As part of post-Enron accounting reforms, lawmakers are considering government funding for the Financial Accounting Standards Board (FASB), the organization that sets U.S. accounting standards. This article explains the facts about FASB's funding and asks your input. To help you sort through the issues, below is a summary of the two main concerns, including explanations of FASB's current funding. The explanations incorporate insights provided by spokespersons for the American Institute of CPAs (AICPA) and Financial Accounting Foundation (FAF), the board that oversees FASB.

Battle lines drawn in recent weeks promise a lively debate over audit reforms.

State legislative initiatives for post-Enron accounting and audit reforms are proliferating and proceeding at rates comparable to federal initiatives. California held a hearing on May 6, 2002 on a controversial amendment to the state's peer review program. In addition, several bills were introduced over the past month in Pennsylvania, including one that would alter both CPAs' and non-CPAs' responsibility for reporting wrongdoing discovered during employment.

The House on April 18 approved a measure that would make permanent the tax-cut provisions contained in the Economic Growth and Tax Relief Reconciliation Act of 2001 (EGTRRA) (P.L. 107-16) by a vote of 229 to 198. The bill's fate in the Senate is uncertain, since Senate Majority Leader Thomas A. Daschle, D-S.D. refuses to bring it up for a vote.The legislation, which will cost $372 billion during the next 10 years, was substituted as an amendment to the Fairness for Foster Care Families Bill of 2001 (HR 586) to speed its passage.

In a significant change for the accounting profession, the Financial Accounting Standards Board released on March 19, 2002 a statement by its chairman, Edmund Jenkins, saying the FASB will support legislation that would replace its private fu

The Senate Banking, Housing, and Urban Affairs Committee has announced that its series of hearings on accounting and investor protection issues is coming to a close. The tenth and final hearing will be held on March 21, 2002, when Securities and Exchange Commission (SEC) Chairman Harvey L. Pitt will testify. The Senate bill attracting the most attention is the Investor Confidence in Public Accounting Act of 2002. This bill is also one of the most radical reform efforts.

On March 9, 2002, amid signs the U.S. economy is starting to recover, President Bush signed into law the long-awaited economic stimulus law, now known as the Job Creation and Worker Assistance Act of 2002.

The Associated Press is reporting that the American Institute of CPAs is building a lobbying campaign against Enron-related reform proposals being discussed in Washington and demanded by the private sector.According to AICPA spokesman Joel Allegretti, an e-mail was distributed to 3000 federal key persons - AICPA members who have contact and/or access to lawmakers - urging their assistance in convincing lawmakers to temper the response to requests for reforms.Former SEC Chairman Arthur Levitt, who was the AIC

A federal court in Tampa, Florida has obtained a permanent injunction against tax-avoidance promoter Joseph N. Sweet and his organization, EDM Enterprises, of Bradenton, Florida ordering them to cease selling and promoting tax avoidance plans and tax shelters.