Accounting Today articles from January 2008

Accounting Today archives from January 2008

Tax and Financial Planning: From preparing to planning: Adding financial planning to tax prep is a natural progression.
January 7, 2008... Tax practitioners who take the plunge into financial planning find that it's a natural step to go from preparing a tax return and answering a client's questions, to tax planning and full-scale financial services. "Financial planning has...

Youth will be served!: CPA firms rethink traditional roles to get and keep younger workers.
January 7, 2008... Want to know how to encourage younger people to stay at your firm? Re-assess their supervisory relationships. It may sound simplistic, but the lack of day-to-day management interaction is one of the major issues that younger, less...

How do you want your CPE?(continuing professional education)
January 7, 2008... In gearing up for a new season of continuing professional education, providers are offering more of the same popular courses - updates in ethics, risk assessment standards and internal control - but are also responding to growing demand for...

TTA acquires AuditWatch.(Thomson Tax & Accounting)(Brief article)
January 7, 2008... Reston, Va. -- Adding to its continuing professional education portfolio, Thomson Tax & Accounting has acquired AuditWatch, a high-profile audit training and process improvement consulting firm headquartered here. Terms were not disclosed....

FASB foresees a year of discussion.(Financial Accounting Standards Board)
January 7, 2008... Norwalk, Conn. -- The Financial Accounting Standards Board is heading into a year in which the ball of due process will spend a lot of time in the court of the board's constituents. Between New Year's Day and early spring, the board may...

FASB OKs deferral of certain fair value measurements.(Financial Accounting Standards Board)
January 7, 2008... Norwalk, Conn. -- In partial deference to corporate appeals, the Financial Accounting Standards Board has agreed to allow a one-year deferral for part of the implementation of Financial Accounting Statement 157, Fair Value Measurements. ...

In Brief.(briefs)(Financial report)
January 7, 2008... EUROPE MOVES TO ACCEPT U.S. GAAP Brussels - An official with the European Union said that U.S. companies with stocks listed on European exchanges will not be forced to conform to International Financial Reporting Standards, even as IFRS...

Editor's Desk: Chipping off the old Block.(Viewpoint essay)
January 7, 2008... Welcome back. On behalf of myself and the staff at Accounting Today, we hope you've enjoyed both a healthy and a happy holiday season. Last year, myriad changes in the profession kept our editorial team hopping with new regulations,...

LETTER: 'Managing' at GM?
January 7, 2008... Nobody that I have seen or read has picked up so far on the gaping hole that just appeared in General Motors' September 30th balance sheet - some $41 billion more or less. (At that level who cares about a billion or two?) The deficit net worth...

Calls increase for estate tax repeal.
January 7, 2008... The alternative minimum tax isn't the only tax that will continue to surprise taxpayers if Congress fails to act on its repeal. The estate tax, currently set to expire in 2010, will return with a vengeance to a full 55 percent in 2011 if...

In Brief.(briefs)(Brief article)
January 7, 2008... CCH INTROS TAX INCENTIVES FINDER CCH has debuted a Web-based tool designed to find local incentives that can reduce income, property, and sales and use taxes, as well as identify enterprise zones and non-tax financial incentives. The...

Tax Strategy: 2008 tax strategies: Building on 2007's 'Top Ten'.
January 7, 2008... Since this is our first column of the New Year, it may be particularly appropriate to look back into 2007 to try to predict some of what will happen in 2008. The history of important tax developments that took place in 2007 is rich and varied....

IMA joins call for int'l accounting standards.(Institute of Management Accountants)(United States. Securities and Exchange Commission)
January 7, 2008... Montvale, N.J. -- The Institute of Management Accountants has joined a widespread call for the Securities and Exchange Commission to accept financial reports prepared under international accounting standards without reconciliation with U.S....

Change of Auditors.
January 7, 2008... SUN HEALTHCARE JETTISONS E&Y Sun Healthcare Group, an Irvine, Calif.-based provider of specialty health services primarily to seniors, has dismissed its auditor, Big Four firm Ernst & Young, and named PricewaterhouseCoopers as its new...

