In an article published by Accounting Today on July 30, 2015, John Hackney offers his insight into takeaways from the first season of the repair regulations. Although the new repair regulations have been known and talked about for several years, this past tax season was the first in which preparers had to actually understand them, explain them and apply them to clients’ returns. Although not voted on by a single elected official, the new regs rewrite a vast body of law and tax accounting principles, according to John Hackney. “For larger taxpayers, they presented the opportunity to go back and look at your fixed asset schedule and decide whether you’re complying with current methods of accounting following the new regs, and whether there is the opportunity for a favorable Section 481 adjustment,” Hackney said. “However, for more modest taxpayers, they’re essentially looking at a fairly high compliance burden to figure out if they can comply with the massive set of new regulations.” You may read the full article here.
- News & Analysis