[Federal Register Volume 73, Number 114 (Thursday, June 12, 2008)]
[Rules and Regulations]
[Page 33301]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-13251]


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DEPARTMENT OF THE TREASURY

Internal Revenue Service

26 CFR Part 1

[TD 9398]
RIN 1545-BD70


Partner's Distributive Share; Correction

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Final regulations; correction.

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SUMMARY: This document contains a correction to final regulations (TD 
9398) that were published in the Federal Register on Monday, May 19, 
2008 (73 FR 28699) providing rules for testing whether the economic 
effect of an allocation is substantial within the meaning of section 
704(b) where partners are look-through entities or members of a 
consolidated group. The final regulations clarify the application of 
section 704(b) to partnerships the interests of which are owned by 
look-through entities and members of consolidated groups and, through 
an example, reiterate the effect of other provisions of the Internal 
Revenue Code on partnership allocations.

DATES: This correction is effective June 12, 2008, and is applicable on 
May 19, 2008.

FOR FURTHER INFORMATION CONTACT: Jonathan E. Cornwell and Kevin I. 
Babitz at (202) 622-3050 (not a toll-free number).

SUPPLEMENTARY INFORMATION: 

Background

    The final regulations that are the subject of this document are 
under section 704 of the Internal Revenue Code.

Need for Correction

    As published, final regulations (TD 9398) contain an error that may 
prove to be misleading and is in need of clarification.

Correction of Publication

0
Accordingly, the publication of the final regulations (TD 9398), which 
were the subject of FR Doc. E8-11176, is corrected as follows:
    On page 28701, column 2, in the preamble, under the paragraph 
heading ``B. The Baseline for Comparison in Sec.  1.704-1(b)(2)(iii)'', 
line 2 from the bottom of the second paragraph, the language ``and (2) 
and the conclusions reached by'' is corrected to read ``and (2) and the 
conclusions reached by''.

LaNita Van Dyke,
Chief, Publications and Regulations Branch, Legal Processing Division, 
Associate Chief Counsel, (Procedure and Administration).
 [FR Doc. E8-13251 Filed 6-11-08; 8:45 am]
BILLING CODE 4830-01-P