Ideas & Insights

Revenue Procedure 2019-43 supersedes Rev. Proc. 2018-31, providing procedures to change accounting methods with automatic consent.

Rev. Proc. 2019-37 offers procedures for accounting method changes to comply with proposed regulations under sections 451(b) and 451(c).

The much anticipated proposed regulations, under Reg. section 1.451-3, implement section 451(b) and affect nearly every taxpayer.

Proposed Reg. section 1.451-8 clarifies how taxpayers can use the section 451(c) method to defer recognition of certain revenue.

IRS provides automatic consent for method changes implementing the yet-to-be-clarified revenue recognition rules of section 451(b).

IRS warns taxpayers that federal law controls the characterization of payments made in exchange for state and local tax deductions.

Automatic method change procedures available for concurrent changes to adopt the new financial accounting revenue recognition standards.

We’ll discuss revenue recognition, goodwill, tax reform and the regulatory examination process specific to employee stock ownership plans.

IRS seeks input on proposed guidance for requesting accounting method changes in year that new financial accounting standards are adopted.