This is a hands-on approach to unleashing large deductions for your clients, and helping your clients avoid significant tax risks before they mushroom into major tax issues. Buried deep in the Internal Revenue Code are the mysteries of accounting methods. These have traditionally been to exclusive province of only large accounting firms; you can bring this critical tax tool to your clients.
We’ll cover the big issues, and how to make these changes with hand-on, real-life examples and filled-out Forms 3115.
Publication Date: September 2022
Topics Covered
- Changes in accounting methods for small businesses
- Accrual to cash
- No longer computing inventories
- No longer using section 263A
Identifying tax shelters that can prevent taxpayers from qualifying as "small businesses."Switching from cash to accrualThis saves some companies money
Learning Objectives
- Identify accounting method changes available for small businesses
- Identify businesses that are better served by using the accrual method
- Identify tax shelters including 35% syndicates
- Identify benefits and burdens of using the cash method
- Identify the accounting method that is much easier to use and usually defers income
- Identify the deduction type that is made as payments are made
- Identify what type of income can be avoided by using the cash method
- Identify the IRS form that should be filed when switching from the accrual to cash basis accounting method
- Identify the type of tax shelter that almost does not exist anymore
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
None
Advance Preparation
None
Instructor
Greg White
Greg White, CPA, taught for 14 years as an adjunct professor for Golden Gate University. He’s admitted to practice before the United States Tax Court. He is a founder and shareholder, in WGN PS in Seattle, WA. He has been named a Top 50 IRS Representation Practitioner in the U.S. by CPA Magazine and has taught for a number of professional organizations. Greg enjoys the technical side of tax, but also likes to have fun in class.