Fringe benefits aircraft valuation formula. The Standard Industry Fare Level (SIFL) cents-per-mile rates and terminal charges in effect for the second half of 2003 are set forth for purposes of determining the value of noncommercial flights on employer-provided aircraft under section 1.61-21(g) of the regulations.

Final regulations under section 2055 of the Code amend the requirements for qualification of charitable guaranteed annuity and unitrust interests for federal income, gift, and estate tax purposes as a result of the Tax Court's decision in Estate of Boeshore v. Commissioner. Rev. Rul. 76-225 revoked.

REG-138495-02

Temporary and proposed regulations under section 1.280F of the Code provide relief from the dollar limits on depreciation imposed by section 280F(a) to taxpayers that use light trucks or vans in their trade or business by amending the definition of “passenger automobile” in order to exclude vans and light trucks that are “qualified nonpersonal use vehicles” as defined in section 1.274-5T(k).

Proposed regulations under section 168 of the Code provide guidance on how to depreciate property for which the use changes in the hands of the same taxpayer. These regulations explain when a change in use occurs and how a taxpayer should determine depreciation in the year of the change in use and subsequent years. A public hearing is scheduled for December 3, 2003.

Proposed regulations under section 1042 of the Code provide guidance concerning the notarized statement of purchase requirements for taxpayers electing to defer gain from the sale of certain stock to an employee stock ownership plan.

Proposed regulations under section 1502 of the Code revise the rules for determining the basis of the stock of the former common parent of a consolidated group after a group structure change. Under the current regulations, the acquiring corporation's basis in the stock of the former common parent is generally redetermined to reflect the former parent's net asset basis. These proposed modifications permit the basis of stock acquired in a fully taxable transaction to reflect the cost of the acquired stock.

Final regulations under section 414(v) of the Code provide guidance on the requirements for retirement plans providing for catch-up contributions to individuals age 50 or older. These final regulations will affect section 401(k) plans, section 408(p) SIMPLE IRA plans, section 408(k) simplified employee pensions, section 403(b) tax sheltered annuity contracts, section 457 eligible governmental plans, and participants eligible to make elective deferrals under these plans or contracts.

A list is provided of organizations now classified as private foundations.

Final regulations under section 2055 of the Code amend the requirements for qualification of charitable guaranteed annuity and unitrust interests for federal income, gift, and estate tax purposes as a result of the Tax Court's decision in Estate of Boeshore v. Commissioner. Rev. Rul. 76-225 revoked.

Final regulations under section 2055 of the Code amend the requirements for qualification of charitable guaranteed annuity and unitrust interests for federal income, gift, and estate tax purposes as a result of the Tax Court's decision in Estate of Boeshore v. Commissioner. Rev. Rul. 76-225 revoked.

Publication 971, Innocent Spouse Relief (And Separation of Liability and Equitable Relief) revised July 2003, is now available from the Internal Revenue Service. It replaces the June 2002 revision.