Any part of the five-step model may cause a significant departure from the current financial reporting practices of many manufacturers and may also have significant income tax implications.
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Tax Accounting
Deduct Your Demolished Building Using a General Asset Account
Recently released tangible property regulations provide a potential opportunity to continue depreciating a building after demolition has occurred.
New Revenue Procedure Updates List of Automatic Accounting Method Changes
The IRS updated the procedures taxpayers must use to make automatic changes in accounting method.
How Internet Domain Names Are Taxed
The IRS determined that the costs of acquiring domain names are to be capitalized as intangible assets and amortized over a 15-year period.
Retailer and Restaurant Remodel-Refresh Safe Harbor: Frequently Asked Questions
Taxpayers have had significant questions regarding the safe harbor.
IRS Affirms Deductibility of Some—but Not All—Computer Software Development and Implementation Costs
Not all computer software development and implementation costs are deductible when paid or incurred and certain software-related costs
must be capitalized and recovered through amortization for federal income tax purposes.
Bonus Depreciation After the PATH Act
Congress made a notable change to the definition of qualifying property for bonus depreciation purposes.
IRS Weighs In on the Tax Treatment of Computer Costs
Taxpayers apparently have been under the impression that the tax treatment of computer software costs was changed.
IRS Issues 2016 and Revised 2015 Vehicle Depreciation Limits
The IRS issued guidance providing the depreciation limits for automobiles for 2016 and revised limits for 2015 reflecting the retroactive increase in the amount of bonus depreciation permitted under recent legislation.
Understanding the Safe Harbor for Ratable Service Contracts
This column focuses on what the revenue procedure provides to taxpayers that was not previously available.
New Form 3115 Is Required, IRS Announces
The IRS alerted the public that a new Form 3115, Application for Change in Accounting Method, has been issued with a revision date of December 2015, the first revision since 2009.
Qualifying Stores and Restaurants Can Deduct Majority of Remodeling Costs
The IRS is permitting some taxpayers to use a
safe-harbor method of accounting for determining whether expenditures paid or
incurred to remodel are deductible or must be capitalized.
Updating the Fixed-Asset Listing With Estimates After Sampling
This item discusses best practices to consider when planning a tangible property regulations sample.
What Does the New Revenue Recognition Standard Mean for Tax?
Companies should get a jump on analyzing the effects of implementing the standard and evaluating tax methods.
IRS Announces Higher De Minimis Safe Harbor for Tangible Property Expensing
The IRS announced it will raise the deductible amount for purchases of tangible property by taxpayers without applicable financial statements to $2,500 per item.
New Retail and Restaurant Remodel/Refresh Safe Harbor for Determining Repairs
A new safe harbor allows retail and
restaurant taxpayers to deduct 75% of qualifying expenditures for remodeling qualified buildings and capitalize just 25%.
Sales-Related Expenses Remove Taxpayers From “Small Reseller” Exception of Sec. 263A
Determining whether an expense is deductible
as related to the sale of inventory or capitalizable under Sec. 263A appears to be less favorable to taxpayers following two recent court decisions.
IRS Issues Final Regulations on Integrated Hedging Transactions of Qualifying Debt
The regulations were meant to address a perceived abuse of taxpayers claiming a foreign currency loss by partially legging out of an integrated transaction.
Hedging Market Risks: Accounting for Notional Principal Contracts
This article looks at the timing and characterization rules that apply to payments under a notional principal contract.
The Sec. 461 All-Events Test: Timing for Deducting Accrued Warranty Claims
Practitioners must carefully consider several tests under Sec. 461 to determine the deductibility of accrued warranty expense for tax purposes.
TAX PRACTICE MANAGEMENT
2025 tax software survey
AICPA members in tax practice assess how their return preparation software performed during tax season and offer insights into their procedures.
