Article Abstract:
Many taxpayers are unaware of tax provisions that allow for the reduction or deferral of tax liabilities. Though these methods lack the glamour of tax shelters, the results are usually certain. Generally a consistent accounting method should be followed for tax purposes, but the start of a new or separate business allows for another free choice. The cash method is not limited to small taxpayers. Accrual taxpayers often overlook deferral opportunities. The hybrid method can be used with separate and distinct businesses. LIFO can offer tax savings in periods of inflation and can include all or part of the inventory.
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Article Abstract:
The Financial Accounting Standards Board (FASB) arguments on pension accounting border on pure scholasticism. The needs of financial statement users should be used as a guide in finding a solution. The FASB does not justify pension accounting proposals as an improvement over current information. The proposals do not meet the need of potential users. Differences would not always reflect substantive economic differences in circumstances.
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Article Abstract:
The purchase of an accounting practice is usually done without a thorough evaluation. The purchase decision is composed of the purchaser's goals, quality and size of the practice and the objectivity of the evaluator. A point system can be used to quantify qualitative-factors. Developing a body of knowledge from surveys to evaluation models would help accountants in purchasing decisions. Exhibits are included.
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