Accounting Today articles from February 2007

Accounting Today archives from February 2007

Taxpayer Advocate Report: Complexity issues top NTA report.(National Taxpayer Advocate)
February 12, 2007... The complexity of the tax code, the widening tax gap and private debt collection sit atop National Taxpayer Advocate Nina E. Olson's list of the most serious problems facing taxpayers. The recently released report also cited the oversight...

Corporate Governance: SEC under fire on executive comp: Frank leading Dems charge to monitor pay.(Securities and Exchange Commission)
February 12, 2007... WASHINGTON -- Resurgent House Democrats are on a collision course with the Securities and Exchange Commission over the need for restrictions on corporate executive compensation - an issue Republican lawmakers managed to keep bottled up despite...

Future Tech: Technology trends in accounting for 2007: Workflow, Vista, and a brewing software battle.
February 12, 2007... The automation of tax workflow, a slower adoption of Microsoft's new Vista operating system and the ongoing rivalry between veteran QuickBooks and Microsoft's relative newcomer Office Accounting are expected to be among the top technology...

New convergence phase ahead: 'Improve, converge and simplify.'.
February 12, 2007... NORWALK, CONN. -- If the plans of the Financial Accounting Standards Board come to fruition, 2007 will represent a historic year in international accounting - a giant leap forward in global financial efficiency. It was just four years ago...

In Brief: PCAOB Reports Critique E&Y, KPMG.
February 12, 2007... WASHINGTON -- Sounding a familiar warning, the Public Company Accounting Oversight Board criticized Ernst & Young and KPMG for failing to follow accounting rules or gather sufficient evidence for judgments in a number of audits. The board...

Kentucky partner to succeed BKD's Fingland.(Neal D. Spencer)(Brief article)
February 12, 2007... Neal D. Spencer, partner-in-charge of BKD LLP's Kentucky and southern Indiana offices, will take over the reins of the entire firm this summer, succeeding BKD managing partner William E. Fingland Jr., following a transition period in early...

KPMG emerges from tax-shelter nightmare.(KPMG L.L.P. (New York, New York))
February 12, 2007... NEW YORK -- The New Year began with a symbolic victory for Big Four firm KPMG, as a federal judge here dismissed a criminal conspiracy charge against the U.S. arm of the Big Four firm for conspiring to sell illegal tax shelters. The charge...

In Brief: UHY Picks Up New England's CCR.(UHY Advisors, Carlin, Charron & Rosen LLP)(Brief article)
February 12, 2007... BOSTON AND WESTBOROUGH, MASS. -- One of New England's largest independent CPA firms, Carlin, Charron & Rosen LLP, has announced a pending merger with UHY Advisors. Terms of the merger, which should close May 1, were not disclosed. In May 2006,...

In Brief: LarsonAllen picks up four firms.(acquisitions)(Brief article)
February 12, 2007... MINNEAPOLIS -- In a series of deals effective Jan. 1, LarsonAllen LLP acquired four firms, expanding its presence in Wisconsin, Minnesota and Arizona. Terms were not disclosed. The firms that will be joining LarsonAllen include:...

In Brief: Jackson Hewitt to settle RAL charges.(refund anticipation loans)(Brief article)
February 12, 2007... SACRAMENTO, CALIF. -- Tax preparation service Jackson Hewitt Inc. will pay $5 million to settle allegations that it violated state and federal laws when marketing its refund anticipation loans to California customers. California Attorney...

Editor's Desk: Whine with that FIN?(Financial Interpretation Number rule by Financial Accounting Standards Board)(Editorial)
February 12, 2007... If I received a quarter for each time I've heard the words "liabilities," "transparency" and "balance sheet" in the same sentence since I've been at the helm of Accounting Today, well, I wouldn't need to be at Accounting Today - or any job,...

Commentary: Interstate commerce versus public protection.(regulations for certified public accountants )
February 12, 2007... Sometimes it seems as if the three biggest issues facing the accounting profession today are mobility, mobility and mobility. Talk to enough CPAs about the problems facing the profession, and you're bound to hear that word - "mobility" -...

Mutual funds offer more choice, sparking investor interest.
February 12, 2007... Mutual funds have something for everyone - at least Michelle Smith of the Mutual Fund Education Alliance thinks so. "The industry has adjusted to the public's demand for choice," said Smith, who is managing director of the alliance, a...

2006's Top Mutual Fund Regs.(regulations)
February 12, 2007... In a recent online report to its members, the Investment Company Institute listed the top regulatory actions over 2006 that most affected mutual funds and investors. * Mutual fund redemption fees. Mutual fund boards will determine the...

