Rev. Rul. 69-416

Treasury Decision 7015, published in the Federal Register dated June 20, 1969, this page, amends section 1.1012-1(c)(7)(ii)(a) of the Income Tax Regulations to expand the types of transactions to which the "book-entry Treasury security" rules contained in the regulations under section 1012 of the Internal Revenue Code of 154 are applicable. These identification rules are used in certain circumstances to determine the basis and holding period of book-entry Treasury securities upon their sale or transfer.

Revenue Ruling 67-419, C.B. 1967-2, 265, specifies the information to be contained in a written instruction to sell or transfer a book-entry Treasury security in order that a "serially-numbered advice of transaction" will satisfy the "written confirmation" requirements of section 1.1012-1(c)(3)(i)(b) of the regulations. In addition, Revenue Ruling 67-419 states that for purposes of section 1236 of the Code and the regulations thereunder (relating to the identification of securities held by a dealer for investment), the identification of a particular book-entry Treasury security in the dealer's books of account by reference to the "serially-numbered advice of transaction" furnished by the "Reserve Bank" (as those terms are defined in section 1.1012-1(c)(7) of the regulations) upon the acquisition of such security is a satisfactory method of identification.

Revenue Ruling 67-419 is hereby amplified to be made applicable to transactions to which the book-entry Treasury security rules have been extended by the amendment of section 1.1012-1(c)(7)(ii)(a) of the regulations.

¹ Also released as Technical Information Release 1018, dated July 11, 1969.