California CPA articles from July 2004

California CPA archives from July 2004

Thomas G. Manolakas.(In Memoriam)(Brief Article)(Obituary)
July 1, 2004... Thomas G. Manolakas, CPA, died June 4, 2004. He was 57. Manolakas was of counsel at Boutin, Dentino, Gibson & DiGuisto in Sacramento and an instructor for the California CPA Education Foundation for more than 25 years. "Tom was a great...

You're hired!(CalCPA News; accountant jobs)(Brief Article)
July 1, 2004... Don't miss this genuine occupational drama in which all walks of the accounting profession convene in one location to face the challenges and rigorous tasks of career fulfillment. [ILLUSTRATION OMITTED] Upon arrival, candidates will be...

AICPA rolls out financial literacy initiative.(AICPA News; American Institute of Certified Public Accountants)(Brief Article)
July 1, 2004... Following CalCPA's efforts, the AICPA has launched a national financial literacy education program called, 360 Degrees of Financial Literacy. The program includes a National CPA Financial Literacy Commission and a Grassroots Mobilization...

AICPA, DOL partner on small-business fiduciary education.(AICPA News; American Institute of Certified Public Accountants)(Department of Labor)(Brief Article)
July 1, 2004... The AICPA and U.S. Department of Labor have partnered on a national campaign to educate employers and service providers about their fiduciary responsibilities under the Employee Retirement Income Security Act. To access the DOL's ERISA...

CalCPA members Driftmier, Swartz and Heintz named to CBA.(CBA News; California Society of Certified Public Accountants)(California Board of Accountancy)(Brief Article)
July 1, 2004... Gov. Arnold Schwarzenegger has named CalCPA members Donald Driftmier, David Swartz and Sara Heintz to four-year terms on the California Board of Accountancy, replacing fellow CalCPA members David Walton, Joseph Tseng and Wendy Perez. ...

Pathway 0 deadline to be extended.(CBA News; accountant education)(Brief Article)
July 1, 2004... The CBA has introduced legislation that will extend the Pathway 0 deadline past Dec. 31, 2005, and to allow candidates to transition from Pathway 0 to Pathways 1 or 2 regardless of when they sat for the CPA Exam.

CBA to pursue implementation of UAA interstate practice provisions.(CBA News; California Board of Accountancy)(Brief Article)
July 1, 2004... The CBA has decided to pursue legislation to require out-of-state CPAs who provide services to California clients to notify the CBA before they enter California to provide those services. There is no current requirement that a CPA providing...

Treasury, IRS clarify Health Savings Accounts.(IRS News; tax accounting)(Brief Article)
July 1, 2004... The Treasury and IRS have issued Revenue Ruling 2004-45 clarifying how health Flexible Spending Arrangements and Health Reimbursement Arrangements interact with Health Savings Accounts. [ILLUSTRATION OMITTED] The guidance provides ways...

Treasury, IRS guidance on credit card fee income.(IRS News)(Brief Article)
July 1, 2004... The Treasury Department and IRS have issued three guidance items regarding credit card annual fees and late fees. Revenue Ruling 2004-52 holds that credit card annual fees are not interest for federal income tax purposes. For more, visit...

Automatic relief for certain late S corp shareholder consents.(IRS News)(Brief Article)
July 1, 2004... Stuart R. Josephs, CPA, of the San Diego-based Tax Assistance Practice, reports that Rev. Proc. 2004-35 (IRB 2004-23, 6/7/04) provides automatic approval for late filing of consents, by spouses of S corporation shareholders in community...

Reviews of corporate returns down in 2003.(IRS News)(Brief Article)
July 1, 2004... Reviews of corporate tax returns fell in fiscal 2003 for the sixth consecutive year, according to a report by the Treasury Inspector General for Tax Administration. IRS examinations of all corporate tax returns have fallen from one out of...

California No. 1 in women-owned biz.(Survey Says)(Brief Article)
July 1, 2004... Women own 50 percent or more of almost half of all privately held U.S. businesses, according to a study by the Center for Women's Business Research sponsored by Wells Fargo & Co. [ILLUSTRATION OMITTED] California leads the nation with...

GASB: standards on postemployment benefit plans.(GASB News; Governmental Accounting Standards Board)(Brief Article)
July 1, 2004... GASB has issued Statement No. 43, Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans, such as health care and other nonpension benefits provided as part of an employee's compensation for services. The standards...

Where the money is.(News & Trends; incomes)(Brief Article)
July 1, 2004... Marin, San Mateo, Santa Clara & Contra Costa counties boast the highest median incomes in the state. Here's how they stack up: Median Income Rank Median Income Rank (all returns) (joint returns) ...

Volunteer before disaster strikes.(News & Trends; California CPA)(Brief Article)
July 1, 2004... With wildfire season in full bloom, volunteer for CalCPA's Disaster Recovery Program before disaster strikes. Each year, families and businesses lose everything to wildfires and face numerous challenges as they attempt to put their lives back...

Public Service Award winner: Mel Kohn.(News & Trends; accountants)
July 1, 2004... For a lifetime devoted to improving the CPA profession and community, Mel Kohn is CalCPA's 2004 Public Service Award winner. Kohn, managing partner at Kirsch, Kohn & Bridge LLP, has served in numerous capacities for CalCPA, including a stint on...

