Qualified Zone Academy Bonds; Obligations of States and Political Subdivisions; Correction

---
identifier: "/us/fr/C1-2010-21045"
source: "fr"
legal_status: "authoritative_unofficial"
title: "Qualified Zone Academy Bonds; Obligations of States and Political Subdivisions; Correction"
title_number: 0
title_name: "Federal Register"
section_number: "C1-2010-21045"
section_name: "Qualified Zone Academy Bonds; Obligations of States and Political Subdivisions; Correction"
positive_law: false
currency: "2010-08-25"
last_updated: "2010-08-25"
format_version: "1.1.0"
generator: "[email protected]"
agency: "Treasury Department"
document_number: "C1-2010-21045"
document_type: "rule"
publication_date: "2010-08-25"
agencies:
  - "Treasury Department"
  - "Internal Revenue Service"
cfr_references:
  - "26 CFR Part 1"
rin: "1545-BC61"
fr_citation: "75 FR 52266"
fr_volume: 75
docket_ids:
  - "TD 9495"
effective_date: "2010-08-25"
fr_action: "Correcting amendment."
---


#  Qualified zone academy bonds.

**AGENCY:**

Internal Revenue Service (IRS), Treasury.

**ACTION:**

Correcting amendment.

**SUMMARY:**

This document contains a correction to final regulations (TD 9495) that were published in the *Federal Register* on Friday, July 30, 2010 (75 FR 44901) providing guidance to state and local governments that issue qualified zone academy bonds and to banks, insurance companies, and other taxpayers that hold those bonds on the program requirements for qualified zone academy bonds.

**DATES:**

This correction is effective on August 25, 2010, and is applicable on July 30, 2010.

**FOR FURTHER INFORMATION CONTACT:**

Zoran Stojanovic, (202) 622-3980 (not a toll-free number).

**SUPPLEMENTARY INFORMATION:**

**Background**

The final regulations (TD 9495) that are the subject of this document are under section 1397E of the Internal Revenue Code.

**Need for Correction**

As published, the final regulations (TD 9495) contain an error that may prove to be misleading and is in need of clarification.

**List of Subjects in 26 CFR Part 1**

Income taxes, Reporting and recordkeeping requirements.

**26 CFR Part 1**

**Correction of Publication**

Accordingly, 26 CFR part 1 is corrected by making the following correcting amendment:

**PART 1—INCOME TAXES**

*Paragraph 1.* The authority citation for part 1 continues to read in part as follows:

**Authority:**

26 U.S.C. 7805 * * *

**26 CFR Part 1**

*Par. 2.* Section 1.1397E-1 is amended by revising the first sentence of paragraph (m)(3) to read as follows:

§ 1.1397E-1

(m) * * *

(3) * * * Except to the extent inconsistent with the successor statutory provisions for QZABs in sections 54A and 54E or applicable public administrative or regulatory guidance under those provisions and except as otherwise provided in this paragraph (m)(3), issuers and taxpayers may apply these regulations to QZABs issued under sections 54A and 54E that are sold after October 3, 2008. * * *

LaNita Van Dyke,

Chief, Publications and Regulations Branch, Legal Processing Division, Associate Chief Counsel (Procedure and Administration).