Abstract The article reports on Accrued expense tax reform. The accounting profession was not ready in 1954 to govern its own conduct and had no effective means to re strain its clients, especially with regard to estimated expenses. Consequently, the opportunity to conform tax accounting more closely with general accounting was missed. Taxpayers and accountants over the years have kept the accrued expense and deferred income issues alive. There have been frequent court cases for individual items. Recently the American Institute of CPA's Committee on Federal Taxation formally revived these issues by including proposals for reenactment of Sections 432 and 462 in its recommendations to the U.S. Congress. The Statements on Responsibilities in Tax Practice, No. 4 of which was issued in October 1966, represent a very constructive program on the tax side of the picture. These, coupled with educational activities directed toward awareness of the ramifications of taxes, good rapport with the Internal Revenue Service and client education, needs to continue. Client education is certainly important because obviously practitioner accountants cannot carry the whole burden.

Abstract The article focuses on the study of Internal Revenue Services in accounting courses. In teaching accounting courses, field trips are not often used. Probably only for special situations and for relatively small groups could they be effective. In its graduate course in income tax at the University of Illinois, "Income Tax Development," one of the university's objectives is to give students some comprehension of current developments, including tax practice and relationships between practitioners and the Internal Revenue Service. In studying the Internal Revenue Service the university has some formal reading assignments. Whenever schedules will permit the university will try to culminate this with an all-day visit to a District Office of the lnternal Revenue Service. It has been extremely interesting to observe reactions of students to this visit. It is clear that the purpose of the paper is not simply to discuss the image of the Internal Revenue Service. This is an interesting subject in itself, but is intended as an illustration of the image of almost any government servant. The author feels that better understanding on the part of the enlightened public is needed, and will lead to better service and better rewards for service.

Abstract The subject of the tax basis of property and the related subject of gains or losses on disposals are probably the most difficult subjects for most students in an introductory income tax course. Students tend to become rather badly lost among the maze of general rules, exceptions and exceptions to exceptions which cover the various situations. Where appropriate, journal entries are used to help explain the treatments. The outline itself is not complete in this respect. Accordingly, in the class discussion considerable time is spent on this phase. The outline has been given to the students after they have already had one or two days on basis material and have struggled with it for a while. The use of the outline has not produced any startling improvement in student comprehension of the material covered. Many still remain confused. However, there is evidence that on equivalent examinations, grades have been somewhat improved over scores in past semesters before the outline was used.

Reviews the book "The Personal Exemptions in the Income Tax," by Lawrence H. Seltzer.

Abstract The article focuses on the differences between commercial and institutional accounting. Increasing importance of the role of higher education in the economy have provided a challenge to all members of the accounting profession. Much of the theoretical knowledge relative to commercial accounting practice must be reassessed when accounting for institutions of higher education. There is truly a separate and distinct set of generally accepted accounting principles for colleges and universities. At the same time, it is interesting to conjecture that as more emphasis is placed on the idea of dollar's worth for each dollar spent by colleges and universities, and with such measurement devices as performance budgeting, these non-profit organizations may be moving toward profit and loss applications. Meanwhile, as large business enterprises become more service oriented, they appear to be assuming trusteeship aspects similar to those in institutional accounting. Just as it may be true that institutional accounting can benefit from commercial accounting, the reverse is equally likely.