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Tip Aug 2011 - "LIFO Accounting Method Targeted: Small Businesses Fight Repeal"

Tip Aug 2011 - "LIFO Accounting Method Targeted: Small Businesses Fight Repeal"

Tip Aug 2011 - "LIFO Accounting Method Targeted: Small Businesses Fight Repeal"

Excerpt


LIFO Accounting Method Targeted: Small Businesses Fight Repeal



A proposal to eliminate the Last In, First Out (LIFO) accounting system has generated alarm and protests from several major industry associations, including the National Federation of Independent Business. The proposal to ban this inventory accounting system was introduced by President Obama during the recent debate about reducing the nation’s debt. The administration believes a ban would generate new revenue – to the tune of $60 billion more in taxes over 10 years. Opponents of the repeal proposal see it as a tax hike that will primarily fall on small businesses and manufacturing companies.


 



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