Rev. Rul. 84-77
1984-1 C.B. 131, 1984-22 I.R.B. 8.
Internal Revenue Service
Revenue Ruling
LIFO; PRICE INDEXES; DEPARTMENT STORES
Published: May 29, 1984
Section 472. - Last-In, First-Out Inventories, 26 CFR 1.472-1: Last-in, first-out inventories.
LIFO; price indexes; department stores. The January 1984 Bureau of Labor Statistics price indexes are accepted for use by department stores employing the retail inventory and last-in, first-out inventory methods of valuing inventories for tax years ended on, or with reference to, December 31, 1983, and January 31, 1984.
Price indexes for February 1984 were issued by the Bureau of Labor Statistics on March 26, 1984, for use by department stores and are accepted by the Internal Revenue Service, under section 1.472-1(k) of the Income Tax Regulations and Rev. Proc. 72-21, 1972-1 C.B. 745, for appropriate application to inventories of department stores employing the retail inventory and last-in, first-out inventory methods for tax years ended on, or with reference to, December 31, 1983, and January 31, 1984.
Indexes are prepared 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)
January January Percentage
1983 1984 Change
from
January
1983 to
January
1984 [FN1]
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I. Piece Goods ....................... 392.9 384.3 -2.2
II. Domestics and Draperies ........... 504.2 515.9 -2.3
III. Women's and Children's Shoes ...... 539.2 538.0 -0.2
IV. Men's and Boy's Shoes ............. 669.6 685.8 2.4
V. Infants' Wear ..................... 464.9 470.1 1.1
VI. Women's Underwear ................. 388.6 410.2 5.6
VII. Women's and Girls' Hosiery ........ 221.9 230.9 4.1
VIII. Women's and Girls' Accessories .... 412.6 419.4 1.6
IX. Women's Outerwear and Girls'
Wear ............................ 315.1 324.7 3.0
X. Men's Clothing .................... 441.3 451.7 2.4
XI. Men's Furnishings ................. 451.1 458.4 1.6
XII. Boys' Clothing and Furnishings .... 407.5 426.0 4.5
XIII. Jewelry ........................... 678.4 694.8 2.4
XIV. Notions ........................... 464.1 466.4 0.5
XV. Toilet Articles and Drugs ......... 566.9 610.6 7.7
XVI. Furniture and Bedding ............. 502.6 514.4 2.3
XVII. Floor Coverings ................... 427.1 454.8 6.5
XVIII. Housewares ........................ 719.0 731.7 1.8
XIX. Major Appliances .................. 238.3 238.7 0.2
XX. Radio and Television .............. 115.8 114.0 -1.6
Groups I-XV: Soft Goods ........... 442.5 456.2 3.1
Groups XVI-XX: Durable Goods ...... 437.2 445.6 1.9
Store Total ....................... 440.9 453.0 2.7
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FN1. Absence of a minus sign before percentage change in this column signfies
price increase.
Rev. Rul. 84-77, 1984-1 C.B. 131, 1984-22 I.R.B. 8.