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Accounting Methods and Periods
Is your company taking advantage of the most tax-efficient accounting methods available?
Implementing optimized accounting methods helps to maximize cash flow, manage effective tax rates and mitigate IRS examinations. Are you following the current guidance regarding income deferral or deduction acceleration? The IRS continues to expand the availability of automatic consent procedures, which eases the process of changing current accounting methods.
If your business cannot address these issues efficiently and effectively, or if you do not have the internal resources to handle this task, RSM can assist. We offer:
- Comprehensive reviews. Detailed analysis of your books, records and tax returns, as well as interviews with tax department personnel, can reveal current accounting practices and allow us to offer valuable insights into your organization. This can lead to more tax-efficient methods for improving cash flow, managing effective tax rates, mitigating past noncompliance or even managing expiring net operating losses. Learn more about our accounting methods review.
- Strategic analysis and discussion. Our team can recommend changes to your existing accounting methods and analyze the potential benefits to your organization. We can work with your team and company leadership to adopt the desired changes.
- Compliance. Method changes are both strategic and tactical. Our accounting methods specialists can prepare the required forms, implement the new methods, file documents and follow up as necessary.
Revenue procedure 2019-13 provides a safe harbor for depreciating passenger autos that qualify for bonus but are limited by section 280F.
Master service and related agreements raise ownership questions as well as question as to qualification under secs. 199A and 1202.
IRS increased the user fees for certain method changes, and revised the Form 3115 with new filing location, among other changes.
Revenue Procedure 2019-12 provides a safe harbor for businesses to deduct quid pro quo contributions under section 162.
Revenue Procedure 2019-08 clarifies depreciation for electing real property trades or businesses and section 179 expenses under TCJA.