May 22, 1995
VIA FAX
TO: ACCOUNTING/TREASURERS COMMITTEE No. 20-95
TAX COMMITTEE No. 20-95
RE: JUNE 12 MEETING ON MULTIPLE CLASS TAX ISSUES
______________________________________________________________________________
As you may know, a subcommittee of the Tax Committee met in March to discuss various
preferential dividend issues under Internal Revenue Code section 562(c). Since the March meeting, the
Institute has been preparing a comprehensive preferential dividend proposal that would address a variety
of issues, including what expenses may be charged to specific classes and when these class-specific
expenses can be waived (on either a pro-rata or a non-pro-rata basis). To fully develop our proposal, we
would like the views of the Tax and Accounting Treasurers Committees on a number of issues, as well
as your help in developing certain facts regarding multi-class structures.
To develop the relevant facts, we request that your complex complete the attached confidential
survey by June 2 and return it to Keith Lawson by mail or by fax (202-326-5841). Please call Keith at
202-326-5832 if you have any questions regarding the survey.
In addition, we have scheduled a meeting of members to discuss these issues and the survey
results. The meeting will be held on Monday, June 12 at 2:00 p.m. in the David Silver Conference Room,
located on the 12th floor of our offices at 1401 H Street, N.W. Lunch will be available from 1:15 p.m
until 2:00 p.m. All persons planning to attend the meeting should either complete the attached response
sheet and fax it to Lisa Rand at 202-326-5841 or call Lisa at 202-326-5836 no later than Thursday, June
8.
We will keep you informed of developments.
Keith D. Lawson
Associate Counsel - Tax
Attachments