Client Services / Tax / Accounting Methods

Accounting Methods

Our Firm has an established practice advising clients with respect to accounting methods issues. Many of the lawyers in our Accounting Methods Group are certified public accountants. Their financial accounting backgrounds, experience and perspective are invaluable when handling tax accounting matters on behalf of clients. The Accounting Methods Practice represents clients in three general areas:

  • Adoption of accounting methods
  • Changes in methods of accounting
  • Audit and controversy situations

ADOPTION OF ACCOUNTING METHODS 
 We advise clients on the adoption of a wide variety of accounting methods. For example, our Firm has a long history of rendering advice with respect to inventory methods, depreciation and amortization methods and the proper time to accrue income and deductions.

CHANGING ACCOUNTING METHODS 
A taxpayer is generally required to obtain the consent of the Internal Revenue Service prior to changing a method of accounting. The factors affecting the decision whether to change a method of accounting can often be complex. Our knowledge and experience enable us to identify and evaluate the advantages and disadvantages of various courses of action. McDermott Will & Emery has worked closely with the IRS National Office on behalf of numerous clients that have decided to change a particular method of accounting in order to achieve the desired outcome.

AUDIT AND CONTROVERSY REPRESENTATION 
We also advise clients in audit and controversy situations involving the entire spectrum of accounting methods issues. In recent years, the IRS has been extremely persistent in trying to force taxpayers to accrue income as soon as possible and delay accruing deductions as late as possible. Due to our experience in the accounting methods area, we are well positioned to successfully resolve our clients’ cases.

Contacts

Tax Client Services

McDermott Will & Emery

McDermott Will and Emery