This accounting for cash is not outstanding.
January 7, 2008... As critics, we have been asked by others in frustration, "Is there anything in GAAP financial statements that you guys consider to be useful?" Up until now, our smug answer has always been, "Only the cash balance!" Alas, it turns out we...

Use tax savings to lower college costs.
January 7, 2008... By now, the excitement of receiving college acceptance letters is likely to have been long ago replaced by the shock of the tuition bills that follow enrollment. Or the joy of a child's graduating from college - and no longer incurring tuition...

In Brief.(briefs)(Brief article)
January 7, 2008... FIXED-INCOME ANNUITY HELPS RETIREMENT INCOME Mixing a fixed-income annuity into a retirement income account provides greater long-term wealth for investors than a portfolio of equity and bond investments alone, according to a study by...

Software Review: The next step in your growth cycle: Mid-range accounting software.
January 7, 2008... Lots of businesses are using entry-level accounting software bought at retail, and find that these packages do the job nicely. At some point, however, it's likely that your clients' businesses will grow to the point where these store-bought...

In Brief.(Intuit Online Payroll guides )(Bonadio Group )(Brief article)
January 7, 2008... INTUIT DEBUTS ONLINE PAYROLL QuickBooks parent Intuit has introduced a Web-based payroll system for small businesses. Intuit Online Payroll guides employers through the steps of setting up the system, paying employees and taxes, and filing...

Attract and retain the best and brightest.
January 7, 2008... Few firms are willing to do what it takes to attract the best and brightest talent. How many CPA partners have a son or daughter in public accounting? If you can't make the profession attractive to your own children, how can you sell it to...

New Products.
January 7, 2008... Software & Hardware TAXIVUS Just as Seinfeld's Kramer had "Festivus," or the Festival for the Rest of Us, Thomson Tax & Accounting has its new Quickfinder Tax Manager, which is Tax Research for the Rest of Us - or at least for those...

People.
January 7, 2008... CALIFORNIA John Di Carlo has been named managing partner-elect of Windes & McClaughry Accountancy Corp., Long Beach. He will succeed current MP Jack Hinsche when he retires in June 2009.... Wade C. McKnight has joined the San Diego office...

Firms.(Ostrow Reisin Berk & Abrams Ltd)
January 7, 2008... FLORIDA Berenfeld, Spritzer, Shechter & Sheer LLP has won the 2007 Coral Gables Chamber of Commerce Diamond Award in the Large Business Category.... Gilman Ciocia has opened a new office at The Promenade on South Bay Drive in Bonita...

Coming Events.(Calendar)
January 7, 2008... JANUARY 7: Tax Law Update, National Conference of CPA Practitioners, New Jersey Chapter. Victor's Maywood Inn, Maywood, N.J. Contact: Fred Bachmann (973) 377-2009. 7-8: Not-for-Profit Services Association Winter Conference. Miami....

Advertiser Index.
January 7, 2008... Advertiser Page 1st Global 19 ADP Small Business Services 13 BNA Tax Management 16-17 CCH Tax Group 32 Delphis 9 ...

Issue Date Issue.
January 28, 2008... January 28-February 10, 2008

Tax Season Preview: Practitioners see smooth season ahead: Despite AMT delays, few expect trouble.
January 28, 2008... Despite a number of last-minute tax law changes highlighted by the Alternative Minimum Tax patch that will inevitably delay the processing of some returns most observers expect a smooth filing season ahead. The late passing of the...

The perpetual merger machine: Retirement and succession planning are driving red-hot firm M&A market.
January 28, 2008... Following a flurry of mergers throughout 2007, many top-drawer consultants in the accounting profession believe that this year will be just as active and that foretells myriad changes for firms of all sizes. I feel that [M&A activity is]...

Firms laud the benefits of cost segregation.
January 28, 2008... For those who live and breathe cost segregation work, theres an element of surprise surrounding how little most people CPAs included know about the tax-savings strategy. On a recent proposal opportunity, a tax principal and I met with a...

