{"id":8702,"date":"2021-10-05T17:57:00","date_gmt":"2021-10-05T17:57:00","guid":{"rendered":"https:\/\/taxops.com\/?p=8702"},"modified":"2021-10-06T18:33:06","modified_gmt":"2021-10-06T18:33:06","slug":"mark-dunning-joins-aicpa-panel-assessing-capitalization-of-rd-expenses","status":"publish","type":"post","link":"https:\/\/taxops.com\/mark-dunning-joins-aicpa-panel-assessing-capitalization-of-rd-expenses\/","title":{"rendered":"Mark Dunning Joins AICPA Panel Assessing Capitalization of R&#038;D Expenses"},"content":{"rendered":"\n<div style=\"height:42px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<figure class=\"wp-block-image size-large\"><img decoding=\"async\" width=\"1024\" height=\"536\" src=\"data:image\/gif;base64,R0lGODlhAQABAIAAAAAAAP\/\/\/yH5BAEAAAAALAAAAAABAAEAAAIBRAA7\" data-src=\"https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3-1024x536.png\" alt=\"building for R&amp;D tax services\" class=\"wp-image-9107 lazyload\" data-srcset=\"https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3-1024x536.png 1024w, https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3-980x513.png 980w, https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3-480x251.png 480w\" sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) and (max-width: 980px) 980px, (min-width: 981px) 1024px, 100vw\" \/><noscript><img decoding=\"async\" width=\"1024\" height=\"536\" src=\"https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3-1024x536.png\" alt=\"building for R&amp;D tax services\" class=\"wp-image-9107 lazyload\" srcset=\"https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3-1024x536.png 1024w, https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3-980x513.png 980w, https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3-480x251.png 480w\" sizes=\"(min-width: 0px) and (max-width: 480px) 480px, (min-width: 481px) and (max-width: 980px) 980px, (min-width: 981px) 1024px, 100vw\" \/><\/noscript><\/figure>\n\n\n\n<div style=\"height:42px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\"><p><em>AICPA working group tackles capitalization of research credits (R&amp;D) to determine business tax implications before amortization in 2022 becomes effective.<\/em><\/p><\/blockquote>\n\n\n\n<p class=\"wp-block-paragraph\">Mark Dunning and a select group of CPA colleagues at the AICPA are digging into the details on <span style=\"font-size: revert;\">Section 174 capitalization to assess the implications of federal law changes coming down the pike. Beginning in 2022, the federal research tax credit, or R&amp;D credit, must be amortized. Some lawmakers are pushing back with bills to reverse course before the effective date of this amortization starts. (Read more <\/span><a style=\"font-size: revert;\" href=\"https:\/\/taxops.com\/reversing-rd-amortization-in-2022\/\"><em>Will Congress Support U.S. Innovation by Reversing R&amp;D Amortization in 2022?<\/em><\/a><em style=\"font-size: revert;\">).<\/em><\/p>\n\n\n\n<p class=\"wp-block-paragraph\">The AICPA working group is assessing the implications of amortizing all research expenditures in 2022 from a business tax perspective. The group is focused on a number of areas, including assessing the value of and recommendations for:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Dispensing with Form 3115<\/li><li>Identifying what is a section 174 cost, such as overhead, SG&amp;A, software development and other costs associated with research activities<\/li><li>Contract research considerations and issues that will survive whether or not 174 is delayed or repealed<\/li><li>Difficulties in Rev. Proc. 2000-50 and the treatment of software expenses<\/li><\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">The group will also design examples for taxpayers and consider a possible safe harbor for small taxpayers based on the burden of capitalizing R&amp;D costs, tracking inventory, monitoring receivables and capitalizing R&amp;D costs.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">We\u2019ll keep you posted on developments as the working group comes to conclusions.<\/p>\n\n\n\n<div style=\"height:54px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link\" href=\"https:\/\/taxops.com\/contact\/\" target=\"_blank\" rel=\"noreferrer noopener\">Let&#8217;s talk tax<\/a><\/div>\n<\/div>\n\n\n\n<div style=\"height:54px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h3 class=\"wp-block-heading\">More Tax News<\/h3>\n\n\n\n<ul class=\"wp-block-latest-posts__list wp-block-latest-posts wp-block-list\"><li><a href=\"https:\/\/taxops.com\/connecting-to-your-clients-with-stacey-roberts\/\">Connecting to Your Clients With Stacey Roberts<\/a><\/li><li><a href=\"https:\/\/taxops.com\/research-and-development-credits-cpe-2\/\">A Practical Approach to ASC 740 CPE<\/a><\/li><li><a href=\"https:\/\/taxops.com\/research-and-development-credits-cpe\/\">Research and Development Credits CPE: Into the Weeds on Lucrative Credits<\/a><\/li><li><a href=\"https:\/\/taxops.com\/uncovering-mysteries-of-use-tax-cpe\/\">Uncovering the Mysteries of Use Tax CPE: Use Tax Accrual, Validation, and Compliance<\/a><\/li><li><a href=\"https:\/\/taxops.com\/retailer-sales-tax-challenges-and-compliance-cpe\/\">Retailer Sales Tax Challenges and Compliance CPE: Navigating State Nexus Rules, Market Facilitator Laws, and Reporting<\/a><\/li><\/ul>\n\n\n\n<div style=\"height:54px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link\" href=\"https:\/\/taxops.com\/contact\/#subscribe\" target=\"_blank\" rel=\"noreferrer noopener\">Subscribe to Tax News<\/a><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>AICPA working group tackles capitalization of research credits (R&amp;D) to determine business tax implications before amortization in 2022 becomes effective. Mark Dunning and a select group of CPA colleagues at the AICPA are digging into the details on Section 174 capitalization to assess the implications of federal law changes coming down the pike. Beginning in [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":9107,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","spt_transcript":"","footnotes":""},"categories":[78,226],"tags":[825,782,781,823,778,459,265,824,48,822,49,50,563,783],"class_list":["post-8702","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-tax-savings","category-tax-news","tag-825","tag-accounting-professional","tag-aicpa","tag-amortization","tag-capitalization","tag-expenses","tag-finance-professional","tag-law","tag-rd","tag-rd-expenses","tag-research-and-development","tag-research-credit","tag-research-expenses","tag-section-174"],"aioseo_notices":[],"jetpack_featured_media_url":"https:\/\/taxops.com\/wp-content\/uploads\/2021\/10\/AICPA-working-group-3.png","_links":{"self":[{"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/posts\/8702","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/comments?post=8702"}],"version-history":[{"count":5,"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/posts\/8702\/revisions"}],"predecessor-version":[{"id":9112,"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/posts\/8702\/revisions\/9112"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/media\/9107"}],"wp:attachment":[{"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/media?parent=8702"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/categories?post=8702"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/taxops.com\/wp-json\/wp\/v2\/tags?post=8702"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}