California CPA articles from May 2001

California CPA archives from May 2001

EDD REVISES STOCK OPTION INFORMATION.(Economic Development Division)(Brief Article)
May 1, 2001... The IRS' recent clarification on the application of FICA, FUTA and federal income tax withholding on statutory stock options, as outlined in IRS Notice 2001-14, has altered the EDD's treatment of statutory stock options for California payroll...

REVISED FORM W-9 OPTIONAL UNTIL JULY 1.(tax identification numbers)(Brief Article)
May 1, 2001... In response to payor concerns about implementing the new certification requirements, using revised Form W-9 is optional until July 1. The major change to Form W-9, Request for Taxpayer Identification Number and Certification (Rev. December...

FICA/FUTA TREATMENT OF STATUTORY STOCK OPTIONS.(Federal Insurance Contribution Act, Federal Unemployment Tax Act)(Brief Article)
May 1, 2001... Recent IRS Notice 2001-14, http://ftp.fedworld.gov/pub/irs-drop/n-01-14.pdf, addresses the FICA/FUTA treatment applicable to statutory stock options--ISOs and employee stock purchase plans (ESPPs). The IRS explains that the income tax...

NEW REGS ON RECOVERY OF LITIGATION COSTS.(tax regulations)(Brief Article)
May 1, 2001... IRS temporary regulations explain when making a qualified offer will result in the taxpayer being a prevailing party for purposes of a recovery of litigation costs. In most tax litigation cases, a prevailing party may recover reasonable...

CAN YOU AFFORD NOT TO HIRE H-1B VISA HOLDERS?
May 1, 2001... The January/February issue of California CPA featured an article on the controversy surrounding hiring H-1B visa holders in technology-related fields. In a recent article, CalCPA member Dennis Brach suggests that because of a shortage of...

NEW CAPS AND RULES ON CONTINUING EDUCATION.(Brief Article)
May 1, 2001... Thought that class in medieval shoe-making might pass as CE? Watch out--the CBA has announced that effective July 1, a licensee must meet new CE requirements to renew in active status. Now, a minimum of 50 percent of required CE must be in a...

JOSEPH TSENG ELECTED TO CBA AS CPA MEMBER.(California Board of Accountancy)(Brief Article)
May 1, 2001... CaICPA member Joseph Tseng, CPA, has been appointed to the California Board of Accountancy. Tseng is a partner with the South Pasadena firm of Tseng, Lee & Huang. His CBA term will run through Jan. 1, 2004.

MICROSOFT PRODUCTS MAY BE EASY TARGETS.(for hackers)(Brief Article)
May 1, 2001... A recent report from the enter for Strategic and International Studies in Washington D.C. concludes that the government and private sector should be concerned about the trustworthiness of future Microsoft products in the aftermath of a hack...

AUDITING MFP PARTICIPANTS.(multi-family housing program)(Brief Article)
May 1, 2001... Auditors of Multi Family Housing Program participants should be aware of changes in HUD rules that now require a separate agreed upon procedures engagement to be performed. In this engagement, an auditor would compare financial data entered...

RIN PROCESS CLARIFIED.(return information notices)(Brief Article)
May 1, 2001... In response to complaints that FTB return information notices don't reflect payments made after a return is filed but before the notice is issued, the FTB has added clarifying language to its notices. The RINs now read:"... The balance for...

CONGRESS THROWS OUT ERGONOMICS REGS.(Brief Article)
May 1, 2001... In March, the U.S. Congress overturned the Occupational Safety and Health Administration's ergonomics regulations that were passed at the end of President Clinton's term. The U.S. Chamber of Commerce called the new rules "the most...

SPEAK OUT!
May 1, 2001... DEAR EDITOR, There seems to be some confusion over terminology in your two articles "Taking the Plunge" and "The H-1B Controversy." "Startups" and "high tech" are not synonyms. High-tech startups are not just computer programming and...

WELCOME COUNCIL.(California Society of Certified Public Accountants)(Brief Article)
May 1, 2001... Last June, members ushered in bylaw changes that have transformed CalCPA's governance structure. Beginning this month, the CalCPA Board of Directors will be known as CalCPA Council. The size of this representative governing body has...

2001 ANNUAL MEETING SEATTLE-BOUND.
May 1, 2001... It's pretty much a sure thing: Seattle promises to be earthquake-free during CalCPA's 2001 Annual Meeting July 20-22. In addition to all of the usual business--Annual Members Business Meeting, council meeting, and Distinguished and Public...

JEANNE MANN WINS PUBLIC SERVICE AWARD.(accountant honored)(Brief Article)
May 1, 2001... If you want to know how to leave a lasting imprint on your community, take a lesson from 2001 Public Service Award winner, Jeanne Mann. Mann, a partner in San Diego-based Withers, Mann & LaManna LLP, is currently treasurer for Business...

