Rev. Proc. 2016-29 Update

By: Steven D. Beaucaire, MST, CCSP

Rev. Proc. 2016-29 was recently released and included a number of changes to Rev. Proc. 2015-14. One of the least noticed was an extension of a waiver from the scope limitation rules in Rev. Proc. 2015-13. These rules normally prevent a taxpayer from using an automatic change of accounting method more than once every five years for the same entity and same assets. Originally this rule was waived for any taxable year beginning before January 1, 2015. Rev. Proc. 2016-29 changed the date to January 1, 2016, giving taxpayers an additional year within which to file multiple Forms 3115 to correct their compliance with the Tangible Property Regs. (TPRs).

If you are interested in the specific changes that are covered in this section of Rev. Proc. 2016-29, contact a Bedford representative. We can provide you with a table showing a detailed breakdown of each change including a DCN and citation.