-
terization, the property provider and the
assuming party must report the income
from the underlying property allocable
to their respective periods of ownership.
This result is achieved by imputing a se-
ries of transactions to both the assuming
party and the property provider that results
in a rent-leveling process based on the
constant rental accrual method described
in § 1.467–3(d). The assuming party is
required to recognize rental income for
the period in which it owns the property or
leasehold interest. The property provider
must adjust its income for any differ-
ences between amounts it recognized and
amounts it would have recognized if it
had reported income on a level-rent basis
for the periods that it owned the prop-
erty or leasehold interest. To account for
the difference between rental income the
assuming party is required to recognize
and rental income the assuming party
actually receives, the proposed regula-
tions treat the assuming party as issuing
an interest-bearing note to the property
provider as additional consideration for
the obligation-shifting transaction. Both
parties must account for the resulting in-
terest income and expense appropriately.
To account for any differences in timing
or amount between payments the prop-
erty provider actually receives after the
transaction and payments treated as being
made to the property provider under the
note from the assuming party, the property
provider is treated as an obligor or obligee
under a second loan, for which the prop-
erty provider must account accordingly.
After careful consideration, the IRS
and Treasury Department have concluded
that the complexity presented by these
proposed regulations is not necessary
to prevent tax avoidance in these trans-
actions. Since the publication of the
proposed regulations, the Court of Ap-
peals for the District of Columbia Circuit
has held that the partnership used in a lease
strip was not a valid partnership because
the participants did not join together for
a non-tax business purpose.Andantech
L.L.C. v. Commissioner, Nos. 02–1213;
02–1215, (D.C. Cir. June 17, 2003), 2003
U.S. App. LEXIS 11908,aff’g in part and
remanding for reconsideration of other
issuesT.C. Memo 2002–97 (2002). Also,
inNicole Rose v. Commissioner, 320 F.3d
282 (2d Cir. 2002)aff’g per curiam117
T.C. 328 (2001), the United States Court
of Appeals for the Second Circuit upheld
the Tax Court’s determination that a lease
transfer did not have economic substance.
In the opinion of the IRS and Treasury
Department, the claimed tax treatment for
lease strips improperly separates income
from related deductions, and lease strips do
not produce the tax consequences desired
by the participants.SeeNotice 2003–55,
2003–34 I.R.B. 395.
December 15, 200312192003-50 I.R.B.

