Why do politicians prefer the cash basis accounting system over the accrual basis system?

Answer:
Politicians like a more consistent rate rather than one that fluctuates.

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The accrual basis system deals with deprecation of the value of equipment, land and such.

Politicians would sooner see the cash value stay the same throughout. This way they can tax at a higher rate. If in fact, the full money value can be deprecated, it also makes a business worth less in the long run.

In whole, a cash basis accounting system works great for the government. It is easy to calculate as well as tax to the full extent as no write offs can be had.

I think this is why they do this.

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