Filing Your Taxes Online is Fast, Easy and Secure.
Start now and receive your tax refund in as little as 7 days.

1. Get Answers

Your online questions are customized to your unique tax situation.

2. Maximize your Refund

Find tax credits for everything from school tuition to buying a hybri

3. E-File for FREE

E-file free with direct deposit to get your refund in as few as 7 days.

Filing your taxes with paper mail can be difficult and it could take weeks for your refund to arrive. IRS e-file is easy, fast and secure. There is no paperwork going to the IRS so tax refunds can be processed in as little as 7 days with direct deposit. As you prepare your taxes online, you can see your tax refund in real time.

FREE audit support and representation from an enrolled agent – NEW and only from H&R Block

How To File A 2012 Tax Return

Free E FileState ReturnsIrs E File ApplicationFile Your Taxes Free OnlineAmending 2012 Tax ReturnNj 1040nr Form2012 990 Tax FormsAmended Tax Return Form 20112011 TaxesCan I Still File 2012 TaxesFile Back Taxes For FreeFederal Tax Amended Return2012 1040Back Tax ReturnsHand R Block TaxesForm 1040ezStudents And TaxesTax Cut SoftwareFile Income Tax Online1040nr Tax CalculatorIrs Amended Tax Return 2011Taxact 2012 ReturnWhere Can I Get A 1040ez Tax FormTurbo Tax 2005Which Tax Form 2012 Best Use 27000$ Year1040zH&r Block Free EfilePrintable Tax Form 1040H&r Block Advantage E FileH And R Block Free FileFiling A Amended Tax Return Form 1040xHow Can I File 2012 Taxes1040 Ez 2011 Tax FormAmended Tax ReturnsTax 1040ez1040ez 2011 Online1040nr Instructions 20122013 State Income Tax FormAmended Tax ReturnSchool Tax Forms

How To File A 2012 Tax Return

How to file a 2012 tax return Index A Accounting methods Accrual method, Accrual Method Cash method, Cash Method Change in, Change in Accounting Method Methods you can use, Methods you can use. How to file a 2012 tax return Accounting periods 52-53 week tax year, 52-53-Week Tax Year Business purpose tax year, Business Purpose Tax Year Calendar year, Calendar Year Improper tax year, Improper Tax Year Partnerships, Partnership Accrual method Expenses, Expenses Income, Income Advance payments, Advance Payment for Services Sales, Advance Payment for Sales Services, Advance Payment for Services Assistance (see Tax help) B Business purpose tax year, Business Purpose Tax Year C Calendar year, Calendar Year Cash method, Income Expenses, Expenses Income, Income Change, accounting method, Change to accrual method. How to file a 2012 tax return , Change in Accounting Method Comments on publication, Comments and suggestions. How to file a 2012 tax return Constructive receipt of income, Constructive receipt. How to file a 2012 tax return Corporation tax periods, Corporations (Other Than S Corporations and PSCs) Cost identification, Identifying Cost D Death of individual, short period return, Death of individual. How to file a 2012 tax return E Economic performance, Economic Performance Excluded entities, cash method, Excluded Entities F Fiscal year, Fiscal Year Form 1128, Improper Tax Year, Change in Tax Year 8716, Making the election. How to file a 2012 tax return , Making back-up election. How to file a 2012 tax return 8752, Required payment for partnership or S corporation. How to file a 2012 tax return , Activating election. How to file a 2012 tax return 970, Adopting LIFO method. How to file a 2012 tax return Free tax services, How To Get Tax Help H Help (see Tax help) I Inventories Cost identification, Identifying Cost FIFO, FIFO Method LIFO, LIFO Method Lower of cost or market, Lower of Cost or Market Method Perpetual or book, Perpetual or Book Inventory Retail method, Retail Method Specific identification, Specific Identification Method Uniform capitalization rules, Inventories. How to file a 2012 tax return Valuing, Valuing Inventory M More information (see Tax help) P Partnerships, Partnership Personal service corporation, Partnerships, S Corporations, and Personal Service Corporations (PSCs) Limit, use of cash method, Qualified PSC. How to file a 2012 tax return Required tax year, Partnerships, S Corporations, and Personal Service Corporations (PSCs), Personal Service Corporation (PSC) Publications (see Tax help) R Related persons, Related Persons S S corporations, S Corporation Section 444 election, Section 444 Election Short period return, Short period return. How to file a 2012 tax return Short tax year, Short Tax Year Suggestions for publication, Comments and suggestions. How to file a 2012 tax return T Tax help, How To Get Tax Help Tax year Change in, Change in Tax Year Corporations, Corporations (Other Than S Corporations and PSCs) Fiscal year, Fiscal Year Personal service corporation, Personal Service Corporation (PSC) S corporations, S Corporation Section 444 election, Section 444 Election Short tax year, Short Tax Year Taxpayer Advocate, Taxpayer Advocate Service. How to file a 2012 tax return TTY/TDD information, How To Get Tax Help U Uniform capitalization rules Exceptions, Exceptions. How to file a 2012 tax return General rules, Uniform Capitalization Rules Prev  Up     Home   More Online Publications
Español