Reaction mixed to AICPA's service standards proposals.(American Institute of Certified Public Accountants)
February 12, 2007... The latest American Institute of CPAs' Statement on Standards for Tax Services has some practitioners upset that it could hurt smaller firms that are primarily engaged in tax preparation. SSTS 9, available on the AICPA Tax Center Web site,...

In Brief: Liberty Tax Acquires Online Tax Software Company.(acquisitions)(Brief article)
February 12, 2007... VIRGINIA BEACH, VA. -- Liberty Tax Service announced the acquisition of eSmartTax, the income tax preparation business of San Jose, Calif.-based C&S Technologies. Financial terms of the deal, which does not include C&S's payroll-tax-related...

In Brief: Revamped E-File Available for Partnership Returns.(Brief article)
February 12, 2007... WASHINGTON -- Partnership taxpayers can now use the modernized e-File platform when filing Form 1065, "U.S. Return of Partnership Income," and Form 1065-B, "U.S. Return of Income for Electing Large Partnerships." The modernized platform...

In Brief: KPMG Web-Based Institute to Focus on Tax Oversight.
February 12, 2007... WASHINGTON -- KPMG LLP has announced the establishment of the Tax Governance Institute, an open forum for board members, management, stakeholders and government representatives to debate various aspects of tax oversight and management. ...

Donor-advised funds after PPA '06: Handle with care!
February 12, 2007... Donor-advised funds have grown steadily over the past several years, in large part as a result of the benefits these funds bestow upon their donors, and the increased marketing of these funds by sponsoring organizations as a way of capturing...

IFAC issues standard on non-exchange transactions: International standard comes close to those of U.S.(International Federation of Accountants)
February 12, 2007... TORONTO -- The International Public Sector Accounting Standards Board, the governmental standard-setting unit of the International Federation of Accountants, has issued a statement that, for the first time, establishes requirements for the...

Change Of Auditors.
February 12, 2007... CAPITAL CITY REPLACES KPMG Tallahassee, Fla.-based financial services concern Capital City Bank Group Inc. has replaced its auditor, KPMG, with Big Four rival Ernst & Young. In a federal filing, Capital City did not disclose a reason...

Don't forget these five pension fundamentals:.(Statements of Financial Accounting Standards)(Column)
February 12, 2007... Because SFAS 158 has become effective for fiscal years ending after Dec. 15, 2006, it won't be long until annual reports start arriving with re-measured and reclassified defined-benefit pension liabilities or assets on the balance sheet. The...

Keep time on your side.(Column)
February 12, 2007... Time is such a valuable commodity - it's a shame when investors squander it. Yet many waste a resource that can't be recovered. Time is an investor's most valuable ally. Returns increase exponentially over time, which is as close to magic...

In Brief.(case filed against Ameriprise Financial Inc. by National Association of Securities Dealers)(Securities fraud cases)(206(4)-8)
February 12, 2007... NASD RULES AGAINST AMERIPRISE An NASD arbitration panel ordered an Ameriprise Financial Inc. subsidiary to pay out as much as $9.3 million to three former pilots for American Airlines who charged that a broker for the financial services'...

Business plan software remains an important app.
February 12, 2007... In the business boom of the late 1990s, software for preparing business plans was itself a big business. With plenty of venture capital available, a good-looking boilerplate plan could mean the difference between a company being founded or an...

In Brief.(Sage Software Inc.)(Sage Accpac HRMS)(OpenEngagement)(Fast-Tax FPS)
February 12, 2007... SAGE LAUNCHES ACCPAC HR SYSTEM Sage Software recently launched Sage Accpac HRMS, a new human resources management system for Sage Accpac ERP and Sage Pro ERP users. Based on the company's Sage Abra HRMS, the latest version is designed...

The keys to transforming your firm.(management techniques)
February 12, 2007... Market conditions are changing. There's a shortage of talent, regulation is increasing, and competitive forces are on the rise. How should firms position for the future when many have just experienced their most profitable year? What is the...

New Products.
February 12, 2007... SOFTWARE & SUPPLIES HELP WITH FIN 48 Thomson Tax & Accounting has developed a new solution to help corporate tax professionals who use Checkpoint and InSource WorkFlow Manager comply with the Financial Accounting Standards Board's...

People.(appointment)(Kosovsky, Pratesi and Co. LLC)
February 12, 2007... CALIFORNIA Yunna Barats has been named a partner in the real estate practice of RBZ LLP, Los Angeles.... Pat Ross and Joyce Salter have been promoted to principal in the Audit and Business Advisory Services Department of Haskell & White...

