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page 8.

Editorial features of this Bulletin include the following,

covering items published in the Bulletin during the
first six months of this year:
A list of Announcements of Actions on Decisions of Page 5.

the Tax Court of the United States.
A topical index of such items.

Page 24.
A Finding List of Revenue Rulings, Revenue Pro- Page 18.

cedures, Treasury Decisions, etc., so published.
A list of Technical Information Releases so pub- Page 20.

The Revenue Service describes how banks should com- Rev. Rul. 63-122,

pute additions to bad debt reserves where they main-
lain so-called “hold-back accounts" with respect to

installment papers acquired from merchants.
An amendment to the regulations has been adopted to T.D. 6657, page 9.

define the date of a determination under section 547
of the Code relating to the deduction for deficiency
dividends for purposes of the personal holding com-

pany tax.
Capital gains realized by and retained as part of the Ct.D. 1880,

corpus of an American trust are not exempt from
Federal income tax under the United States—United
Kingdom convention, even though the beneficiaries

are British residents and subjects.
Amendments have been proposed to the regulations as Announcements,

page 4.
(1) To reflect the Self-Employed Individuals Retire-

ment Act of 1962 as it relates to the deduction
of contributions to qualified pension, annuity,
and profit-sharing plans and to the taxation of
distributions attributable to such contributions;

(2) To conform the regulations, relating to the taxa-

tion of mutual fire and casualty insurance com-
panies, section 8 of the Revenue Act of 1962.

(Continued on page 3)

page 12

Bulletin Index for January-June 1963 begins on page 24.
Finding Lists begin on pago 18.
Finding List of Technical Information Releases begins on page 20.



The Internal Revenue Bulletin is the authoritative instrument of the Commissioner of Internal Revenue for the announcement of official rulings and procedures of the Internal Revenue Service, and for the publication of Treasury Decisions, Executive Orders, tax conventions, legislation, and court decisions pertaining to internal revenue matters. Other items considered to be of general interest are also published in the Bulletin, such as announcements relating to proposed regulations published with notice of proposed rulemaking, announcements relating to decisions of the Tax Court of the United States, announcements of the disbarment and suspension of attorneys and agents from practice before the Internal Revenue Service, Delegation Orders, names of organizations whose status as tax-exempt organizations for purposes of section 170 of the Internal Revenue Code of 1954 has been changed, etc.

It is the policy of the Service to publish in the Bulletin all substantive and procedural rulings of importance or of general interest, the publication of which is considered necessary to promote a uniform application of the laws administered by the Service. It is also the policy to publish all rulings and statements of procedures which supersede, revoke, modify, or amend any published ruling or procedure. Except where otherwise indicated, published rulings and procedures apply retroactively. Rulings and statements of procedures relating solely to matters of internal management are not published. However statements of internal practices and procedures affecting rights or duties of taxpayers, or industry regulation, which appear in internal management documents, are published. Revenue Rulings and Revenue Procedures are based upon rulings and internal management documents prepared in the various divisions of the National Office, including the Office of the Chief Counsel for the Internal Revenue Service. In the preparation of these, caution is exercised to conceal the identity of the taxpayer, as well as any confidential personal and business information.

Revenue Rulings and Revenue Procedures reported in the Bulletin do not have the force and effect of Treasury Department Regulations (including Treasury Decisions), but are published to provide precedents to be used in the disposition of other cases, and may be cited and relied upon for that purpose. No unpublished ruling or decision will be cited or relied upon by any officer or employee of the Internal Revenue Service as a precedent in the disposition of other cases.

Since each published ruling represents the conclusion of the Service as to the application of the law to the entire state of facts involved,



Service personnel and others concerned are cautioned against reaching the same conclusions in other cases unless the facts and circumstances are substantially the same. In applying rulings and procedures published in the Bulletin, personnel of the Service and others concerned must consider the effect of subsequent legislation, regulations, court decisions, rulings and procedures.

Each published ruling is designated as a "Revenue Ruling," and each published procedure is designated as a “Revenue Procedure." These should be cited by reference to the year of issuance and the Bulletin and page where reported. Thus, Revenue Ruling No. 10 for 1963, which is reported on page 7 of Bulletin No. 2 for 1963, should be cited as "Rev. Rul. 63-10, I.R.B. 1963-2, 7," until it appears in the Cumulative Bulletin, when it should be cited as “Rev. Rul. 63-10, C.B. 1963-1, -" Similarly, Revenue Procedure No. 2 for 1963, which is reported on page 13 of Bulletin No.3 for 1963, should be cited as "Rev. Proc. 63-2, İ.R.B. 1963-3, 13," until it appears in the Cumulative Bulletin. Revenue Rulings are keyed to the applicable sections of the Internal Revenue Code and regulations.

The Bulletin is published weekly and may be obtained on a subscription basis from the Superintendent of Documents, as indicated below. The contents of the Bulletin are consolidated at least semiannually into a permanent, indexed, Cumulative Bulletin. These are sold on a single-copy basis. Subscribers to the weekly Bulletin will be notified when copies of the Cumulative Bulletins are available.

The contents of this publication are not copyrighted and may be reprinted freely. A citation of the Internal Revenue Bulletin as the source would be appropriate.

The regulations have been amended to require the reg. T.D. 6656, page 11.

istration of a change of address by each person en-
gaged in the business of accepting wagers before con-

ducting any wagering activity at the new address.
The tax on transfers of any interest in silver bullion has Announcement

been repealed, effective with respect to transfers on 63–70, page 16.

and after June 5, 1963. ESTATE TAX: Amendments to the regulations have been proposed to Announcement,

quire the inclusion in gross estate of real property
situated outside of the United States.

page 4.

For sale by the Superintendent of Documents, U.S. Government Printing Office,

Washington 25, D.C. Price 20 cents (single copy). Subscription price: $6.00 a year; $2.75 additional for foreign mailing.

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