Tangible Property Regulation Compliance

Proper compliance with tangible property regulations requires an understanding of how your business intersects with current IRS guidance

RSM’s tangible property resource team includes multidisciplinary professionals with broad experience in assisting companies to favorably comply with the tangible property regulations.

We can review applicable documents, conduct interviews with your facilities personnel, and perform site inspections where appropriate. This information is used to determine any adjustments for materials and supplies, de minimis asset purchases, unit of property cost basis (including building system components), improvements versus repairs, and dispositions. We can then compute the resulting applicable section 481(a) adjustments, review our final conclusions with you, help you prepare and file the required Form(s) 3115, and assist with tax return elections.

After completing the filing requirements, we can help you implement a comprehensive, Excel-based fixed asset upload that reflects the reclassifications generated by our analysis and assist with new asset accounting procedures to ensure continued compliance with these new regulations. We can also help keep you in compliance by performing periodic reviews of your latest fixed asset additions.

Recommended Insights

New flowcharts provide clarity on the final tangible property regulations


New flowcharts provide clarity on the final tangible property regulations

Use our guides to gain an understanding of the compliance requirements related to the final tangible property regulations.

Related Insights


Retail and restaurant industry guidance for tangible property regulations

This guidance provides updates on the tax treatment of remodel or refresh expenditures and a safe harbor method of accounting for qualified taxpayers.


Are we done yet? What’s next with the tangible property regulations?

RSM overviews recent guidance on the tangible property regulations and the effects on tax reporting to help ensure compliance is maintained.


IRS issues retail and restaurant guidance on remodel and refreshment costs

The IRS issued a new safe harbor that may be beneficial to retail and restaurant taxpayers incurring remodel and refresh costs.


Missouri enacts changes to alternative single factor apportionment formula

Missouri amends alternative apportionment formula to clarify sourcing rules applicable to sales other than sales of tangible personal property.


California FTB issues guidance on tangible property regulations

California Franchise Tax Board issues guidance regarding the state’s treatment of the federal tangible property regulations.


IRS issues small taxpayer relief under the tangible property regulations

The IRS issues guidance allowing certain small business taxpayers relief from filing Forms 3115 to implement the tangible property regulations.

Receive our tax newsletters by Email


How can we help you manage tangible property compliance?