### Question
How does Income Taxes define LIFO method?


### Answer
Under *26 U.S.C. § 312*, **LIFO method** is defined as:

> the method authorized by section 472 (relating to last-in, first-out inventories)

#### Citation:
  - *26 U.S.C. § 312*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter C-Corporate Distributions and Adjustments > PART I-DISTRIBUTIONS BY CORPORATIONS > Subpart B-Effects on Corporation**

