McDermott Newsletters
Tier III Issues Identified in the Quick Reference Guide
Communications, Technology, & Media Division
Carriage/launch fees paid to cable/satellite/television operators
Tax treatment of payments to creative personnel
Like-kind exchange of broadcast properties
Amortization of intangible assets – Licensed program contract rights
Non-reporting of income from the sale of personal seat licenses
NFL G-3 assessments
Cable companies providing free cable to employees/No-additional-cost services
Launch fees – Treatment of advance payments received from cable programmers
Natural Resources & Construction Division
Amortization of intellectual property
Expensing of depreciation of precious metal catalysts
Percentage of depletion
Claim income under long-term contracts
Condominium construction method of accounting
Look-back interest
Per diem allowances for temporary technical services employees
Section 198 – Brownfields Tax Incentive
Section 263A – Inventory capitalization of environmental remediation costs
Section 1033 – Involuntary conversions
Section 1341 – Claim of right
Capitalization of remediation costs on acquired property
Logging roads – Depreciation and investment tax credit
Reforestation expense and amortization
Timber losses from Southern Pine Beetles
Unreported income on lump sum timber sales
AMT/ACE adjustment
Excess moisture in coal
OID on BLM coal leasehold bonuses
Mining acquisitions
Mining receding face
Mining striking costs
Valuing inventories – leach piles
Above ground storage tanks
Capitalization of delay rentals
Cost depletion recoverable reserves
Estimated dismantling and removal costs – Pre 461(H)
FOGEI-FORI allocations
North Sea IDC transition rule
Reclassifying refinery assets as chemical assets
Underground storage tanks at gasoline retail locations
Membership payments and R&E credits
Reclassifying utility property
Retailers, Food, Pharmaceuticals, & Healthcare Division
Section 447: Definition of applicable portion
Section 447: Affect on suspense account in corporate reorganizations
Section 118: Biofuel subsidies
Poultry farm price method inventory
Unit livestock price inventory
Cost segregation studies
Legally mandated research and experimentation (LMRE)
Medicaid rebates: Accounting treatment
Closed store losses
Contribution of food inventory
Restaurant cost segregation studies
Upfront vendor allowances
WOTC/WTW tax credit claims
Incurred but not reported deduction (IBNR)
Nonaccrual experience method of accounting (NAEM)
Cost segregation studies
Retail construction allowances
Retail cost segregation
Characterization of sales-based allowances
Upfront payments: Supply agreements
Vendor allowances (General)