Corrections.(Correction notice)
January 28, 2008... Asset allocation software helps clients find the right mix (Dec. 17, 2007-Jan. 6, 2008, page 18) listed the incorrect phone number for Morningstar Principia; the correct number is (877) 586-5405. In the same issue, CPAs I have know Marvin...

SEC issues final rules on IFRS reconciliation.(United States. Securities and Exchange Commission)(International Financial Reporting Standards)(Brief article)
January 28, 2008... Washington, D.C. -- The Securities and EXchange Commission has issued a final rule on accepting financial statements prepared by foreign companies in accordance with International Financial Reporting Standards without reconciling them with U.S....

SEC mulls 404 delay for small filers.(United States. Securities and Exchange Commission)
January 28, 2008... Washington, D.C. -- Securities and Exchange Commission Chairman Christopher Cox plans to propose another years delay in imposing Sarbanes-Oxley Section 404 requirements for small public companies. In testimony before the House Small...

In Brief.(United States. Department of the Treasury and Internal Revenue Service's accounting standards)(American Institute of Certified Public Accountants' guidance for accountants)(Deloitte and Touche L.L.P's settlement with Delphi Corp.)
January 28, 2008... IRS BEEFS UP PREPARER CONDUCT STANDARDS Washington, D.C. The Internal Revenue Service and the Treasury Department have implemented enhanced standards of conduct for tax preparers. Notice 2008-13 provides guidance regarding implementation...

FASB revises biz combos standard: IASB to follow suit.(Financial Accounting Standards Board)(International Accounting Standards Board)
January 28, 2008... Norwalk, Conn. -- Completing their first major joint project, the Financial Accounting Standards Board and the International Accounting Standards Board have agreed on two new standards on accounting for business combinations. FASB member...

Commentary: CPAs I have known - Pt. 8.(Coopers and Lybrand L.L.P's Norman Auerbach)
January 28, 2008... NORMAN E. AUERBACH Norman Auerbach succeeded Philip Defliese as chairman of Big Eight firm Coopers & Lybrand they were different as day is to night. Defliese was a brilliant audit person, while Auerbach was a savvy tax fellow....

Editor's desk: The audit order changeth.(Editorial)
January 28, 2008... One of the great lines in the long-running TV series M*A*S*H came when the shows main character, Hawkeye Pierce, explained how predictable the world was when he was growing up. As he told it, Roosevelt was always president, Joe Louis was always...

Getting started in cost segregation.
January 28, 2008... Many CPA firms are realizing the necessity and profitability of offering cost segregation services, and are even approaching other firms for assistance in helping prevent their clients from going elsewhere for that specialty. The first...

Increased barcoding headlines GAO tax season report.(United States. Internal Revenue Service)(Government Accountability Office )
January 28, 2008... There may be 2-D bar codes in the future of paper-filed returns, if recommendations from the Government Accountability Office are followed. In its end-of-year report on last years tax season, the GAO said that the Internal Revenue Service...

Tax Strategy: Congress enacts year-end tax legislation.
January 28, 2008... In the last few days before Congress adjourned for 2007, a number of tax law changes finally made it through the two chambers and on to President Bush. The president has either already signed or indicated his willingness to sign each piece of...

FASB Codification: Major changes in GAAP research are coming.(Financial Accounting Standards Board)(generally accepted accounting principles)
January 28, 2008... On my first visit to Washington, D.C., I almost missed the Jefferson Memorial because there were so many other memorials to look at. The same can be said of Financial Accounting Standards Board projects, because several projects are currently...

Change of auditors.(McGladrey and Pullen L.L.P's contract)(Grant Thornton L.L.P. broke contract with Environmental Tectonics Corp.)(BabyUniverse's contract with Ernst and Young L.L.P.)(Brief article)
January 28, 2008... MIAMI NAMES MCGLADREY The city of Miami has named McGladrey & Pullen as its external auditor. The firm will audit the citys fiscal year that ended on Sept. 30, 2007. City officials reportedly awarded the engagement based on the...

