Today, in AmerGen Energy Co., LLC v. United States, the U.S. Court of Appeals for the Federal Circuit held that the U.S. Court of Federal Claims correctly decided that Section 461(h) is applicable in determining when and whether an accrual method taxpayer, such as AmerGen Energy Co. LLC (AmerGen), incurs future nuclear decommissioning liabilities for purposes of calculating the basis of an acquired nuclear power plant and associated assets.  The court found that because AmerGen did not economically perform the decommissioning activities at issue in the relevant tax years, AmerGen could not include the liabilities in the cost basis of the nuclear power plant and associated assets.