LIFO Conformity Estimates

Basic Conformity Estimate

SourceHOV | Tax Basic Conformity Estimate service is provided to assist you in complying with the IRS Conformity Regulation that requires an estimated LIFO adjustment on all annual financial statements issued to creditors. While the Basic Conformity Estimate is considered a "good faith estimate", it is not designed to be used as a planning tool. The cost for this service is $300 for new vehicle estimates and $300 for used vehicle estimates. Click here for Estimate Worksheet to review or print a listing of the information you will be prompted to enter for this type of estimate.

Please note that some of the below-noted 2016 models may not have been released or may not have been in the dealership's year ending inventory. If either applies to your dealership/client, you may proceed with the estimate.


 

Enhanced Conformity Estimate

This option should only be utilized by dealerships with a 12/31 year end.

SourceHOV | Tax Enhanced Conformity Estimate service is provided to assist you in complying with the IRS Conformity Regulation that requires an estimated LIFO adjustment on all annual financial statements issued to creditors. The Enhanced Conformity Estimate is considered a "good faith estimate" and is also a helpful planning tool due to its detailed nature -- Unlike the Basic Estimate, the Enhanced Estimate requires entry of specific model quantities. You will find it extremely helpful to print and fill out a "quantities worksheet" prior to proceeding with this estimate. Click here for Estimate Worksheet. The cost for this service is $425 for new vehicle estimates. This service is not available for used vehicles (see Basic Conformity Estimate).

Please note that some of the below-noted 2018 models may not have been released by 12/31/2017 or may not have been in the dealership's year ending inventory. If either applies to your dealership/client, you may proceed with the estimate.


 

Pending 2018 Manufacturers/Models:

Click here to retrieve the pending models PDF.

Please note that if you choose to perform an Enhanced Estimate at this time, you will be unable to enter quantities for the above-noted 2018 models -- If the dealership expects to have such models in its year ending inventory, performing an estimate without those models could impact the accuracy of the estimate. For further information, email us at customerservice@sourcehovtax.com.

If your dealership carries any of the following lines, the website enhanced estimate option is not applicable.

Ferrari, Lotus, Aston Martin, Alfa Romeo, Maserati, Lamborghini, Bertone.


 

Additional Information About Used Vehicle Calculations

(Account numbers that end with a U)

Most of our used vehicle LIFO clients utilize the Kelley Blue Book for the valuation of trade-ins and computation of the annual LIFO index.

If your dealership is one for which SourceHOV | Tax utilizes Black Book indexes, your estimate will be prepared accordingly.

If you are unsure of the used vehicle pricing source that is utilized for your dealership's LIFO computation, please email us at customerservice@sourcehovtax.com. Our LIFO experts will promptly get back to you with the information you need!