What is the all events test

Reference no: EM132082384

Question: 1. Are there certain taxpayers who are prohibited from using the cash basis method of tax accounting? Explain.

2. Explain the economic performance requirement for accrual basis taxpayers deducting accrued expenses.

3. What is the "all events" test?

4. May an accrual basis taxpayer deduct accrued expenses even if economic performance has NOT occurred? If so how? What constitutes a "recurring item?"

Reference no: EM132082384

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