Government

Community News

Accounting Firm Helps Government Contractors Perfect Their Business

Aronson & Company (A&C), a nationally ranked top 50 accounting and consulting firm, on Tuesday announced a new initiative designed to provide government contractors with comprehensive and cohesive business services to encompass all of their needs and help them perfect the nature of their business.Advertisement
Tax

U.S. Airports Ease Carry-on Liquid Ban

Beginning today, airline passengers may carry travel-size toiletries through security. Passengers may also carry-on beverages and other liquid items purchased in the secure boarding area, according to new rules issued Monday by the Transportation Security Administration (TSA). The revised rules apply to all domestic and international flights departing U.S. airports.In order to pass through security, travel-sized toiletries of 3 ounces or less must be fit comfortably in a single clear zip-top bag, no larger than 7.5 inches tall, by 8 inches wide (quart-size).
Tax

Enron Ex-Vice Chairman's Estate Must Return $1.3 Million

Judge Arthur Gonzalez of the U.S. Bankruptcy Court in Manhattan ruled late last week that deferred compensation payments made in the months preceding the company’s fall, to John Clifford Baxter, the former vice chairman of Enron Corp., favored Baxter over other creditors. Baxter received $1.3 million of the $1.4 million he had in his deferred-compensation account on September 30, 2001.
Technology

Disabled Military Retirees to Receive Back Pay

The first group of disabled military retirees will soon receive back pay owed them, thanks to legislation that allowed the payments but inadvertently created complicated accounting challenges.Advertisement
Community News

OFHEO Head Wants Congress to Act on New Rules for Fannie and Freddie

James Lockhart, director of the Office of Federal Housing Enterprise Oversight (OFHEO), the federal watchdog for Fannie Mae and Freddie Mac, the mortgage giants, said in prepared remarks to the American Enterprise Institute that if Congress does not act now on a bill to create stronger regulations for the companies, “the enterprises and their shareholders will continue to confront uncertainty,” MarketWatch reports.
Tax

Congress Clears Up Uncertainty Over 529 Plans

Parents worried about huge college costs have one reason to breathe easier: Withdrawals from Section 529 tuition plans are now permanently free of federal taxes.One line in the massive Pension Protection Act clarified the uncertainty about these college savings plans. A federal law that allowed tax-free withdrawals for qualified education expenses was put in place in 2001, but a sunset date of 2010 was also set.

$1 Million Donation & New Office Show Canadian Support for IFAC

Beginning in September, some of the staff of the independent standard-setting body, the International Public Sector Accounting Standards Boards (IPSASB), including new Technical Director, Stephanie Fox, move in to a new office in Toronto, Canada.Advertisement

Short-Term Project Aims to Enhance Governmental Pension Plan Disclosure

The Governmental Accounting Standards Board (GASB) has added a project intending to bring current governmental pension disclosure requirements in line with those of other post-employment benefits (OPEB) to its current technical agenda.
Tax

User Fees for U.S. Residency Certification Announced

Beginning with submissions received with a postmark on or after October 2, 2006, the Internal Revenue Service (IRS) will charge a user fee for processing Form 8802, Application for United States Residency Certification.

Pension Protection Act Modernizes the Tax Court

The Pension Protection Act of 2006 does far more than protect pensions.

DoD Financial Management Improves, But Problems Remain

Dozens of Army reservists and National Guardsmen received checks totaling more than $900,000, despite failing to report for duty, according to Congressional investigators.A separate investigation found that the Pentagon has issued checks to the deceased former spouses of military retirees.Advertisement
A&A

Accounting Insight & Analysis for the Post-SOX Environment

On September 5, 2006, BNA, the largest independent publisher of nonpartisan news and information in Washington, D.C., will launch its new Accounting Policy & Practice Series, providing subscribers in the accounting, legal and financial professions with a new dimension of objective and insightful guidance into decision-making in the post-Sarbanes-Oxley (SOX) environment.Advertisement

Justice Department Will Not Charge Fannie; Freddie Still Faces Civil Penalties

Fannie Mae announced on Thursday that the Department of Justice (DOJ) had concluded its investigation into the accounting scandal at the giant mortgage company, a decision that removed the threat of criminal charges against the company.
Tax

States Levy Wide Range of Taxes on Gasoline

Gasoline prices in the U.S. continue to average around $3.00 a gallon. Of that $3.00, 50 cents is tax paid by the consumer. This total tax includes a flat federal excise tax of 18.4 cents per gallon, state gas taxes and depending on the state, sales taxes, local sales taxes, and a variety of fees.
A&A

New Loopholes Could Cost Small Businesses Billions

The Senate Committee on Small Business and Entrepreneurship unanimously approved measures, included in legislation reauthorizing the Small Business Administration (SBA), that will allow the government to report billions of dollars in contracts to large firms as federal small business awards.Advertisement
Tax

Capitalization of Tangible Assets Regulations Proposed

Last Friday, the U.S. Treasury Department and the Internal Revenue Service (IRS) issued proposed regulations clarifying the treatment of expenditure incurred in selling, acquiring, producing or improving tangible assets.
Tax

E-Passports Now Being Issued to Americans

The U.S. State Department has begun issuing e-passports. These passports have radio frequency identification (RFID) chips embedded in the rear cover of the document. AFP reports that all previously issued passports will remain valid until they expire.

Fannie Mae Update: Years to Recovery

Fannie Mae announced earlier this month in its second quarter filing with the Securities and Exchange Commission (SEC) that it was on schedule to file restated results for the years 2001 through 2004 by the end of this year, but it acknowledged that two more accounting errors have been discovered, one of which will lead to an unspecified gain on a previously estimated $2.4 billion loss on mortgage commitments.

Defining the 7 Elements of Governmental Financial Statements

The Governmental Accounting Standards Board (GASB) has proposed its fourth Concepts Statement Elements of Financial Statement, defining the seven elements of governmental financial statements.
Tax

IRS Updates Temporary Address and Expedited Ruling Request Procedure

The Internal Revenue Service (IRS) is updating its temporary procedure for processing requests for certain expedited letter rulings for reorganizations and section 355 distribution. In addition, there is a new temporary address for the delivery of taxpayer requests for rulings, requests for determination letters, Applications for Change in Accounting Method (form 3115) and similar requests that are permitted to be hand-delivered to the main IRS building.

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