New accounting method change procedures issued for small business taxpayers
The IRS and Treasury released two revenue procedures on accounting method change procedures.
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The IRS and Treasury released two revenue procedures on accounting method change procedures.
The IRS is sending letters to taxpayers who may need to take additional actions related to qualified opportunity funds.
The Internal Revenue Service issued its annual inflation-adjusted update of depreciation limitations for passenger automobiles, including passenger vans and trucks, placed in service in 2022.
This item outlines the general provisions of Sec. 263A, including special rules and exceptions for resellers, and provides insight into a reseller’s uniform capitalization calculation that may be areas of focus during an IRS examination.
During 2021, the IRS issued taxpayer-favorable procedures allowing certain taxpayers that have made the real property trade or business election under Sec. 163(j)(7)(B) with residential rental property to depreciate such property using the shorter 30-yearrecovery period, using ADS, and certain other taxpayers with qualified residential living facilities to be eligible for the real property trade or business election.
Beginning a detailed analysis early will allow taxpayers the time and flexibility to make those choices and to perform complex computations or make required tax filings.
A revenue procedure catalogues changes subject to general procedures of Rev. Proc. 2015-13.
New procedures follow final regulations to implement simplifications by the law known as the Tax Cuts and Jobs Act.
The IRS advised that a net negative Sec. 481(a) adjustment resulting from a change in method of accounting for depreciation must be included in calculating adjusted taxable income.
The IRS updated the list of accounting method changes to which automatic change procedures apply.
For a limited time, the IRS is allowing automatic change procedures for CFCs changing to the ADS method and has clarified the process and certain aspects of audit protection.
Global supply chain problems caused by the COVID-19 pandemic have made it difficult for US companies to replace inventories, potentially subjecting them to additional taxable income. The AICPA has requested relief under Sec. 473.
As part of its initiative to reduce complexity in accounting standards, FASB issued ASU No. 2019-12 in late 2019 for the purpose of simplifying accounting for income taxes.
New regulations providing guidance on the application of the Sec. 163(j) interest expense limitation may change how some companies calculate their naked credit.
The IRS issued its annual inflation-adjusted update of depreciation limitations for passenger automobiles (including passenger vans and trucks) placed in service in 2021.
The IRS issued Rev. Proc. 2021-26, which contains procedures for certain foreign corporations to obtain automatic consent to change their methods of accounting for depreciation to the alternative depreciation system.
Final regulations clarify the treatment of qualified improvement property in FDII and GILTI, and foreign tax credit transition rules address post-2017 NOL carrybacks to pre-2018 tax years.
The CARES Act corrected an error that had made qualified improvement property ineligible for bonus depreciation; IRS regulations and guidance explain how to take advantage of the change.
Global supply chain problems caused by the COVID-19 pandemic have made it difficult for US companies to replace inventories, potentially subjecting them to additional taxable income. The AICPA has requested relief under Sec. 473.
The IRS updated the list of accounting method changes to which automatic change procedures apply.
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