In REG-104872-18, the U.S. Internal Revenue Service (IRS) has proposed removing regulations on advance payments and long-term contracts to reflect amendments to Sec. 451 by the law known as the Tax Cuts and Jobs Act, P.L. 115-97. Sec. 451(b), as amended, requires an accrual-method taxpayer to treat the all-events test for a particular item of gross income as met no later than when the item is taken into account as revenue in the taxpayer’s applicable financial statement or any other financial statement the IRS prescribes. Click here for more information.