Firms.(accounting services)(Brief article)
February 12, 2007... FLORIDA CPAmerica International, Alachua, announced that Anglin * Reichmann * Snellgrove & Armstrong PC, Huntsville, Ala., and Packer Thomas, Youngstown, Ohio, and New Castle, Pa., have joined the network. MARYLAND Cal...

Coming Events.
February 12, 2007... FEBRUARY 15-16: Commodity Tax Update - West, Canadian Institute of Chartered Accountants, Calgary, Alberta. Contact: www.cica.ca/cpdevents. 22-24: Business Valuation Courses, American Society of Appraisers. Herndon, Va. Contact: (800)...

Advertiser Index.
February 12, 2007... Advertiser Page AccuFund SR7 CCH, a Wolters Kluwer business 32 Hewlett Packard 15 LexisNexis 4 Microsoft Corp. 7 Sage Software 20-21 Serenic Software SR4-SR5 Thomson Creative Solutions 2 ...

Diversity: The profession changes - but is it enough?(certified public accountants)
February 26, 2007... Historically, accounting firms have carried the stereotype of men's clubs - and predominantly white men's clubs, at that. There probably isn't a woman or minority CPA in public accounting who can't recall an instance of clients expressing...

Tax Season 2007: E-file 2007: So far, so good.(electronic tax filing)
February 26, 2007... The Internal Revenue Service may not reach the 80 percent e-filing goal for the 2007 fiscal year set by Congress in 1998, but it continues to advance with the help of improved technology, wider perception of its benefits, and both state and...

Marketing: Being a 'Best Place to Work:' What's in it for a firm?(Burr, Pilger & Mayer LLP)
February 26, 2007... Among other awards that San Francisco-based BPM LLP has received over its 20 years of existence, the firm was named one of the Bay Area's "Best Places to Work" by a local business journal in 2006. Asked what such awards mean to BPM,...

Correction.(Correction notice)
February 26, 2007... A news brief in the Jan. 29-Feb. 11, 2007, Accounting Today (page 5) stated that Turner, Stone & Co. LLP had had its registration revoked by the Public Company Accounting Oversight Board; in fact, the firm was only censured by the board....

Firms, AICPA form audit policy group.(American Institute of Certified Professional Accountants, Center for Audit Quality )(Brief article)
February 26, 2007... A new industry group is looking to make inroads in building support for its policy positions in Washington. The Center for Audit Quality will focus on topics such as auditor protection from lawsuits, the Sarbanes-Oxley Act and how companies...

Tax breaks slow down minimum wage bill.(Brief article)
February 26, 2007... WASHINGTON -- The odds are looking better for Senate approval of legislation to increase the minimum wage, but reconciling that bill with a House version - which contains no tax breaks for businesses - figures to take some negotiating. ...

Study: Small biz on cusp of 'decentralization': Diversity, education levels to increase over next decade.(Report)
February 26, 2007... Small businesses across the U.S. are about to get a facelift. A study sponsored by business software provider Intuit and written by the Institute for the Future, a Palo Alto, Calif.-based nonprofit research group, found that by 2017, small...

In Brief: Texas Board Doles Out Penalties to KPMG.(Texas State Board of Public Accountancy)(KPMG L.L.P.)(Brief article)
February 26, 2007... AUSTIN, TEXAS -- The Texas State Board of Public Accountancy has stayed its license suspension of KPMG LLP in connection with the Big Four firm's sales of questionably legal tax shelters. In a consent order, KPMG's license was suspended for...

In Brief: IRS Oversight Board Releases Report.(Internal Revenue Service)(Brief article)
February 26, 2007... WASHINGTON -- The Internal Revenue Service Oversight Board said that the agency still has a ways to go before fully reaching the vision outlined in the IRS Restructuring and Reform Act of 1998. The board's "foremost concern" remains the tax gap...

Editor's Desk: Euphemisms for 'no'.
February 26, 2007... Years ago, when I meekly asked my parents to raise my weekly allowance from $1.50 to $2, my father began an impassioned speech on how our household was "holding the line" on expenses, citing the encroaching Christmas season and a planned...

Commentary: The truth about turnover.(human resource management techniques)(Column)
February 26, 2007... Like many other businesses, we annually welcome a new crop of recent college and graduate school graduates into our organization. Every relationship with a new employee begins with optimism. We tell them we hope they will build a career at...

Letters: Baruch is committed to accounting education.(Letter to the editor)
February 26, 2007... In the Jan. 8-27, 2007, issue of Accounting Today, Professor Tony Tinker of Baruch College presented a commentary titled, "New York State's CPA hiring problems to worsen after 2009" (page 6). The professional and educational landscape in...

