Tax returns as a source of historical data

BVWireIssue #246-4
March 22, 2023

economic data for valuations
cash flow statement, income statement, historical income approach, data

The vast majority (91%) of valuation experts say federal tax returns are crucial or very important sources of historical financial data. In addition to the IRS Forms 1120 and 1065, many respondents (81%) get the Schedule C from the 1040 and two-thirds say they get the Schedule E. Over half (55%) get the Form 8825. Virtually all respondents (95%) get the returns in PDF form, and about the same percentage (91%) do not use software to extract the data. Our thanks to the 43 respondents who took the survey.
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