Accounting Educator BUZZ debuts.(WebFocus)
July 1, 2004... CalCPA's Accounting Educator BUZZ debuted April 27. The e-newsletter is the latest effort of the Accounting Education Committee to connect accounting educators and practitioners by providing news and resources. Sign up to receive the newsletter...

Expensing stock options: a recipe for more corporate disaster?(SpeakOut!; accounting)
July 1, 2004... FASB's proposed regulation forcing companies to treat stock options as a business expense promises to thwart companies from overstating reported net income by attempting to measure the immeasurable. This will not provide shareholders better...

Auditor independence: a new structure is needed.(SpeakOut!)(Brief Article)
July 1, 2004... The Public Company Accounting Oversight Board, set up to check on accounting issues, has already begun to review some accounting firms. While I feel this is a good first step, I wonder if this type of organization will get to the heart of...

Defined benefit plans vs. defined contribution plans.(SpeakOut!; accounting)(Brief Article)
July 1, 2004... Regarding the article "Are Defined Benefit Plans Still a Good Option" (California CPA, June 2004), the authors did a very good job of attempting to show that there are some, albeit minor, benefits to DB plans. What they did not note: ...

Jerry Kasner honored with lifetime achievement award.(Foundation News; California CPA )(Brief Article)
July 1, 2004... Jerry Kasner will receive the 2004 Lifetime Achievement Award from the California CPA Education Foundation at the July 16 Annual Members Business Meeting. Kasner, a CPA and professor emeritus of law at Santa Clara University School of Law,...

Announcements.(Member Milestones; accountants)(Brief Article)
July 1, 2004... Rick Poole of Santa Monica has been promoted to officer at Stonefield Josephson... Terry Fussell was hired as tax manager and Steven Naugle was hired as audit manager at Los Angeles-based Leslie, Engell & Associates, LLP in Los Angeles......

Accomplishments.(Member Milestones; accountants)(Brief Article)
July 1, 2004... Stanley Breitbard of Los Angeles has been selected to serve on the AICPA's National CPA Financial Literacy Commission... Stephen Blythe of Laguna Hills has been selected as a finalist for the annual Ernst & Young Entrepreneur of the Year Award...

Awards.(Member Milestones; accounting)(Brief Article)
July 1, 2004... Ronald Durkin of Los Angeles and Michael Ueltzen of Sacramento received the 2003 AICPA Forensic & Litigation Services Volunteer of the Year Award. The award acknowledges the contributions of AICPA committee, subcommittee or task force members...

Firm news.(Member Milestones; accounting services)(Brief Article)
July 1, 2004... West Covina-based Parke, Guptill & Company, LLP has joined the Alliott Group, an international alliance of more than 200 accounting firms... Armanino McKenna LLP of San Ramon has joined forces with Jim Karling, founder of Karling and...

Members in the news.(Member Milestones; accountants)
July 1, 2004... David Cieslak was quoted in the March Accounting Technology and Practical Accountant... Ric Rosario also was quoted in the March Practical Accountant... The April 16 Merced Sun-Star featured comments from Marcia Hall... The April 21 Red...

Taking control of internal controls: the 411 on Sec. 404.(sarbanes-Oxley Act)(Cover Story)
July 1, 2004... The text of the Sarbanes-Oxley Act, Sec. 404, Management Assessment of Internal Controls, contains only 173 words. But in its practical application, it contains so much more. [ILLUSTRATION OMITTED] Sec. 404 requires publicly traded...

Outsourcing guidance for CPAs: hot topic has everyone from state legislators to the AICPA chiming in.(American Institute of Certified Public Accountants)
July 1, 2004... Ask 10 CPAs what they think of outsourcing and you'll probably get 10 different responses. The mere mention of the word inspires lengthy and emotional debate. [ILLUSTRATION OMITTED] Outsourcing has morphed into a political concern,...

CBA's full plate: board seeking legislation on everything from licensing to fines.(GovernmentRelations; California Board of Accountancy )
July 1, 2004... As the California Board of Accountancy delivered its sunset review report, the Joint Legislative Sunset Review Committee urged legislation on a number of issues, including changes to discipline options, peer review and licensing. These issues...

Saying "I do" to fiduciary responsibility.(FiduciaryDuties)
July 1, 2004... If you are advising a spouse who is the decision maker--be careful. Generally, a husband and wife owe one another duties of mutual respect, fidelity and support. Failing to advise happily married clients about the fiduciary duty between spouses...

FLPs receive boost: Fifth Circuit decision stems the tide of recent taxpayer losses.(EstatePlanning; Family Limited Partnerships)
July 1, 2004... The Fifth Circuit reversal in Kimbell v. U.S., Dec. 03-10529 (5/20/04) leaves the IRS bloodied, but unbowed, in its ongoing valuation discount struggle to expand retained interests principles to LLCs and family limited partnerships under IRC...

Child Labor: work permits, OT, articles of incorporation and more.(CaliforniaTax)
July 1, 2004... Business owners who hire and pay their children can deduct the wages as a business expense, just as they would for any other employee. For a child under 18 working in the parent's unincorporated business, there is the added advantage that...