In Brief: Court concurs: Antarctica not a 'foreign country'.(income tax regulations)(Brief article)
February 26, 2007... CHICAGO -- When it comes to the foreign earned income exclusion, a federal appeals court has upheld a ruling that Antarctica does not qualify as a foreign country. The Seventh Circuit Court affirmed a U.S. Tax Court decision that the 2001...

EU aims for financial harmony in '07.(corporate taxes regulations)
February 26, 2007... BRUSSELS -- The European Union's 2007 agenda encompasses a range of activities aimed at achieving cohesion in accounting, auditing and finance, with taxation in particular receiving as much attention as anything else, as the focus of a number...

Experts: FIN 48 will usher in radical changes.(Financial Accounting Standards Board Interpretation Number)
February 26, 2007... The recent decision by the Financial Accounting Standards Board not to defer the effective date of FASB Interpretation No. 48, despite appeals from companies and industry groups to postpone its implementation, spotlights the radical changes in...

In Brief: IRS Online Workshop Targets Tax-Exempt Compliance.(Brief article)
February 26, 2007... WASHINGTON -- The Internal Revenue Service has launched a new Internet-based version of its popular Exempt Organizations Workshop covering tax compliance issues confronted by small and midsized tax-exempt organizations, including charities and...

In Brief: Bill Would Halt IRS Debt Collection Contractors.(Internal Revenue Service)(Brief article)
February 26, 2007... WASHINGTON -- More than a dozen senators have signed on to sponsor a bill that would stop the Internal Revenue Service from using private debt collectors to collect unpaid taxes. Sen. Byron Dorgan, D-N.D., and Sen. Patty Murray, D-Wash....

In Brief: TIGTA Agent Indicted for Fraud.(Treasury Inspector General for Tax Administration, John Thomas Jr.)(Brief article)
February 26, 2007... WASHINGTON -- An agent of the Treasury Inspector General for Tax Administration has been indicted on seven counts of bank fraud and related charges, according to the Justice Department. According to the indictment, between March 1999 and...

Rollovers by non-spousal beneficiaries: The PPA and Notice 2007-7.(Pension Protection Act of 2006 )
February 26, 2007... The Pension Protection Act of 2006 included a provision, applicable to distributions after Dec. 31, 2006, permitting the rollover of plan assets of a deceased participant in a qualified plan to an IRA for a non-spousal beneficiary. Previously,...

FASB votes: FIN 48 implementation here to stay: Under existing rules, companies should already be documenting uncertain tax positions.(Financial Accounting Standards Board Interpretation Number)
February 26, 2007... NORWALK, CONN. -- The Financial Accounting Standards Board unanimously voted to move forward in implementing new rules that require public companies to take a more structured approach in reporting uncertain tax positions on their financial...

Pfooling is pfinished - and purchase accounting should be next.(Column)
February 26, 2007... Back in the late 1990s, this column criticized those who supported pooling-of-interests accounting for business combinations. We called it "pfooling" because it was designed to trick the capital markets into believing false financial...

Change Of Auditors.
February 26, 2007... PWC DECLINES RE-APPOINTMENT Big Four firm PricewaterhouseCoopers declined to stand for re-appointment as auditor to Portland, Ore.-based TRM Corp. TRM, an operator of ATMs, said in a filing that there were no disagreements with...

Taxes: The natural enemy of investors.(Column)
February 26, 2007... Everybody knows that taxes are a drag on performance, but I am constantly surprised at the number of investors who blithely pay taxes each year on their investment earnings without considering the impact on accumulation or the alternative...

In Brief.(CashEdge Inc. introduced AllData)(Mellon Capital Management Corp. introduced Target Maturity Funds)(Two Step Software introduced Equity Focus )
February 26, 2007... ONLY 51% READY FOR FISCAL CRISIS Results from the fourth annual "financial fitness" survey conducted by Quicken revealed that only 51 percent of consumers were prepared for a financial emergency or had an emergency fund in the event of...

IRS details hybrid credits.(Internal Revenue Service)(Brief article)
February 26, 2007... WASHINGTON -- The Internal Revenue Service has released a fact sheet explaining the 2006 alternative motor vehicle credit allowed for the 44 automobiles certified as eligible. The credit, enacted under the Energy Policy Act of 2005,...

GAO: Multiple approaches needed to reduce tax gap.(Government Accountability Office)(Brief article)
February 26, 2007... WASHINGTON -- In response to requests from Congress, the Government Accountability Office has released a new report outlining a trio of approaches that would reduce the tax gap - while at the same time laying out the significant obstacles that...