*****
Withdrawal of Notice of Proposed
Rulemaking
Accordingly, under the authority of 26
U.S.C. 7805, the notice of proposed rule-
making (REG–209817–96) that was pub-
lished in theFederal Registeron Decem-
ber 27, 1996 (61 FR 68175) is withdrawn.
Dale F. Hart,
Acting Deputy Commissioner for
Services and Enforcement.
(Filed by the Office of the Federal Register on November 7,
2003, 8:45 a.m., and published in the issue of the Federal
Register for November 10, 2003, 68 F.R. 63744)
Credit for Increasing Research
Activities; Correction
Announcement 2003–80
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Correction to notice of proposed
rulemaking.
SUMMARY: This document contains
corrections to proposed regulations
(REG–133791–02, 2003–35 I.R.B. 493)
thatwerepublishedintheFederal Reg-
isteron July 29, 2003 (68 FR 44499).
This regulation relates to the computation
and allocation of the credit for increasing
research activities for members of a con-
trolled group of corporations or a group
of trades or businesses under common
control.
FOR FURTHER INFORMATION
CONTACT: Jolene J. Shiraishi at (202)
622–3120 (not a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
The proposed regulations that are the
subject of these corrections are under sec-
tion 41 of the Internal Revenue Code.
Need for correction
As published, the notice of proposed
rulemaking contains errors that may prove
to be misleading and are in need of clarifi-
cation.
Correction of Publication
Accordingly, the publication of
the notice of proposed rulemaking
(REG–133791–02; REG–105606–99),
which was the subject of FR Doc.
03–17870, is corrected as follows:
1. On page 44500, column 1, in the pre-
amble under the caption “ADDRESSES”,
last paragraph, second line, the language
“IRS Auditorium (7th Floor), Internal” is
corrected to read “Room 4718, Internal”.
2.On page 44503, column 3,
§1.41–6(d), paragraph (ii)(B)(3)ofExam-
ple 1, last line in column 3, the language
“minimum). The group’s fixed-base”
is corrected to read “maximum). The
group’s fixed-base”.
3.On page 44504, column 3,
§1.41–6(d), paragraph (ii)(B)(3)ofEx-
ample 2, column 3 fourth line from the
bottom, the language “(the statutory min-
imum). The group’s fixed” is corrected
to read “(the statutory maximum). The
group’s fixed”.
Cynthia E. Grigsby,
Acting Chief, Publications
and Regulations Branch,
Legal Processing Division,
Associate Chief Counsel (Procedure
and Administration).
(Filed by the Office of the Federal Register on October 21,
2003, 8:45 a.m., and published in the issue of the Federal
Register for October 22, 2003, 68 F.R. 60304)
Qualified Subchapter S Trust
Election for Testamentary Trust;
Correction
Announcement 2003–81
AGENCY: Internal Revenue Service
(IRS), Treasury.
ACTION: Correction to final regulations.
SUMMARY: This document contains a
correction to final regulations (T.D. 9078,
2003–39 I.R.B. 630) that were published
in theFederal Registeron July 17, 2003
(68 FR 42251) relating to a qualified sub-
chapter S trust election for testamentary
trust.
EFFECTIVE DATE: This correction is ef-
fective July 17, 2003.
FOR FURTHER INFORMATION
CONTACT: Deane M. Burke (202)
622–3070 (not a toll-free number).
SUPPLEMENTARY INFORMATION:
Background
The final regulations that are the subject
of this correction are under section 1361 of
the Internal Revenue Code.
Need for correction
As published, the final regulations (T.D.
9078), contain an error that may prove to
be misleading and is in need of clarifica-
tion.
Correction of Publication
Accordingly, the publication of the final
regulations (T.D. 9078), which were the
subject of FR Doc. 03–18040, is corrected
as follows:
On page 42251, column 3, in the pre-
amble under the paragraph heading“Sum-
mary of Comments and Explanation of
Provisions”, third paragraph, line 6, the
language “revocable trust (QRT) for which
an” is corrected to read “revocable trust for
which an”.
Cynthia E. Grigsby,
Acting Chief, Publications
and Regulations Branch,
Legal Processing Division,
Associate Chief Counsel (Procedure
and Administration).
(Filed by the Office of the Federal Re
gister on October 22,
2003, 8:45 a.m., and published in the issue of the Federal
Register for October 23, 2003, 68 F.R. 60625)
Deletions From Cumulative List
of Organizations Contributions
to Which are Deductible Under
Section 170 of the Code
Announcement 2003–82
The name of an organization that no
longer qualifies as an organization de-
scribedinsection170(c)(2)oftheInternal
Revenue Code of 1986 is listed below.
Generally, the Service will not disallow
deductions for contributions made to a
listed organization on or before the date
of announcement in the Internal Revenue
2003-50 I.R.B.1220December 15, 2003

Bulletin that an organization no longer
qualifies. However, the Service is not
precluded from disallowing a deduction
for any contributions made after an or-
ganization ceases to qualify under section
170(c)(2) if the organization has not timely
filed a suit for declaratory judgment under
section 7428 and if the contributor (1) had
knowledge of the revocation of the ruling
or determination letter, (2) was aware that
such revocation was imminent, or (3) was
in part responsible for or was aware of the
activities or omissions of the organization
that brought about this revocation.
If on the other hand a suit for declara-
tory judgment has been timely filed, con-
tributions from individuals and organiza-
tions described in section 170(c)(2) that
are otherwise allowable will continue to
be deductible. Protection under section
7428(c) would begin on May 7, 2001, and
would end on the date the court first deter-
mines that the organization is not described
in section 170(c)(2) as more particularly
set forth in section 7428(c)(1). For indi-
vidual contributors, the maximum deduc-
tion protected is $1,000, with a husband
and wife treated as one contributor. This
benefit is not extended to any individual, in
wholeorinpart,fortheactsoromissions
of the organization that were the basis for
revocation.
Code Red Cross Training
San Ramon, CA
Section 7428(c) Validation of
Certain Contributions Made
During Pendency of Declaratory
Judgment Proceedings
Announcement 2003–83
This announcement serves notice to
potential donors that the organization
listed below has recently filed a timely
declaratory judgmentsuit under section
7428 of the Code, challenging revocation
of its status as an eligible donee under
section 170(c)(2).
Protection under section 7428(c) of the
Code begins on the date that the notice
of revocation is published in the Internal
Revenue Bulletin and ends on the date
on which a court first determines that an
organization is not described in section
170(c)(2), as more particularly set forth in
section 7428(c)(1). In the case of individ-
ual contributors, the maximum amount of
contributions protected during this period
islimitedto$1,000.00,withahusbandand
wife being treated as one contributor. This
protection is not extended to any individual
who was responsible, in whole or in part,
for the acts or omissions of the organiza-
tion that were the basis for the revocation.
This protection also applies (but without
limitation as to amount) to organizations
described in section 170(c)(2) which are
exempt from tax under section 501(a). If
the organization ultimately prevails in its
declaratory judgment suit, deductibility of
contributions would be subject to the nor-
mal limitations set forth under section 170.
Julie Renee Phelan Foundation f.k.a.
Assured Nonprofit Services, Inc.
Seattle, WA
December 15, 200312212003-50 I.R.B.

