Accounting for inventory under US GAAP: Is LIFO still used by companies?

As globalization progresses and international economic dependency increases, the need for global accounting system becomes more apparent. With this matter US lawmakers are willing to converge with international accounting standards. However, there are many challenges facing them, one important would be the repeal of LIFO inventory costing method. Although, the LIFO costing method was under pressure of SEC’s Roadmap toward IFRS and Obama administration’s budget proposals 2012, which contained a provision to elimination of LIFO for tax purposes. The method is still used by firms and the repeal did not happen yet. This study investigates into the current situation of firms using the LIFO and provides the most recent facts of LIFO repeal.