The IRS's new neutron bomb
Article Abstract:
The new regulations on intercompany transfer pricing included under Section 482 of the IRC may create burdensome tax duties on corporations. Under the new ruling, IRS agents can compare the financial performance of a particular company with that of competitors or other comparable firms. Then they may recompute the income earned by a subsidiary and tax that earning. Thus, it is possible to turn predetermined losses of a company into taxable income. The practice of finding comparable third-party transactions to sustain the transfer price of intangible properties, calculated by using a standard methodology, although specified in the new regulation, may be discontinued. The proposal, retroactive to taxable years ending after Dec 31, 1986, was issued in Jan 1992 and will take effect on Jan 1, 1993.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1992
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The current status of activity-based costing: an interview with Robin Cooper and Robert S. Kaplan
Article Abstract:
Activity-based costing (ABC) experts Robert S. Kaplan and Robin Cooper cite the benefits of ABC cost management systems, explain how their focus has changed, and evaluate prospects for their application in business. They note that ABC systems give managers an insight into how profits are generated, while providing a financial model for priority-setting in continuous improvement programs. They also explain how ABC analysis has resulted in significant cost-reduction savings in a wide range of businesses. They foresee ABC systems being used to examine research and development (R&D) activity, product life cycle costs, and cost-benefit tradeoff analysis, and expect its use to redefine the role of management accountants.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1991
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ALL-IN-1 system for business operations
Article Abstract:
ALL-IN-1, from Digital Equipment Corp., is a network of departmental microcomputers (operating as either personal computers or workstations) supported by a single minicomputer at the corporate level. The network allows various levels of management and all departments to communicate through electronic mail and offers users graphics capabilities as part of its report generating capacity. ALL-IN-1 provides each department with a database and through its access lines helps companies minimize the amount of rekeying of information from one database to the next. The network also helps each department maintain the integrity of the data for which it is responsible.
Publication Name: Management Accounting (USA)
Subject: Business, general
ISSN: 0025-1690
Year: 1985
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