Bureau of International Labor Affairs

The Bureau of International Labor Affairs works to improve working conditions, raise living standards, protect workers’ ability to exercise their rights, and address the workplace exploitation of children and other vulnerable populations.

Contact the Agency or Department

Website: Bureau of International Labor Affairs

E-mail:

Address: 200 Constitution Avenue, NW
Washington, DC 20210

Phone Number: (202) 693-4770

Toll-free: (866) 487-2365

TTY: (877) 889-5627

Forms: Bureau of International Labor Affairs Forms

The How To File A 2012 Tax Return

How to file a 2012 tax return 2. How to file a 2012 tax return   Accounting Periods and Methods Table of Contents Introduction Useful Items - You may want to see: Accounting Periods Accounting MethodsCash Method Accrual Method Combination Method Inventories Uniform Capitalization Rules Special Methods Change in Accounting Method Introduction You must figure your taxable income and file an income tax return for an annual accounting period called a tax year. How to file a 2012 tax return Also, you must consistently use an accounting method that clearly shows your income and expenses for the tax year. How to file a 2012 tax return Useful Items - You may want to see: Publication 538 Accounting Periods and Methods See chapter 12 for information about getting publications and forms. How to file a 2012 tax return Accounting Periods When preparing a statement of income and expenses (generally your income tax return), you must use your books and records for a specific interval of time called an accounting period. How to file a 2012 tax return The annual accounting period for your income tax return is called a tax year. How to file a 2012 tax return You can use one of the following tax years. How to file a 2012 tax return A calendar tax year. How to file a 2012 tax return A fiscal tax year. How to file a 2012 tax return Unless you have a required tax year, you adopt a tax year by filing your first income tax return using that tax year. How to file a 2012 tax return A required tax year is a tax year required under the Internal Revenue Code or the Income Tax Regulations. How to file a 2012 tax return Calendar tax year. How to file a 2012 tax return   A calendar tax year is 12 consecutive months beginning January 1 and ending December 31. How to file a 2012 tax return   You must adopt the calendar tax year if any of the following apply. How to file a 2012 tax return You do not keep books. How to file a 2012 tax return You have no annual accounting period. How to file a 2012 tax return Your present tax year does not qualify as a fiscal year. How to file a 2012 tax return Your use of the calendar tax year is required under the Internal Revenue Code or the Income Tax Regulations. How to file a 2012 tax return   If you filed your first income tax return using the calendar tax year and you later begin business as a sole proprietor, you must continue to use the calendar tax year unless you get IRS approval to change it or are otherwise allowed to change it without IRS approval. How to file a 2012 tax return For more information, see Change in tax year, later. How to file a 2012 tax return   If you adopt the calendar tax year, you must maintain your books and records and report your income and expenses for the period from January 1 through December 31 of each year. How to file a 2012 tax return Fiscal tax year. How to file a 2012 tax return   A fiscal tax year is 12 consecutive months ending on the last day of any month except December. How to file a 2012 tax return A 52-53-week tax year is a fiscal tax year that varies from 52 to 53 weeks but does not have to end on the last day of a month. How to file a 2012 tax return   If you adopt a fiscal tax year, you must maintain your books and records and report your income and expenses using the same tax year. How to file a 2012 tax return   For more information on a fiscal tax year, including a 52-53-week tax year, see Publication 538. How to file a 2012 tax return Change in tax year. How to file a 2012 tax return   Generally, you must file Form 1128, Application To Adopt, Change, or Retain a Tax Year, to request IRS approval to change your tax year. How to file a 2012 tax return See the Instructions for Form 1128 for exceptions. How to file a 2012 tax return If you qualify for an automatic approval request, a user fee is not required. How to file a 2012 tax return If you do not qualify for automatic approval, a ruling must be requested. How to file a 2012 tax return See the instructions for Form 1128 for information about user fees if you are requesting a ruling. How to file a 2012 tax return Accounting Methods An accounting method is a set of rules used to determine when and how income and expenses are reported. How to file a 2012 tax return Your accounting method includes not only the overall method of accounting you use, but also the accounting treatment you use for any material