What methods of taxation do they use in the U.S.?
There are two methods of Income taxation in the U.S.: • Cash basis method – applies when rental income is counted as income with expenses deducted as they are received. • Accrual method – taxpayer generally reports income when he earns it, rather than when he receives it. Taxpayer generally deducts his expenses when he incurs them, rather than when he pays them.
