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How is GAAP accounting different from tax accounting?

1. GAAP is accrual-based but tax is cash-based

2. GAAP uses straight-line depreciation or a few other methods whereas tax accounting is different (accelerated depreciation).

3. GAAP is more complex and more accurately tracks assets/liabilities whereas tax accounting is only concerned with revenue/expenses in the current period and what income tax you owe.

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