TALES OF A PEER REVIEW IN GUANGZHOU, CHINA.(Brief Article)
May 1, 2001... CalCPA member Howard Siegman, a Beverly Hills-based CPA, recently returned from a trip to Guangzhou, China where he performed an on-site peer review (or system review) for the CPA firm of Laurence E. Lipsher. Lipsher's firm claims to be the...

ESTATE PLANNING COMMITTEE ONLINE.(Brief Article)
May 1, 2001... Estate taxes are generating some heated discussions on Capitol Hill and at dinner tables across the country. The time is ripe to visit CalCPA's Estate Planning Committee's new Web site at http://www.calcpaweb.org/estate According to...

REACHING OUT TO MEMBERS IN INDUSTRY.(corporate accountants)(Brief Article)
May 1, 2001... Corporate accountants comprise a large portion of CalCPA members. To make sure that their needs are met, members in industry are asked to attend Sound Off! 2001. This is a special opportunity to voice opinions to those who are responsible for...

PRIVACY DISCLOSURES: MAKE THEM COUNT.(Brief Article)
May 1, 2001... July 1 is the deadline for CPAs who provide tax preparation or financial planning services to comply with the privacy disclosures mandated by the federal Gramm-Leach-Bliley Act. As you've probably noticed, many banks already have started to...

2001 TECHNOLOGY RESOURCE GUIDE.(Brief Article)
May 1, 2001... Interested in learning quick and easy ways to troubleshoot your own computer? Or perhaps you just want to review the latest and greatest in accounting-related technology. CalCPA's TRG (Technology Resource Guide) is for you, and it was mailed to...

GOT E-MAIL?(Brief Article)
May 1, 2001... What happened at CalCPA's April board of directors meeting? How did the AICPA Council vote on the proposed global credential? What is the latest-breaking news from the FTB and EDD? If CalCPA had your e-mail address, you would know the...

SPECIAL LETTERS SECTION SPEAK OUT!
May 1, 2001... The AICPA Council met April 29-May 2 and was scheduled to vote on whether or not the AICPA should create an affiliate organization to supervise development of its proposed global credential, and whether or not to authorize a full membership...

FASB's Politically Motivated (?) Move.(Financial Accounting Standards Board)(Brief Article)
May 1, 2001... As it fine-tuned its statement on Business Combinations A and Intangible Assets, did the Financial Accounting Standards Board buckle under political pressure from the likes of U.S. Senate Banking Committee chairman, Sen. Phil Gramm (R-Texas)?...

MIGHTY FINANCIAL SUPERHEROES.
May 1, 2001... CFOs-for-Hire Cash In on Saving the Day CEO Rand Bleimeister let the ax fall. Late last year, the advertising model that so many Internet startups had built their revenue model upon had collapsed, and for his fledgling video-content...

Tale of a DOL Investigation.(United States. Department of Labor)(Brief Article)
May 1, 2001... When an "official business" letter arrived from the U.S. Department of Labor for CaICPA's Group Insurance Trust in August 1997, we had no reason to suspect that it would represent the opening salvo of a more than three-year-long investigation....

Right Here, Right Now.(continuing professional education )
May 1, 2001... //: ONLINE CLASSES OFFER FLEXIBILITY AND CONVENIENCE thanks to technology, you can earn continuing professional education credits whenever you want them and wherever you are whether it's in your office, at your home, or on a business trip...

Export Tax Incentives.(Brief Article)
May 1, 2001... The FSC Repeal and Extraterritorial Income Exclusion Act of 2000 repealed the foreign sales corporation rules and replaced them with new tax rules regarding foreign sales. The Act should produce the same tax benefits as FSCs, simply in a...

How to Unmarry a Millionaire.
May 1, 2001... IRC Sec. 1041 assures that gain is not recognized for income tax purposes when property is transferred between spouses or former spouses incident to a divorce. In a recently released field service advice (FSA 200005006), the IRS rejected Sec....

A Different Slant on Tax Reform.(Brief Article)
May 1, 2001... As Congress ponders how best to align President Bush's tax plan with their own interests, I'd like to offer my short list for tax reform. Although the measures now before Congress are touted as vital to our economic and fiscal well-being, the...

Unexpected Rewards.(serving on committees)
May 1, 2001... Volunteering Builds Knowledge, Referrals, Skills, Visibility and Friendships The reasons CalCPA leaders participate vary greatly, but more often than not, it's the unexpected rewards that keep them active. CONGRATULATIONS! YOU'VE BEEN...

What Does It Take?(accounting accreditation standards)(Brief Article)
May 1, 2001... Future of CPA Profession Hangs in the Balance All CPAs are now required to hold a doctorate in accounting. No grandfathering will be permitted. Did we get your attention? Did we raise your ire? The doctorate requirement is a...

CalCPAONLINE web focus.(membership renewal)(Brief Article)
May 1, 2001... RENEW YOUR MEMBERSHIP ONLINE Renewing your CalCPA membership is as easy as point and click. This year you can renew online at http://www.calcpa.org/renew, and continue to have a powerful voice in government, strong influence in business and...