Accrue SIMPLE plan contributions?

[Hamacher]

I have a cash basis S Corp. client that is going to be making the 3% match in 2012. Do you accrue for the SIMPLE contribution or because they are cash, deduct it in 2012. I suspect the previous tax preparer did it incorrectly. Thanks in advance for your help.

[Bees Knees]

From TTB, page 28-10:

Time limit for making contributions. Employee elective deferrals
to SIMPLE IRAs must be made within 30 days after the end
of the month in which the amounts would otherwise have been
payable to the employee in cash. Employer matching contributions
or nonelective contributions must be made by the due date
(including extensions) for filing the employer’s federal income
tax return for the year.

When to deduct contributions. Contributions to a SIMPLE IRA
are deductible in the tax year within which the calendar year for
which the contributions are made ends. Contributions are deductible
if they are made by the due date (including extensions)
of the federal income tax return for that tax year.

Example: Melissa is a sole proprietor whose tax year is a calendar
year. Contributions under a SIMPLE IRA plan for the calendar year 2011
(including contributions made in 2012 by April 15, 2012) are deductible
in the 2011 tax year.

[Hamacher]

Thanks

From TTB, page 28-10:

That is what I thought. Not sure why I overlooked that.

Thanks!