item. How to file a 2012 tax return You choose an accounting method for your business when you file your first income tax return that includes a Schedule C for the business. How to file a 2012 tax return After that, if you want to change your accounting method, you must generally get IRS approval. How to file a 2012 tax return See Change in Accounting Method, later. How to file a 2012 tax return Kinds of methods. How to file a 2012 tax return   Generally, you can use any of the following accounting methods. How to file a 2012 tax return Cash method. How to file a 2012 tax return An accrual method. How to file a 2012 tax return Special methods of accounting for certain items of income and expenses. How to file a 2012 tax return Combination method using elements of two or more of the above. How to file a 2012 tax return You must use the same accounting method to figure your taxable income and to keep your books. How to file a 2012 tax return Also, you must use an accounting method that clearly shows your income. How to file a 2012 tax return Business and personal items. How to file a 2012 tax return   You can account for business and personal items under different accounting methods. How to file a 2012 tax return For example, you can figure your business income under an accrual method, even if you use the cash method to figure personal items. How to file a 2012 tax return Two or more businesses. How to file a 2012 tax return   If you have two or more separate and distinct businesses, you can use a different accounting method for each if the method clearly reflects the income of each business. How to file a 2012 tax return They are separate and distinct only if you maintain complete and separate books and records for each business. How to file a 2012 tax return Cash Method Most individuals and many sole proprietors with no inventory use the cash method because they find it easier to keep cash method records. How to file a 2012 tax return However, if an inventory is necessary to account for your income, you must generally use an accrual method of accounting for sales and purchases. How to file a 2012 tax return For more information, see Inventories, later. How to file a 2012 tax return Income Under the cash method, include in your gross income all items of income you actually or constructively receive during your tax year. How to file a 2012 tax return If you receive property or services, you must include their fair market value in income. How to file a 2012 tax return Example. How to file a 2012 tax return On December 30, 2012, Mrs. How to file a 2012 tax return Sycamore sent you a check for interior decorating services you provided to her. How to file a 2012 tax return You received the check on January 2, 2013. How to file a 2012 tax return You must include the amount of the check in income for 2013. How to file a 2012 tax return Constructive receipt. How to file a 2012 tax return   You have constructive receipt of income when an amount is credited to your account or made available to you without restriction. How to file a 2012 tax return You do not need to have possession of it. How to file a 2012 tax return If you authorize someone to be your agent and receive income for you, you are treated as having received it when your agent received it. How to file a 2012 tax return Example. How to file a 2012 tax return Interest is credited to your bank account in December 2013. How to file a 2012 tax return You do not withdraw it or enter it into your passbook until 2014. How to file a 2012 tax return You must include it in your gross income for 2013. How to file a 2012 tax return Delaying receipt of income. How to file a 2012 tax return   You cannot hold checks or postpone taking possession of similar property from one tax year to another to avoid paying tax on the income. How to file a 2012 tax return You must report the income in the year the property is received or made available to you without restriction. How to file a 2012 tax return Example. How to file a 2012 tax return Frances Jones, a service contractor, was entitled to receive a $10,000 payment on a contract in December 2013. How to file a 2012 tax return She was told in December that her payment was available. How to file a 2012 tax return At her request, she was not paid until January 2014. How to file a 2012 tax return She must include this payment in her 2013 income because it was constructively received in 2013. How to file a 2012 tax return Checks. How to file a 2012 tax return   Receipt of a valid check by the end of the tax year is constructive receipt of income in that year, even if you cannot cash or deposit the check until the following year. How to file a 2012 tax return Example. How to file a 2012 tax return Dr. How to file a 2012 tax return Redd received a check for $500 on December 31, 2013, from a patient. How to file a 2012 tax return She could not deposit the check in her business account until January 2, 2014. How