Dec 18, 2019
The Tax Cuts and Jobs Act made tax accounting easier for many
businesses with average annual gross receipts of $25 million or
less (inflation-adjusted to $26 million for 2019). The benefits
include the cash method of accounting, exemption from UNICAP rules,
exemption from some inventory accounting requirements, and more.
But an “exception to the exceptions” denies these advantages to tax
shelters, including “syndicates.” Chris Hesse, chair of the AICPA’s
Tax Executive Committee, reveals where the traps lie.