ATM surcharge fees. This ruling holds that, for federal income tax purposes, a credit card issuer treats third-party ATM surcharge fees incurred by its cardholders as additional amounts loaned to those cardholders. Further, this is so whether the credit card issuer reflects the ATM surcharge fee on the cardholder’s account as part of the amount of the cardholder’s cash advance (as in Situation 1) or as a separately stated amount (as in Situation 2).

Restricted property received for services; securities law. This ruling clarifies that, except as otherwise provided by section 83 of the Code, transfer restrictions on restricted stock or other section 83 property do not prevent the property from being substantially vested for purposes of section 83.

This notice provides supplemental guidance for foreign banks concerning interest expense allocation. The notice also indicates that the Treasury Department and the IRS are evaluating foreign banking industry data to determine whether the 93-percent fixed ratio in step 2 of the interest expense allocation formula under regulations section 1.882-5 should be increased, and whether the fair market value election for valuing U.S. assets should require the use of the actual ratio in step 2. The notice also permits taxpayers who use the adjusted U.S. book liability method to calculate excess interest by reference to a published LIBOR rate rather than the taxpayer’s actual non-U.S.-based dollar borrowing rate.

2005 marginal production rates. This notice announces the applicable percentage under section 613A of the Code to be used in determining percentage depletion for marginal properties for the 2005 calendar year.

2005 enhanced oil recovery credit. The enhanced oil recovery credit for taxable years beginning in the 2005 calendar year is determined without regard to the phase-out for crude oil price increases provided in section 43(b) of the Code.

Tobacco quota termination payments. This notice provides guidance in a Q&A format regarding the tax treatment of payments made to eligible tobacco quota holders for the termination of tobacco marketing quotas and related price support programs under the American Jobs Creation Act of 2004. Notice 2005-51 modified and superseded.

This procedure provides automatic consent procedures for certain taxpayers to change their method of accounting for credit card cash advance fees to treat these fees as creating or increasing OID on a pool of credit card loans that includes the cash advances that give rise to these fees. The procedure also sets forth the conditions under which the Commissioner will not challenge a taxpayer’s treatment of such fees. Rev. Proc. 2002-9 modified and amplified.

American Islamic College, Inc., of Chicago, IL; Athena Sports of Arvada, CO; National Consumer Council, Inc., of Las Vegas, NV; National Consumer Council, Inc., of Los Angeles, CA; Northern Services Group, Inc., of Monsey, NY; Project Homestead, Inc., of High Point, NC; and University of Baltimore Athletic Foundation, Inc., of Baltimore, MD, no longer qualify as organizations to which contributions are deductible under section 170 of the Code.

The Service will not assert the penalty under section 6715 of the Code with respect to dyed diesel fuel that is sold for use or used for highway use in Florida counties west of the Apalachicola River during the period July 8, 2005, through July 18, 2005.

This notice provides supplemental guidance for foreign banks concerning interest expense allocation. The notice also indicates that the Treasury Department and the IRS are evaluating foreign banking industry data to determine whether the 93-percent fixed ratio in step 2 of the interest expense allocation formula under regulations section 1.882-5 should be increased, and whether the fair market value election for valuing U.S. assets should require the use of the actual ratio in step 2. The notice also permits taxpayers who use the adjusted U.S. book liability method to calculate excess interest by reference to a published LIBOR rate rather than the taxpayer’s actual non-U.S.-based dollar borrowing rate.

This notice provides supplemental guidance for foreign banks concerning interest expense allocation. The notice also indicates that the Treasury Department and the IRS are evaluating foreign banking industry data to determine whether the 93-percent fixed ratio in step 2 of the interest expense allocation formula under regulations section 1.882-5 should be increased, and whether the fair market value election for valuing U.S. assets should require the use of the actual ratio in step 2. The notice also permits taxpayers who use the adjusted U.S. book liability method to calculate excess interest by reference to a published LIBOR rate rather than the taxpayer’s actual non-U.S.-based dollar borrowing rate.

This procedure provides the maximum vehicle values using the special valuation rules under sections 1.61-21(d) and (e) of the regulations. These values are indexed for inflation and must be adjusted annually by referring to the Consumer Price Index (CPI).

This procedure prescribes how an eligible educational institution may obtain automatic consent from the Service to change its method of reporting under section 6050S of the Code and section 1.6050S-1 of the regulations. For calendar years beginning after December 31, 2003, an eligible educational institution must elect to report either the aggregate amount of payments received, or the aggregate amount billed, for qualified expenses during the calendar year for students enrolled for any academic period. Section 1.6050S-1(b)(1) provides that once an eligible educational institution elects to report either amounts billed, or payments received, it must continue to use the same method of reporting for all subsequent calendar years for which it is required to file information returns, and furnish information statements, unless permission is granted to change its reporting method. An eligible educational institution that complies with all of the conditions and procedures of this revenue procedure has obtained consent to change its method of reporting as required by section 1.6050S-1(b)(1).