New rules provided by the Bipartisan Budget Act of 2015, for IRS examination proceedings of partnership entities may have financial reporting implications.
As entities assess the effect of the new rules, questions may arise concerning potential accounting for income taxes issues, including the characterization of an obligation as an income tax of the partnership, accounting for tax elections, accounting for changes in tax laws, accounting for uncertainty in income taxes, and the effect on financial statement disclosures.
This KPMG report is intended to summarize the potential impact of the new tax law and provide an overview of several accounting for income taxes considerations under U.S. generally accepted accounting principles.
Read a January 2016 report [PDF 183 KB] prepared by KPMG LLP: What’s News in Tax: Potential Financial Reporting Implications of Changes to Partnership Examinations
© 2017 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved.
The KPMG logo and name are trademarks of KPMG International. KPMG International is a Swiss cooperative that serves as a coordinating entity for a network of independent member firms. KPMG International provides no audit or other client services. Such services are provided solely by member firms in their respective geographic areas. KPMG International and its member firms are legally distinct and separate entities. They are not and nothing contained herein shall be construed to place these entities in the relationship of parents, subsidiaries, agents, partners, or joint venturers. No member firm has any authority (actual, apparent, implied or otherwise) to obligate or bind KPMG International or any member firm in any manner whatsoever. The information contained in herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.