An accrual-basis taxpayer may elect to accrue real property taxes ratably over the period to which the taxes relate.

Question

Quizplus · Accepted Answer

This statement is true. An accrual-basis taxpayer may choose to accrue real property taxes evenly over the period that the taxes apply to, rather than deducting them only when they are paid. This election is made on a year-by-year basis and must be consistently applied in subsequent years.

An Accrual-Basis Taxpayer May Elect to Accrue Real Property Taxes