Publication 538 - Accounting Periods And Methods (Page 2 of 23) in pdf

2553

Election by a Small Business Corporation

This publication explains some of the rules for ac

counting periods and accounting methods. In

3115

Application for Change in Accounting Method

TIP

some cases, you may have to refer to other sour

8716

Election To Have a Tax Year Other Than a

ces for a more indepth explanation of the topic.

Required Tax Year

Comments and suggestions. We welcome your com-

See Ordering forms and publications, earlier for informa-

ments about this publication and your suggestions for fu-

tion about getting these publications and forms.

ture editions.

You can send us comments from irs.gov/formspubs.

Accounting Periods

Click on “More Information” and then on “Give us feed-

back.” Or you can write to:

You must use a tax year to figure your taxable income. A

Internal Revenue Service

tax year is an annual accounting period for keeping re-

Tax Forms and Publications

cords and reporting income and expenses. An annual ac-

1111 Constitution Ave. NW, IR-6526

counting period does not include a short tax year (dis-

Washington, DC 20224

cussed later). You can use the following tax years:

We respond to many letters by telephone. Therefore, it

A calendar year; or

would be helpful if you would include your daytime phone

A fiscal year (including a 52-53-week tax year).

number, including the area code, in your correspondence.

Although we cannot respond individually to each email,

Unless you have a required tax year, you adopt a tax

we do appreciate your feedback and will consider your

year by filing your first income tax return using that tax

comments as we revise our tax products.

year. A required tax year is a tax year required under the

Internal Revenue Code or the Income Tax Regulations.

Ordering forms and publications. Visit

You cannot adopt a tax year by merely:

formspubs

to download forms and publications. Other-

wise, you can go to

IRS.gov/orderforms

to order current

Filing an application for an extension of time to file an

and prior-year forms and instructions. Your order should

income tax return;

arrive within 10 business days.

Filing an application for an employer identification

Tax Questions. If you have a tax question not an-

number (Form SS-4); or

swered by this publication, check IRS.gov and How To

Paying estimated taxes.

Get Tax Help at the end of this publication.

This section discusses:

A calendar year.

Photographs of Missing

A fiscal year (including a period of 52 or 53 weeks).

Children

A short tax year.

An improper tax year.

The Internal Revenue Service is a proud partner with the

National Center for Missing & Exploited Children®

A change in tax year.

(NCMEC). Photographs of missing children selected by

Special situations that apply to individuals.

the Center may appear in this publication on pages that

Restrictions that apply to the accounting period of a

would otherwise be blank. You can help bring these

partnership, S corporation, or personal service corpo-

children home by looking at the photographs and calling

ration.

1-800-THE-LOST (1-800-843-5678) if you recognize a

child.

Special situations that apply to corporations.

Useful Items

Calendar Year

You may want to see:

A calendar year is 12 consecutive months beginning on

Publication

January 1st and ending on December 31st.

537

Installment Sales

If you adopt the calendar year, you must maintain your

books and records and report your income and expenses

541

Partnerships

from January 1st through December 31st of each year.

542

Corporations

If you file your first tax return using the calendar tax

year and you later begin business as a sole proprietor, be-

Form (and Instructions)

come a partner in a partnership, or become a shareholder

1128

Application To Adopt, Change, or Retain a Tax

in an S corporation, you must continue to use the calendar

Year

year unless you obtain approval from the IRS to change it,

Page 2

Publication 538 (December 2016)

Publication 538 - Accounting Periods And Methods Page 2

Related Articles

Related forms

Related Categories