Becoming a Tax Ninja: Tax Accounting Methods Part 2
Author: Greg White
| CPE Credit: |
2 hours for CPAs
2 hours Federal Tax Related for EAs and OTRPs
2 hours Federal Tax Law for CTEC |
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 hands-on, real-life examples and filled-out Forms 3115.
Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2029 to receive credits. NOTE: Go to My Professional Profile in your CCH CPELink account settings to ensure your name, and PTIN number; matches your PTIN card
Publication Date: April 2026
Topics Covered
- Changes in accounting methods for small businesses (< $31 million in trailing gross receipts)
- Accrual to cash accounting method changes
- Accounting method that does not require the keeping of inventories
- No longer using section 263A
- Identifying tax shelters that can prevent taxpayers from qualifying as "small businesses"
- Switching from cash to accrual and accrual to cash
Learning Objectives
- Identify changes in accounting methods for small businesses
- Identify tax shelters that can prevent taxpayers from qualifying as "small businesses"
- Recognize how to switch from cash to accrual, and from accrual to cash
- Identify the accounting method that is required to be used by a tax shelter
- Identify the primary purpose of the economic performance requirement
Level
Basic
Instructional Method
Self-Study
NASBA Field of Study
Taxes (2 hours)
Program Prerequisites
None
Advance Preparation
None
