An Accrual Basis Taxpayer Wishes to Take Advantage of the Recurring

Multiple Choice

An accrual basis taxpayer wishes to take advantage of the recurring item exception to the economic performance requirement in order to accelerate a deduction.Which of the following is not correct regarding the taxpayer's ability to apply the recurring item exception?

A) The independent all-events test need not be satisfied.
B) Payment is made within 8.5 months after the close of the tax year.
C) The taxpayer consistently treats similar items meeting these criteria in the same manner.
D) The amount is immaterial or the accelerated deduction results in better matching of income and expense.