LIFO; price indexes; department stores. The November 2004 Bureau of Labor Statistics price indexes are accepted for use by department stores employing the retail inventory and last-in, first-out inventory methods for valuing inventories for tax years ended on, or with reference to, November 30, 2004.

This notice announces that the Treasury Department and the Service will issue regulations providing that certain exchanges described in section 354 of the Code by a U.S. person involving securities of a foreign or domestic corporation will not be subject to section 367(a).

Final regulations provide guidance for certain retirement plans containing cash or deferred arrangements under section 401(k) of the Code, and provide for matching contributions or employee contributions under section 401(m).

Presidentially declared disasters. This notice advises taxpayers that Rev. Proc. 2004-13, 2004-4 I.R.B. 335, will be modified retroactively to provide additional tax relief to taxpayers (transferors) involved in section 1031 like-kind exchange transactions affected by a Presidentially declared disaster (including Hurricanes Charley, Frances, Ivan, and Jeanne, and Tropical Storm Bonnie), terroristic or military action, or service in a combat zone or contingency operation. Rev. Proc. 2004-13 modified.

This document contains a notice of public hearing on proposed regulations (REG-114726-04, 2004-47 I.R.B. 857) under section 401(a) of the Code that provide rules permitting distributions to be made from a pension plan under a phased retirement program and set forth requirements for a bona fide phased retirement program. The public hearing is scheduled for March 14, 2005.

This document contains a correction to proposed regulations (REG-149519-03, 2004-5 I.R.B. 1009) which relate to the treatment of transactions between a partnership and its partners as disguised sales of partnership interests between the partners.