Question: Concerning changes to accounting methods: The IRS generally allows the taxpayer to spread a positive adjustment into future years for voluntarily changes from incorrect methods.
Concerning changes to accounting methods:
The IRS generally allows the taxpayer to spread a positive adjustment into future years for voluntarily changes from incorrect methods.
The IRS will not require a change unless the net adjustment is positive.
For required changes, if the adjustment is > $3,000, the taxpayer can elect to calculate tax by spreading adjustment over one or more previous years.
All of the above statements are correct.
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