to file a 2012 tax return She must include this fee in her income for 2013. How to file a 2012 tax return Debts paid by another person or canceled. How to file a 2012 tax return   If your debts are paid by another person or are canceled by your creditors, you may have to report part or all of this debt relief as income. How to file a 2012 tax return If you receive income in this way, you constructively receive the income when the debt is canceled or paid. How to file a 2012 tax return For more information, see Canceled Debt under Kinds of Income in chapter 5. How to file a 2012 tax return Repayment of income. How to file a 2012 tax return   If you include an amount in income and in a later year you have to repay all or part of it, you can usually deduct the repayment in the year in which you make it. How to file a 2012 tax return If the amount you repay is over $3,000, a special rule applies. How to file a 2012 tax return For details about the special rule, see Repayments in chapter 11 of Publication 535, Business Expenses. How to file a 2012 tax return Expenses Under the cash method, you generally deduct expenses in the tax year in which you actually pay them. How to file a 2012 tax return This includes business expenses for which you contest liability. How to file a 2012 tax return However, you may not be able to deduct an expense paid in advance or you may be required to capitalize certain costs, as explained later under Uniform Capitalization Rules. How to file a 2012 tax return Expenses paid in advance. How to file a 2012 tax return   You can deduct an expense you pay in advance only in the year to which it applies. How to file a 2012 tax return Example. How to file a 2012 tax return You are a calendar year taxpayer and you pay $1,000 in 2013 for a business insurance policy effective for one year, beginning July 1. How to file a 2012 tax return You can deduct $500 in 2013 and $500 in 2014. How to file a 2012 tax return Accrual Method Under an accrual method of accounting, you generally report income in the year earned and deduct or capitalize expenses in the year incurred. How to file a 2012 tax return The purpose of an accrual method of accounting is to match income and expenses in the correct year. How to file a 2012 tax return Income—General Rule Under an accrual method, you generally include an amount in your gross income for the tax year in which all events that fix your right to receive the income have occurred and you can determine the amount with reasonable accuracy. How to file a 2012 tax return Example. How to file a 2012 tax return You are a calendar year accrual method taxpayer. How to file a 2012 tax return You sold a computer on December 28, 2013. How to file a 2012 tax return You billed the customer in the first week of January 2014, but you did not receive payment until February 2014. How to file a 2012 tax return You must include the amount received for the computer in your 2013 income. How to file a 2012 tax return Income—Special Rules The following are special rules that apply to advance payments, estimating income, and changing a payment schedule for services. How to file a 2012 tax return Estimated income. How to file a 2012 tax return   If you include a reasonably estimated amount in gross income, and later determine the exact amount is different, take the difference into account in the tax year in which you make the determination. How to file a 2012 tax return Change in payment schedule for services. How to file a 2012 tax return   If you perform services for a basic rate specified in a contract, you must accrue the income at the basic rate, even if you agree to receive payments at a lower rate until you complete the services and then receive the difference. How to file a 2012 tax return Advance payments for services. How to file a 2012 tax return   Generally, you report an advance payment for services to be performed in a later tax year as income in the year you receive the payment. How to file a 2012 tax return However, if you receive an advance payment for services you agree to perform by the end of the next tax year, you can elect to postpone including the advance payment in income until the next tax year. How to file a 2012 tax return However, you cannot postpone including any payment beyond that tax year. How to file a 2012 tax return   For more information, see Advance Payment for Services under Accrual Method in Publication 538. How to file a 2012 tax return That publication also explains special rules for reporting the following types of income. How to file a 2012 tax return Advance payments for service agreements. How to file a 2012 tax return Prepaid rent. How to file a 2012 tax return Advance payments for sales. How to file a 2012 tax return   Special rules apply to including income from advance payments on agreements for future sales or other dispositions of goods you hold primarily for sale to your customers in the ordinary course of your