TAX NEWS - January 2010

Corrected RR-2010-03

On Dec. 24, 2009, the IRS released Rev. Rul. 2010-3 (to be published in I.R.B. 2010-3, dated January 19, 2010), which provides that the London International Financial Futures and Options Exchange (LIFFE) is a  Qualified Board or Exchange within the meaning of section 1256(g)(7)(C) of the Code.  The version of Rev. Rul. 2010-3 released on December 24, 2009 stated that the revenue ruling was effective for LIFFE contracts (commodity futures contracts and futures contract options) entered into on or after January 1, 2010.  The IRS has made changes to the revenue ruling to clarify that it is effective for LIFFE contracts (futures contracts and futures contract options) entered into on or after January 1, 2010. 

SUMMARY:  REVISED REVENUE RULING 2010-3 – the change in this version (from the prior version released on December 24, 2010) is that in the EFFECTIVE DATE paragraph, the revised revenue ruling is effective for LIFFE contracts (futures contracts and futures contract options) entered into on or after January 1, 2010; the prior version was effective for LIFFE contracts (commodity futures contracts and futures contract options) entered into on or after January 1, 2010.

Effective Date: The revenue ruling will remain effective as of January 1, 2010.