FIRST, ALL BUSINESSES MUST FILE FOR A CHANGE IN ACCOUNTING METHOD ON FORM 3115 WITH THEIR 2014 TAX RETURN TO CHANGE FROM AN ACCOUNTING METHOD UNDER THE OLD GUIDANCE TO ADOPTING THE RULES UNDER THE NEW GUIDANCE. SECOND, IMPLEMENTATION OF THE NEW GUIDANCE/POLICIES MUST OCCUR IN ONE'S BUSINESS. THE FINAL TANGIBLE PROPERTY REGULATIONS (TPR) THAT TOOK EFFECT IN 2014 ARE THE CODIFICATION OF ALL PREVIOUS GUIDANCE-TEMPORARY REGULATIONS, REVENUE PROCEDURES, COURT CASES, ETC. - REGARDING WHEN AND HOW AN EXPENDITURE OR IMPROVEMENT EFFORT SHOULD BE EXPENSED OR CAPITALIZED/DEPRECIATED. THESE FINAL AUTHORITATIVE RULES SET FORTH VARIOUS TESTS, SAFE HARBORS AND ELECTIONS FOR THE TAX TREATMENT OF TYPICAL EXPENDITURES. THERE SPECIFIC REGULATIONS 1.263(a)-1, 1.263(a)-2, 1.263(a)-3, 1.263(a)-6, 1.162-3, 1.162-4, 1.162-11, 1.167(a)-4, 1.168(i)-1, 1.168(i)-7, 1.168(i)-8 and 1.1016-3. IN MOST OF THESE REGULATIONS, IT STATES THAT A CHANGE TO COMPLY WITH THESE REGULATIONS IS A CHANGE IN ACCOUNTING METHOD, REQUIRING CONSENT OF THE COMMISSIONER. Click for more information.
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