The Spirit Of Accounting: Fortress LIFO is crumbling: It's about time.(last in, first out )
January 28, 2008... Since 1939, when the Tax Codes treatment of inventory was modified to permit LIFO, managers and accountants have faced a tri-lemma in that they have to choose among FIFO, LIFO and average flow assumptions. The Committee on Accounting Procedure...

Fatal Flaws.
January 28, 2008... The conceptual argument for LIFO is that it associates replacement costs with revenues. Therefore, LIFO is an effort to introduce approximate replacement cost measures into inventory accounting. It is acceptable to auditors because it is based...

Using captive insurance companies for savings.
January 28, 2008... Small companies have been copying a method to control insurance costs and reduce taxes that used to be the domain of large businesses: setting up their own insurance companies to provide coverage when they think that outside insurers are...

In Brief.(survey of Americans regarding retirement age)(AccountantsWorld L.L.C's partnership with ExpertPlan Inc.)(Thomson Corp. Thomson Tax and Accounting's added new feature to its website)(Brief article)
January 28, 2008... 65 RETIRING AS RETIREMENT AGE Americans age 50 and over are increasingly disregarding age 65 as the time to stop working, according to a poll conducted by Penn, Schoen & Berland Associates and commissioned by Experience Wave, a project...

Vendor Profile: Oversight Systems: The automated overseer.
January 28, 2008... Imagine having the capability to run the same types of tests that auditors use during their routine check-ups and apply it to every transaction a company makes on a daily basis. Thats the premise behind Oversight Systems, a four-year-old...

In Brief.(Orrtax Software Inc's new software)(Epicor Software Corp. plans to acquire NSB Retail Systems PLC)(Sage Software Inc's revenue)
January 28, 2008... SAGE SOFTWARE TOPS $1B MARK Sage Software said that it reached $1.01 billion in revenue in the fiscal year ended Sept. 30, 2007, a 54 percent increase over last year. The company, which is the North American business of the United...

The evolution of practice management.
January 28, 2008... Practice management software is evolving from simple time and billing tools into a far broader database system. It now often includes workflow, scheduling, components of a customer/client relationship management program, and integration with...

Get personal!: Understand your buyer to grow revenue.
January 28, 2008... Remember the theme from Cheers, the TV series about a friendly Boston pub and its memorable regulars? The opening theme refrain ran: You want to go where everybody knows your name. Something similar is at work when it comes to building...

People.(Lohman and Company P.L.L.C. appointed Valerie Long)(Carr, Riggs and Ingram LLC appointed Hollie Kannigiser)(ConvergenceCoaching LLC promoted Tamera Loerzel )
January 28, 2008... ALABAMA Keith Barfield, a founding shareholder of Barfield Murphy Shank & Smith PC, Birmingham, has been elected to a three-year term on the BDO Seidman Alliance Partners Advisory Council. ARIZONA Valerie Long has joined Lohman...

Firms.
January 28, 2008... CALIFORNIA Aiello, Goodrich & Teuscher, Mount Shasta, and Hathaway & Ksenzulak LLP, Redding, have joined Firm Foundation, an association of firms that it is a division of RSM McGladrey.... Greenstein Rogoff Olsen & Co. has opened a new...

Coming Events.(Calendar)
January 28, 2008... JANUARY 28: IRC 403(b) Tax-Sheltered Annuity Plans Webcast Overview of 403(b) Final Regulations, California CPA Education Foundation. Contact: (800) 922-5272 or www.educationfoundation.org/webcast. FEBRUARY 1: Not-for-Profit...

New Products.(Vertex Inc's enhanced tax software)(Journyx Inc's enhanced expense management software)(BizNet Software's BizExcelerator )
January 28, 2008... Software, Hardware & The web BETTER REFERRALS For all its seeming chaos and pretensions of anarchy, one of the things the Internet does best is to reduce previously haphazard activities like finding antiques, out-of-print books and...