Corporate Taxes, Accounting Methods

Be Wary of Relying on Recent Tax Decisions for Recent Transactions

Miller Canfield on 7/10/2024

At issue in Continuing Life Thousand Oaks, LLC. v. Commissioner, affirmed May 21, 2024, was the year of inclusion in gross income of an income item. The disputed years were 2008, 2009, and 2010 -- taxable years that preceded...more

Sound familiar? IRS releases year-end procedural accounting method guidance regarding the treatment of R&D expenditures under...

Eversheds Sutherland (US) LLP on 1/2/2024

Not unlike the last minute procedural guidance released at the end of last year addressing Section 174, on December 22, 2023, the Department of the Treasury (Treasury) and the Internal Revenue Service (IRS) released Notice...more

Reporting Methods – “Accrual Basis” or “Cash Basis”

Barnea Jaffa Lande & Co. on 3/16/2023

The district court recently ruled that when determining a business’s correct reporting method to the Israel Tax Authority (ITA)—on an accrual or a cash basis—it is insufficient to examine the technical question of a...more

A Timely Update: The IRS and Treasury release Rev. Proc. 2022-14 updating list of automatic accounting method changes

Eversheds Sutherland (US) LLP on 2/4/2022

Section 446(e) requires a taxpayer to obtain IRS consent prior to changing its accounting method. A change in method of accounting may include either a change in an overall plan of accounting for gross income or deductions...more

Last minute addition to your summer reading list: Rev. Proc. 2021-34, IRS guidance for implementing the final Section 451...

Eversheds Sutherland (US) LLP on 8/18/2021

On August 12, 2021, the IRS released Rev. Proc. 2021-34, setting forth procedural guidance to implement the final Section 451 regulations (Final Regulations). The revenue procedure not only provides the terms and conditions...more

IRS releases Notice 2018-26 - retroactively disregarding certain accounting method changes and entity classification elections

Eversheds Sutherland (US) LLP on 4/10/2018

The Treasury Department and the Internal Revenue Service (IRS) issued Notice 2018-26, which provides guidance under section 965 of the Internal Revenue Code regarding the “transition tax.” Section 965 imposes a transition tax...more

IRS Releases Updated Automatic Changes in Methods of Accounting List

Eversheds Sutherland (US) LLP on 4/24/2017

On April 19, 2017, the Internal Revenue Service (IRS) released Rev. Proc. 2017-30, 2017-17 I.R.B. 1, which provides an updated list of automatic changes in methods of accounting. As was the case with its predecessor, Rev....more

Corporate Taxes › Accounting Methods