In This Issue Page iii i of Internal Revenue The function of the Internal Revenue Service is to At the heart of administration is interpretation of The Service also has the responsibility of apply- Administration should be both reasonable and These principles of tax administration were previously published The Internal Revenue Bulletin is the authoritative Bulletin all substantive rulings necessary to pro- mote a uniform application of the tax laws, in- cluding all rulings that supersede, revoke, mod- ify, or amend any of those previously published in the Bulletin. All published rulings apply retro- actively unless otherwise indicated. Procedures relating solely to matters of internal management 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 entire state of facts involved. In those that are based on positions taken in rulings to taxpayers or technical advice to Service field offices, iden- tifying details and confidential information are deleted to comply with statutory requirements. Rulings and procedures reported in the Bulletin precedents. Unpublished rulings will not be relied The regulations, rulings, decisions, procedures, Cumulative Bulletin 1976-3, printed in three vol- umes, is devoted solely to Public Law 94-455, the Tax Reform Act of 1976, and related Com- mittee and Conference reports, which were not published in the Weekly Bulletin. The Bulletin Index-Digest System, a research and reference service supplementing the Bulletin, may be obtained from the Superintendent of Documents on a subscription basis. It consists Service No. 2, Estate and Gift Taxes; Service No. 3, Employment Taxes; Service No. 4, Excise Taxes. Each Service consists of a basic volume and a cumulative supplement that provide (1) finding lists of items published in the Bulletin, dures, and other published items, and (3) topical The contents of this publication are not copyrighted and may be reprinted freely, a citation of the Cumulative Bulletin as Summary of the Tax Reform Act of 1976 prepared by the Joint Com- mittee on Taxation, Vol. 1, page 411; General explanation of the Tax Reform Act of 1976 prepared by the Joint Committee on Taxation, Vol. 2, page 1; House Report 94-658, Vol. 2, page 695; House Report 94-1049, Vol. 3, page 1; House Report 94-1192, Vol. 3, page 19; House Report 94-1210, Vol. 3, page 31; Senate Report 94-938, Vol. 3, page 49; Senate Report 94-938 (part 2), Vol. 3, page 643; House Report 94-1380, Vol. 3, page 735; Senate Report 94-1236, Vol. 3, page 807. House Report 93-1502 House Report 94- 1268, House Report 94-1515, and Senate Report 94-752 are not published. iv 94th Congress An Act To reform the tax laws of the United States. Be it enacted by the Senate and House of Representatives of SECTION 1. TABLE OF CONTENTS Sec. 1. Table of contents TITLE I-SHORT TITLE AND AMENDMENT OF 1954 CODE Sec. 201. Capitalization and amortization of real property construc- Sec. 202. Recapture of depreciation on real property Sec. 203. Amendment of section 167 (k) Sec. 204. Limitations on deductions for expenses Sec. 205. Gain from disposition of interest in oil and gas property Sec. 206. Amendments to farm loss recapture rules Sec. 207. Limitations on deductions in case of farming syndicates; capitalization of certain orchard and vineyard expenses 111 1367 9 11 Sec. 401. Extensions of individual income tax reductions Sec. 402. Refunds of earned income credit disregarded in the admin- 34 |