Different Accounting Bases?

Question

What are the different bases of accounting? When would you use the cash basis? Accrual basis? Tax basis? Which one is better? Why?

Answer 1

If you are an individual, you will almost certainly be a cash basis tax payer.

Answer 2

Okay you named cash and accrual so why are you asking about the different basis for accounting?

I would use cash basis for an individual and accrual accounting for a business.

Accrual is more accurate.

Hope this helps

Jerry-the-bookkeeper