Tax Day to fall on April 17.(Public notice)
February 26, 2007... WASHINGTON -- Thanks to a seldom-observed holiday, the Internal Revenue Service announced that taxpayers will have until April 17 to file their 2006 returns and pay any taxes due. April 15 falls on a Sunday in 2007, while April 16 is...

Database security: Solve the right problem now, for fewer headaches tomorrow.
February 26, 2007... The use of database systems to manage financial information is a common practice in today's accounting profession. Using database systems is an efficient and effective way to manage and store all sorts of information, from birth dates to sales...

In Brief.(Sage Software Inc. (Irvine, California) introduced Sage FAS Fixed Assets )(Brief article)
February 26, 2007... SAGE UNVEILS TAX UPDATE FOR FAS Sage Software has unveiled its annual tax update release for its Sage FAS Fixed Assets product line. Sage FAS V. 2007.1 includes enhancements and a number of changes to assist with tax law, Internal Revenue...

The second wave of sourcing: The opportunity to move up the value chain has never been greater for U.S. Accountants.(Column)
February 26, 2007... Firms are starting to revisit the issue of sourcing, and rightfully so. The availability of quality talent in the U.S. continues to decline, and the technological requirements to leverage global resources are increasing in number, i.e.,...

In Brief.(OpenPages Inc. releases Governance Platform 5.0)(Institute of Internal Auditors offered computer based testing)(Brief article)
February 26, 2007... OPENPAGES RELEASES ENHANCED GOVERNANCE PLATFORM OpenPages, a provider of governance, risk and compliance management software, released its OpenPages Governance Platform 5.0, an upgraded solution that features operational risk management,...

Vendor Profile: Acct1st remains true to its roots.(Acct1st Technology Group LLC)(Company overview)
February 26, 2007... DALLAS -- Acct1st Technology Group LLC, which began as a partnership between a Dallas CPA firm and a Seattle software development company, has forged a niche over the past four years as an accounting firm-centric vendor catering to CPAs and...

Acct1st EDRMS products.(Acct1st DMS, Acct1st Tax Work Flow 2.0 and Acct1st Tax Scan document management softwares)(Brief article)
February 26, 2007... The rate for an all-inclusive hosted system is $1 per day per user, including a SQL server, hardware, storage, support, renewals, maintenance, upgrades, versions, space in the four-tier back-up facility, and consultations. For internal...

Who should you have knocking on doors?(accounting services and customer service)(Column)
February 26, 2007... For years your firm has done just fine, thank you, without the assistance of a business development executive. But is it time to reconsider? The changing professional environment and new demands on CPA firms and partners suggest that it just...

New Products.
February 26, 2007... SOFTWARE & SUPPLIES PERSONAL ADVICE If you had a partner who knew the business rules of all 50 states and could offer personalized advice to start-up businesses in any of them, you'd have a nice little service line - but you'd have to...

People.(Mosebach Griffith and Co. appoints Dale Anderson)(Greenstein Rogoff Olsen & Co. appoints Karifa Diawara)(Boyum and Barenscheer appoints Philip J. Paquette)
February 26, 2007... ARIZONA Dale Anderson has been appointed managing financial advisor for Clifton Gunderson Financial Services in Phoenix, Tucson and the Southwest Region. CALIFORNIA Karifa Diawara has joined Greenstein Rogoff Olsen & Co. as a...

Firms.(Dale Matheson Carr-Hilton LaBonte has merged with Moore, Stephens, Lovelace P.A.)(Blum, Shapiro and Co. has merged with Scully & Wolf LLP)(RSM McGladrey Inc. plans to acquire Tedder, James, Worden & Associates)(Brief article)
February 26, 2007... BRITISH COLUMBIA Dale Matheson Carr-Hilton LaBonte, Vancouver, has joined Moore Stephens North America Inc., as its 45th member. CONNECTICUT Blum, Shapiro & Co. PC, West Hartford, has merged in Scully & Wolf LLP, Glastonbury. ...

Coming Events.(Brief article)(Calendar)
February 26, 2007... MARCH 1: Late Season Tax Problems, National Conference of CPA Practitioners, Nassau/Suffolk Chapter. The Holiday Inn at Plainview, Plainview, N.Y. Contact: Chapter office (516) 997-9500. 8-10: Business Valuation Courses, American...

Advertiser Index.
February 26, 2007... Advertiser Page BNA Tax Management 32 CCH, a Wolters Kluwer business 32 Drake Software 9 Hewlett Packard 19 LexisNexis 4 Microsoft Corp. 7 Robert Half International Inc 15 Sage Software 16-17 ...