business. How to file a 2012 tax return If the advance payments are for contracts involving both the sale and service of goods, it may be necessary to treat them as two agreements. How to file a 2012 tax return An agreement includes a gift certificate that can be redeemed for goods. How to file a 2012 tax return Treat amounts that are due and payable as amounts you received. How to file a 2012 tax return   You generally include an advance payment in income for the tax year in which you receive it. How to file a 2012 tax return However, you can use an alternative method. How to file a 2012 tax return For information about the alternative method, see Publication 538. How to file a 2012 tax return Expenses Under an accrual method of accounting, you generally deduct or capitalize a business expense when both the following apply. How to file a 2012 tax return The all-events test has been met. How to file a 2012 tax return The test has been met when: All events have occurred that fix the fact of liability, and The liability can be determined with reasonable accuracy. How to file a 2012 tax return Economic performance has occurred. How to file a 2012 tax return Economic performance. How to file a 2012 tax return   You generally cannot deduct or capitalize a business expense until economic performance occurs. How to file a 2012 tax return If your expense is for property or services provided to you, or for your use of property, economic performance occurs as the property or services are provided or as the property is used. How to file a 2012 tax return If your expense is for property or services you provide to others, economic performance occurs as you provide the property or services. How to file a 2012 tax return An exception allows certain recurring items to be treated as incurred during a tax year even though economic performance has not occurred. How to file a 2012 tax return For more information on economic performance, see Economic Performance under Accrual Method in Publication 538. How to file a 2012 tax return Example. How to file a 2012 tax return You are a calendar year taxpayer and use an accrual method of accounting. How to file a 2012 tax return You buy office supplies in December 2013. How to file a 2012 tax return You receive the supplies and the bill in December, but you pay the bill in January 2014. How to file a 2012 tax return You can deduct the expense in 2013 because all events that fix the fact of liability have occurred, the amount of the liability could be reasonably determined, and economic performance occurred in that year. How to file a 2012 tax return Your office supplies may qualify as a recurring expense. How to file a 2012 tax return In that case, you can deduct them in 2013 even if the supplies are not delivered until 2014 (when economic performance occurs). How to file a 2012 tax return Keeping inventories. How to file a 2012 tax return   When the production, purchase, or sale of merchandise is an income-producing factor in your business, you must generally take inventories into account at the beginning and the end of your tax year. How to file a 2012 tax return If you must account for an inventory, you must generally use an accrual method of accounting for your purchases and sales. How to file a 2012 tax return For more information, see Inventories , later. How to file a 2012 tax return Special rule for related persons. How to file a 2012 tax return   You cannot deduct business expenses and interest owed to a related person who uses the cash method of accounting until you make the payment and the corresponding amount is includible in the related person's gross income. How to file a 2012 tax return Determine the relationship, for this rule, as of the end of the tax year for which the expense or interest would otherwise be deductible. How to file a 2012 tax return If a deduction is not allowed under this rule, the rule will continue to apply even if your relationship with the person ends before the expense or interest is includible in the gross income of that person. How to file a 2012 tax return   Related persons include members of your immediate family, including only brothers and sisters (either whole or half), your spouse, ancestors, and lineal descendants. How to file a 2012 tax return For a list of other related persons, see section 267 of the Internal Revenue Code. How to file a 2012 tax return Combination Method You can generally use any combination of cash, accrual, and special methods of accounting if the combination clearly shows your income and expenses and you use it consistently. How to file a 2012 tax return However, the following restrictions apply. How to file a 2012 tax return If an inventory is necessary to account for your income, you must generally use an accrual method for purchases and sales. How to file a 2012 tax return (See, however, Inventories, later. How to file a 2012 tax return ) You can use the cash method for all other items of income