Which of the following doctrines does not affect the timing of income recognition for a cash basis taxpayer?
A)Installment method
B)All events test
C)Wherewithal-to-pay
D)Constructive receipt

Question

Quizplus · Accepted Answer

The all events test is primarily relevant for accrual basis taxpayers, not cash basis taxpayers. It determines when all the events have occurred that fix the right to receive income and the amount can be determined with reasonable accuracy. Cash basis taxpayers recognize income when it is actually or constructively received.

Which of the Following Doctrines Does Not Affect the Timing