Some Things Aren’t Forever: Understanding the Differences between Book and Tax Income

Attorneys are not necessarily trained in the language of financial reporting, however, when consulting on a tax issue for a company, it is important to understand the interplay between a company’s financial statement reporting and its tax reporting.

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Practical Guidance Updates 
Featuring the latest updates from your Practical Guidance account.      

• Tax Key Legal Developments Tracker (Federal)
  Stay informed on new developments: 
  • Practice, Procedure, and Controversy: The IRS announced the opening of the application period for the Compliance Assurance Process (CAP) program which begins September 15 and ends November 15, 2022. The CAP program allows large corporate taxpayers to work collaboratively with an IRS team to identify and resolve potential tax issues before tax returns are filed. It also enables the IRS and taxpayers to review and resolve tax issues through open, cooperative, and transparent interactions before the return is filed. IR-2022-158.
  • Practice, Procedure, and Controversy: Treasury issues proposed regulations reflecting provisions of the “Taxpayer First Act of 2019” ( L. No. 116-25), which codified the IRS Independent Office of Appeals in its role as the independent administrative appeals function within the IRS. 87 Fed. Reg. 55934 (Sept. 13, 2022).
• Document alerts allow you to stay current on legal developments that affect your practice. Find out how to set up your document alerts. 
• Check out the new Practical Guidance Author Center! Learn about the 1500+ leading attorney authors contributing to our 21 practice areas, and find out how you can Become a Practical Guidance Author.
• Share fundamental guidance with your firm’s new associates to help them sharpen their research and writing skills, get the inside scoop on associate survival, and hit the ground running in the tax practice area. Review the resources in the First Year Associate Resource Kit: Tax.
• The Practical Guidance Journal Fall Edition features impacts of the Dobbs v. Jackson Health Organization decision on employers, healthcare, insurance, and privacy concerns, and tracks the status of state law changes.
• Listen up! Access our growing collection of podcasts by navigating to the Practical Guidance Podcasts Resource Kit.

• New and Recently Updated Practical Guidance Content
  • • Hard-to-Value Intangibles
    • International Tax Consequences of Cryptocurrency Developments
    • Inflation Reduction Act of 2022: Tax Provisions
    • Statute of Limitations for Tax Returns (No Substantial Omissions)
    • Unauthorized Disclosure of Taxpayer Information (IRC Sections 6103 and 7431)
    • IRC Section 367 and Cross-Border Transfers
    • Leaving the United States: U.S. Tax Planning for U.S. Citizens and Tax Residents Temporarily or Permanently Leaving the U.S.

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