Par. 2. Sections 1.167(n)-0 through 1.167(n)-7 are added to read as follows:
This section lists the major captions contained in § 1.167(n)-1 through § 1.167(n)-7
§ 1.167(n)-1 Income forecast method.
(a) Overview.
(b) Method of accounting.
(1) In general.
(2) Election of the income forecast method.
§ 1.167(n)-2 Basis.
(a) Depreciable basis.
(1) In general.
(2) Timing of basis determinations and redeterminations.
(3) Separate Property.
(b) Basis redeterminations.
(c) Unrecovered depreciable basis.
(d) Example.
§ 1.167(n)-3 Income from the property.
(a) Current year income.
(1) In general.
(2) Special rule for advance payments.
(b) Forecasted total income.
(c) Revised forecasted total income.
(d) Special rules.
(1) Disposition of the property.
(2) Syndication income from television series.
(3) Apportionment of income in certain circumstances.
(4) Examples.
§ 1.167(n)-4 Computation of depreciation using the income forecast method.
(a) Computation of depreciation allowance.
(b) Revised computation.
(1) Change in estimated income.
(2) Requirement to use the revised computation.
(c) Basis redeterminations.
(1) Calculation of depreciation allowance.
(2) Example.
(d) Special rules.
(1) Final year depreciation.
(2) Certain basis redeterminations.
(3) Disposition of property.
(4) Separate property.
(e) Examples.
§ 1.167(n)-5 Property for which the income forecast method may be used.
(a) In general.
(b) Specific exclusions.
(c) Costs treated as separate property.
(1) Costs giving rise to a significant increase in income.
(2) Significant increase in income.
(3) Special rule for costs paid or incurred after the end of the final year.
(4) Time separate property is placed in service.
(5) Examples.
(d) Aggregations treated as a single income forecast property.
(1) Multiple episodes of a television series produced in the same taxable year.
(2) Multiple episodes of a television series produced in more than one taxable year.
(3) Multiple interests acquired pursuant to a single contract.
(4) Videocassettes and DVDs.
§ 1.167(n)-6 Look-back method.
(a) Application of the look-back method.
(b) Operation of the look-back method.
(1) In general.
(2) Property-by-property application.
(c) Recalculation of depreciation allowances.
(1) Computation.
(2) Revised forecasted total income from the property.
(3) Special rule for basis redeterminations.
(d) Hypothetical overpayment or underpayment of tax.
(1) In general.
(2) Hypothetical overpayment or underpayment, actual recomputation.
(3) Hypothetical overpayment or underpayment, simplified method.
(4) Definitions.
(e) Recomputation year.
(1) In general.
(2) Look-back method inapplicable in certain de minimis cases.
(f) De minimis basis exception.
(g) Treatment of look-back interest.
(1) In general.
(2) Additional interest due on interest only after tax liability due.
(3) Timing of look-back interest.
(4) Statute of limitations; compounding of interest on look-back interest.
(h) Example.
§ 1.167(n)-7 Effective date.