The IRS extended for one year its waiver of the eligibility rule that generally prevents taxpayers from using the automatic accounting method change procedures to change the treatment of the same item more than once within a five-year period.
This article highlights a few ASC Topic 740, Income Taxes, tax matters companies have missed or overlooked in tax provisions.
In some situations, an accounting method must be changed by operation of law.
A corporation may have to use the accrual method if it is required to maintain inventory records.
The IRS finalized regulations that implement new SEC rules that change how gains and losses in money market funds are calculated.
Unless otherwise provided, a taxpayer must secure the IRS’s consent before changing its accounting method.
A grocery store/gasoline retailer could take a deduction for discounts on gasoline purchases that the store’s customers had accrued but not yet taken at the end of the year.
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.
The IRS updated the procedures taxpayers must use to make automatic changes in accounting method.
Taxpayers have had significant questions regarding the safe harbor.
This column focuses on what the revenue procedure provides to taxpayers that was not previously available.
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.
This item discusses best practices to consider when planning a tangible property regulations sample.
Companies should get a jump on analyzing the effects of implementing the standard and evaluating tax methods.
Practitioners must carefully consider several tests under Sec. 461 to determine the deductibility of accrued warranty expense for tax purposes.
Small business taxpayers should be aware of the implications of adopting the regulations through the small business exception.
Taxpayers using the accrual-basis method of accounting were given a safeharbor to treat economic performance as occurring on a ratable basis for certain service contracts.
The IRS asked for comments on what effect the new proposed financial accounting revenue recognition standards issued by FASB and the International Accounting Standards Board should have on taxpayers’ methods of accounting.
Qualifying accrual-basis taxpayers will be allowed to treat economic performance of certain service contracts as occurring on a ratable basis under a safe harbor introduced by the IRS.
The IRS has posted a draft revised version of Form 3115, Application for Change in Accounting Method, on its website.