Kaplan University School of Professional and Continuing Education Kaplan University School of Professional and Continuing Education

Tax Implications of the New Revenue Recognition Guidance (ASU 2014-09, As Amended) (TINR4)

NEW! (Updated for the Tax Cuts and Jobs Act) 4-Hour Program

WHY ATTEND THIS COURSE?

The changes to revenue recognition under GAAP imposed by ASU 2014-09— Revenue from Contracts with Customers, as amended (ASU 2014-09), normally would not directly impact tax reporting. However, many organizations may wish to attempt to have their tax reporting conform to their now revised financial statement reporting. In addition, changes made to §451 by the Tax Cuts and Jobs Act now impose an “at least as rapid” test to ensure revenue is not recognized later for tax than book purposes for income tax purposes.

This course looks at how the changes made by ASU 2014-09, either will create a situation where a taxpayer may wish to conform their reporting or where the taxpayer may be required to do so. In cases where a taxpayer wishes to make a change, we’ll look at how to determine if the option is available. In addition, we’ll look at the mechanics of obtaining IRS permission to change the tax accounting method necessary in all cases.

DESIGNED FOR...

CPAs in industry applying the changes to GAAP reporting found in ASU 2014-09, and CPAs in public practice that deal with clients that are implementing ASU 2014-09.

OBJECTIVE

Participants will be able to:

  • Recognize areas in their business where ASU 2014-09 will cause a divergence from current tax accounting reporting of revenue
  • Recognize situations where the ASU 2014-09 method will be acceptable tax methods and decide whether to seek permission to change the tax reporting
  • Understand the revenue conformity rules imposed by the Tax Cuts and Jobs Act and how implementing ASU 2014-09 will impact tax revenue reporting under those rules
  • Decide, for organizations with revenue less than $25 million, whether to opt for tax basis reporting to avoid revenue conformity requirements

MAJOR SUBJECTS

  • Accounting methods—what is the tax definition?
  • Revenue recognition under IRC §451 for tax purposes
  • Industries where ASU 2014-09 will significantly change revenue recognition
  • IRS rulings on accounting method changes due to ASU 2014-09
  • $25 million accounting method relief enacted by the Tax Cuts and Jobs Act

COURSE ACRONYM: TINR4

PRESENTATION METHOD: Group-live

LEVEL OF KNOWLEDGE: Intermediate

PREREQUISITES:

  • Experience advising clients on tax matters

ADVANCE PREPARATION: None

FIELD OF STUDY: Taxes

RECOMMENDED CPE CREDIT: 4 hours


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SmartPros®, A Kaplan Company and Loscalzo Institute, A Kaplan Company are registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org.