Transition Guidance Expected on Accounting for Tangible Property

For over 50 years, Bloomberg BNA’s renowned flagship daily news service, Daily Tax Report® has helped leading practitioners and policymakers stay on the cutting edge of taxation and...

The government is planning to release more guidance on accounting for tangible property in the coming weeks as a follow-up to its high-profile final rules (T.D. 9636) in this area, a Treasury Department official said.
The final rules address how taxpayers can deduct or capitalize their expenses for maintaining, fixing and replacing tangible property (179 DTR GG-1, 9/16/13). Some examples would be poles and lines utilized by electric companies and pipes used by water companies and gas utilities.
Speaking on a webcast hosted by KPMG LLP, Scott Mackay, an official in Treasury's Office of Tax Policy, said Sept. 25 that more transition guidance is expected by the end of October or early November.
 For full access to this article, please register for a free trial to Daily Tax Report®.