October 26, 1992
TO: TAX MEMBERS NO. 68-92
OPERATIONS MEMBERS NO. 40-92
TRANSFER AGENT ADVISORY COMMITTEE NO. 63-92
INSTITUTIONAL FUNDS COMMITTEE NO. 24-92
RE: PRESIDENT SIGNS ENERGY BILL
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President Bush has signed the energy bill (H.R. 776), which
was approved by the Congress on October 8. As we previously
informed you, this bill (1) increases the backup withholding rate
to 31 percent, effective for amounts paid after December 31,
1992, and (2) repeals the restrictions that previously had
limited nuclear decommissioning funds to direct investments in
federal obligations, effective for taxable years beginning after
December 31, 1992. (See Institute Memorandum to Tax Members No.
64-92, Operations Members No. 36-92, Transfer Agent Advisory
Committee No. 57-92 and Institutional Funds Committee No. 20-92,
dated October 8, 1992.)
We will keep you informed of developments.
Keith D. Lawson
Associate Counsel - Tax