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.
2003-50 I.R.B.iDecember 15, 2003

Numerical Finding List
1
Bulletins 2003–27 through 2003–50
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
2003-79, 2003-50 I.R.B.1219
2003-80, 2003-50 I.R.B.1220
2003-81, 2003-50 I.R.B.1220
2003-82, 2003-50 I.R.B.1220
2003-83, 2003-50 I.R.B.1221
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
Notices— Continued:
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
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
2003-75, 2003-50 I.R.B.1204
2003-76, 2003-49 I.R.B.1181
2003-77, 2003-49 I.R.B.1182
2003-78, 2003-50 I.R.B.1205
2003-79, 2003-50 I.R.B.1206
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
Proposed Regulations— Continued:
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
REG-113112-03, 2003-40 I.R.B.760
REG-115472-03, 2003-50 I.R.B.1215
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
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.
December 15, 2003ii2003-50 I.R.B.

Revenue Procedures— Continued:
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
2003-86, 2003-50 I.R.B.1211
Revenue Rulings:
2003-70, 2003-27 I.R.B.3
2003-71, 2003-27 I.R.B.1
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
Revenue Rulings— Continued:
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
2003-123, 2003-50 I.R.B.1200
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
9094, 2003-50 I.R.B.1201
9095, 2003-49 I.R.B.1175
2003-50 I.R.B.iiiDecember 15, 2003

Findings List of Current Actions on
Previously Published Items
1
Bulletins 2003-27 through 2003-50
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
97-34 (section II-E)
Superseded by
Notice 2003-75, 2003-50 I.R.B.1204
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
2003-25
Superseded by
Notice 2003-75, 2003-50 I.R.B.1204
2003-36
Modified by
Notice 2003-59, 2003-35 I.R.B.429
2003-57
Superseded by
Notice 2003-75, 2003-50 I.R.B.1204
Proposed Regulations:
REG-EE-86-88 (LR-279-81)
Withdrawn by
REG-122917-02, 2003-27 I.R.B.15
REG-209817-96
Withdrawn by
Ann. 2003-79, 2003-50 I.R.B.1219
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
REG-133791-02
Corrected by
Ann. 2003-80, 2003-50 I.R.B.1220
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
Revenue Procedures— Continued:
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
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
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.
December 15, 2003iv2003-50 I.R.B.

Revenue Procedures— Continued:
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
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
Revenue Procedures— Continued:
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
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
2002-21
Amplified by
Rev. Proc. 2003-86, 2003-50 I.R.B.1211
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
Revenue Procedures— Continued:
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
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
2003-50 I.R.B.vDecember 15, 2003

Revenue Rulings— Continued:
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
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
Revenue Rulings— Continued:
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
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
Revenue Rulings— Continued:
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
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
68-667
Amplified by
Rev. Rul. 2003-123, 2003-50 I.R.B.1200
69-18
Obsoleted by
Rev. Rul. 2003-99, 2003-34 I.R.B.388
December 15, 2003vi2003-50 I.R.B.

Revenue Rulings— Continued:
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
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
Revenue Rulings— Continued:
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
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
Revenue Rulings— Continued:
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
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
2003-50 I.R.B.viiDecember 15, 2003

Revenue Rulings— Continued:
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
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
Revenue Rulings— Continued:
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
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
Revenue Rulings— Continued:
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
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
December 15, 2003viii2003-50 I.R.B.

Revenue Rulings— Continued:
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
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
Revenue Rulings— Continued:
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
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
9078
Corrected by
Ann. 2003–81, 2003-50 I.R.B.1220
9083
Corrected by
Ann. 2003-60, 2003-45 I.R.B.1049
2003-50 I.R.B.ixDecember 15, 2003
*U.S. G.P.O.: 2003—304–774/60113