The IRS has issued new regulations that generally take effect in 2014. One item in the regulations requires that you adopt a new accounting policy before the beginning of the year in order to be able to take advantage of a new benefit with respect to writing off smaller asset purchases.
Most businesses will use the non-AFS policy.
Businesses that have annual financial statements audited by a CPA, may use the AFS policy.
We recommend that you review the document, print, sign and date it and retain it in your files.
If you would like to read more about the IRS’ new regulations, please read our client letter.