The IRS on Jun. 9 issued Rev. Proc. 2025-23, updating the list of tax accounting method changes eligible for automatic consent under the existing procedures laid out in Rev. Proc. 2015-13 and its subsequent modifications. 

According to Journal of Accountancy, the new guidance reorganizes and expands the list into 32 sections by Code provision and includes 17 notable updates to the previous version, Rev. Proc. 2024-23. These updates clarify existing provisions and introduce new conditions for eligibility or applicability for certain method changes.

Each entry comes with a description, limitations, and where applicable, additional requirements. Taxpayers must use the designated change numbers from the list when completing Form 3115, the application for a change in accounting method. 

Some of the clarifications include changes to Section 481(a) adjustments, now explicitly tied to the taxable year in which the election is made. Among the more detailed changes is Section 15.12, which involves switching from accrual to cash method for farming activities. The update clarifies that this change applies solely to a taxpayer’s farming business, not to any other business activity the taxpayer may operate. 

The latest update continues a long line of revenue procedures modifying Rev. Proc. 2015-13, which has been a cornerstone in the IRS’s framework for automatic and nonautomatic accounting method changes. The changes in Rev. Proc. 2025-23 take effect for Forms 3115 filed on or after Jun. 9, and apply to years ending on or after Oct. 31, 2024.