Internal Revenue Service
Revenue Ruling

TaxLinks.com   sm

 Rev. Rul. 66-84

1966-1 C.B. 99

Sec. 472

IRS Headnote

Price indexes for January 1966, published by the Bureau of Labor Statistics on March 4, 1966, for use by department stores employing the retail inventory and last-in, first-out inventory methods.

Full Text

Rev. Rul. 66-84

The following price indexes for January 1966, published by the Bureau of Labor Statistics on March 4, 1966, for use by department stores employing the retail inventory and last-in, first-out inventory methods are accepted by the Internal Revenue Service pursuant to section 1.472-1(k) of the Income Tax Regulations and Mimeograph 6244, C.B. 1948-1, 21, for appropriate application to inventories for taxable years of 12 months ended December 31, 1965, and January 31, 1966.

Indexes are given on a national basis for the store total, for 20 major groups of departments and for two special combinations-soft and durable goods. The store total index covers all departments, including some not listed separately, with the following exceptions: candy, foods, liquor, tobacco, paints, and wallpaper, as well as contract departments.

BUREAU OF LABOR STATISTICS, DEPARTMENT STORE INVENTORY PRICE INDEXES BY DEPARTMENT GROUPS (January 1941 = 100)

                                                          Percent

                                                          change from

                                                          Jan. 1965

       Department                    January  January     to Jan.

         Group                         1966     1965      1966 /*/

1. Piece Goods_______________________ 206.6    205.7         0.4

2. Domestics and Draperies___________ 209.6    206.0         1.7

3. Women's and Children's Shoes______ 281.9    275.1         2.5

4. Men's and Boys' Shoes_____________ 275.7    263.1         4.8

5. Infants' Wear_____________________ 177.2    179.0        -1.0

6. Women's Underwear_________________ 182.5    182.0         0.3

7. Women's and Girls' Hosiery________ 155.2    155.0         0.1

8. Women's and Girls' Accessories____ 207.9    202.0         2.9

9. Women's Outerwear and Girls' Wear_ 192.4    189.9         1.3

10. Men's Clothing____________________ 252.5    241.8         4.4

11. Men's Furnishings_________________ 205.5    202.4         1.5

12. Boys' Clothing and Furnishings____ 221.2    220.9         0.1

13. Jewelry___________________________ 198.1    195.2         1.5

14. Notions___________________________ 186.0    184.3          .9

15. Toilet Articles and Drugs_________ 211.2    206.7         2.2

16. Furniture and Bedding_____________ 237.1    234.0         1.3

17. Floor Coverings___________________ 199.5    198.7         0.4

18. Housewares _______________________ 246.7    242.3         1.8

19. Major Appliances__________________ 128.0    130.0        -1.5

20. Radio and Television Sets_________ 111.6    118.2        -5.6

    Groups 1-15: Soft Goods___________ 211.5    208.2         1.6

    Groups 16-20: Durable Goods_______ 202.2    201.5         0.3

    Store Total_______________________ 209.4    206.8         1.3

/*/ Absence of a minus sign before percnt change in this column signifies price increases.