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In tax law, what is the significance of regulations compared to revenue rulings?

A) Revenue rulings carry more weight.

B) Regulations and revenue rulings have equal weight.

C) Regulations carry more weight than revenue rulings.

D) Revenue rulings are more binding.

User Treb
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Final answer:

Regulations in tax law are issued by the Treasury and carry more weight than revenue rulings, which are interpretations from the IRS. Regulations have the force of law, while rulings provide guidance to taxpayers. Correct option is C.

Step-by-step explanation:

In tax law, the significance of regulations is that they carry more weight than revenue rulings. This is because regulations are issued by the Treasury Department and have the force of law, going through a rigorous review and comment process. Revenue rulings, on the other hand, are the Internal Revenue Service's official interpretation of the tax laws and are intended to provide guidance to taxpayers.

Therefore, the correct answer to the question is: C) Regulations carry more weight than revenue rulings. Regulations are generally afforded the most deference by courts, as they are considered a formal reflection of the Treasury's interpretation of tax law, while revenue rulings give the IRS's view on how the law should be applied in specific situations.

User Abhineetraj
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