and expenses. How to file a 2012 tax return If you use the cash method for figuring your income, you must use the cash method for reporting your expenses. How to file a 2012 tax return If you use an accrual method for reporting your expenses, you must use an accrual method for figuring your income. How to file a 2012 tax return If you use a combination method that includes the cash method, treat that combination method as the cash method. How to file a 2012 tax return Inventories Generally, if you produce, purchase, or sell merchandise in your business, you must keep an inventory and use the accrual method for purchases and sales of merchandise. How to file a 2012 tax return However, the following taxpayers can use the cash method of accounting even if they produce, purchase, or sell merchandise. How to file a 2012 tax return These taxpayers can also account for inventoriable items as materials and supplies that are not incidental (discussed later). How to file a 2012 tax return A qualifying taxpayer under Revenue Procedure 2001-10 in Internal Revenue Bulletin 2001-2. How to file a 2012 tax return A qualifying small business taxpayer under Revenue Procedure 2002-28 in Internal Revenue Bulletin 2002-18. How to file a 2012 tax return Qualifying taxpayer. How to file a 2012 tax return   You are a qualifying taxpayer if: Your average annual gross receipts for each prior tax year ending on or after December 17, 1998, is $1 million or less. How to file a 2012 tax return (Your average annual gross receipts for a tax year is figured by adding the gross receipts for that tax year and the 2 preceding tax years and dividing by 3. How to file a 2012 tax return ) Your business is not a tax shelter, as defined under section 448(d)(3) of the Internal Revenue Code. How to file a 2012 tax return Qualifying small business taxpayer. How to file a 2012 tax return   You are a qualifying small business taxpayer if: Your average annual gross receipts for each prior tax year ending on or after December 31, 2000, is more than $1 million but not more than $10 million. How to file a 2012 tax return (Your average annual gross receipts for a tax year is figured by adding the gross receipts for that tax year and the 2 preceding tax years and dividing the total by 3. How to file a 2012 tax return ) You are not prohibited from using the cash method under section 448 of the Internal Revenue Code. How to file a 2012 tax return Your principal business activity is an eligible business (described in Publication 538 and Revenue Procedure 2002-28). How to file a 2012 tax return Business not owned or not in existence for 3 years. How to file a 2012 tax return   If you did not own your business for all of the 3-tax-year period used in figuring your average annual gross receipts, include the period of any predecessor. How to file a 2012 tax return If your business has not been in existence for the 3-tax-year period, base your average on the period it has existed including any short tax years, annualizing the short tax year's gross receipts. How to file a 2012 tax return Materials and supplies that are not incidental. How to file a 2012 tax return   If you account for inventoriable items as materials and supplies that are not incidental, you will deduct the cost of the items you would otherwise include in inventory in the year you sell the items, or the year you pay for them, whichever is later. How to file a 2012 tax return If you are a producer, you can use any reasonable method to estimate the raw material in your work in process and finished goods on hand at the end of the year to determine the raw material used to produce finished goods that were sold during the year. How to file a 2012 tax return Changing accounting method. How to file a 2012 tax return   If you are a qualifying taxpayer or qualifying small business taxpayer and want to change to the cash method or to account for inventoriable items as non-incidental materials and supplies, you must file Form 3115, Application for Change in Accounting Method. How to file a 2012 tax return See Change in Accounting Method, later. How to file a 2012 tax return More information. How to file a 2012 tax return    For more information about the qualifying taxpayer exception, see Revenue Procedure 2001-10 in Internal Revenue Bulletin 2001-2. How to file a 2012 tax return For more information about the qualifying small business taxpayer exception, see Revenue Procedure 2002-28 in Internal Revenue Bulletin 2002-18. How to file a 2012 tax return Items included in inventory. How to file a 2012 tax return   If you are required to account for inventories, include the following items when accounting for your inventory. How to file a 2012 tax return Merchandise or stock in trade. How to file a 2012 tax return Raw materials. How to file a 2012 tax return Work in process. How to file a 2012 tax return Finished products. How to file a 2012 tax return Supplies that physically become a part of