On September 13, 2013 IRS released final tangible property regulations effective for years beginning after January 1, 2014. So for calendar year taxpayers, this is the first tax season that they have to deal with the new regulations. The new regulations place a significant compliance burden on small businesses and even individuals that own real estate. The final regulations require any taxpayer that owns or leases a real estate or uses materials to file multiple changes in accounting method with the 2014 tax return to comply with the regulations.
Due to an outcry from the accounting and business communities, the IRS relented and on February 13, 2015 gave us a Valentine day present. They offered relief for small taxpayers from some of the provision of the final tangible property regulations in the form of Revenue Procedure 2015-20.
This relief will save hours of compliance for each affected taxpayer.
If you have questions regarding this or any other tax topic, we are ready to assist you.
—Leon Granovsky, CPA — firstname.lastname@example.org