the item intended for sale. How to file a 2012 tax return Valuing inventory. How to file a 2012 tax return   You must value your inventory at the beginning and end of each tax year to determine your cost of goods sold (Schedule C, line 42). How to file a 2012 tax return To determine the value of your inventory, you need a method for identifying the items in your inventory and a method for valuing these items. How to file a 2012 tax return   Inventory valuation rules cannot be the same for all kinds of businesses. How to file a 2012 tax return The method you use to value your inventory must conform to generally accepted accounting principles for similar businesses and must clearly reflect income. How to file a 2012 tax return Your inventory practices must be consistent from year to year. How to file a 2012 tax return More information. How to file a 2012 tax return   For more information about inventories, see Publication 538. How to file a 2012 tax return Uniform Capitalization Rules Under the uniform capitalization rules, you must capitalize the direct costs and part of the indirect costs for production or resale activities. How to file a 2012 tax return Include these costs in the basis of property you produce or acquire for resale, rather than claiming them as a current deduction. How to file a 2012 tax return You recover the costs through depreciation, amortization, or cost of goods sold when you use, sell, or otherwise dispose of the property. How to file a 2012 tax return Activities subject to the uniform capitalization rules. How to file a 2012 tax return   You may be subject to the uniform capitalization rules if you do any of the following, unless the property is produced for your use other than in a business or an activity carried on for profit. How to file a 2012 tax return Produce real or tangible personal property. How to file a 2012 tax return For this purpose, tangible personal property includes a film, sound recording, video tape, book, or similar property. How to file a 2012 tax return Acquire property for resale. How to file a 2012 tax return Exceptions. How to file a 2012 tax return   These rules do not apply to the following property. How to file a 2012 tax return Personal property you acquire for resale if your average annual gross receipts are $10 million or less. How to file a 2012 tax return Property you produce if you meet either of the following conditions. How to file a 2012 tax return Your indirect costs of producing the property are $200,000 or less. How to file a 2012 tax return You use the cash method of accounting and do not account for inventories. How to file a 2012 tax return For more information, see Inventories, earlier. How to file a 2012 tax return Special Methods There are special methods of accounting for certain items of income or expense. How to file a 2012 tax return These include the following. How to file a 2012 tax return Amortization, discussed in chapter 8 of Publication 535, Business Expenses. How to file a 2012 tax return Bad debts, discussed in chapter 10 of Publication 535. How to file a 2012 tax return Depletion, discussed in chapter 9 of Publication 535. How to file a 2012 tax return Depreciation, discussed in Publication 946, How To Depreciate Property. How to file a 2012 tax return Installment sales, discussed in Publication 537, Installment Sales. How to file a 2012 tax return Change in Accounting Method Once you have set up your accounting method, you must generally get IRS approval before you can change to another method. How to file a 2012 tax return A change in your accounting method includes a change in: Your overall method, such as from cash to an accrual method, and Your treatment of any material item. How to file a 2012 tax return To get approval, you must file Form 3115, Application for Change in Accounting Method. How to file a 2012 tax return You can get IRS approval to change an accounting method under either the automatic change procedures or the advance consent request procedures. How to file a 2012 tax return You may have to pay a user fee. How to file a 2012 tax return For more information, see the form instructions. How to file a 2012 tax return Automatic change procedures. How to file a 2012 tax return   Certain taxpayers can presume to have IRS approval to change their method of accounting. How to file a 2012 tax return The approval is granted for the tax year for which the taxpayer requests a change (year of change), if the taxpayer complies with the provisions of the automatic change procedures. How to file a 2012 tax return No user fee is required for an application filed under an automatic change procedure generally covered in Revenue Procedure 2002-9. How to file a 2012 tax return   Generally, you must use Form 3115 to request an automatic change. How to file a 2012 tax return For more information, see the Instructions for Form 3115. How to file a 2012 tax return Prev  Up  Next   Home   More Online Publications