AccountingWEB Weekly News Wrap-Up - Issue 176
- Time Magazine Names Whistle-Blowers as Persons of The Year
- E&Y Slapped With $1 Billion Lawsuit
- Some CPA Firms May be Prevented From Auditing Banks
- GAO Says SEC Could Take a Lesson From FASB
- AICPA Readies New Business Reporting Model
- IRS Issues Home Sale Exclusion Rules
- KPMG Ordered to Turn Over Client Documents
- IRS Issues Regulations Regarding Education Credits
- IRS Won't Let Taxpayers Hide Behind Preparers' Coattails
- FASB Releases FAS 148 on Stock Options
Special Feature: The 2002 Year In Review
Like you, just about every publication and news retrospective I have seen over the last few weeks has expressed a consistent theme - "2002, good riddance!" In AccountingWEB's 2002 Year in Review issue we explored the events of the past twelve months that have changed the landscape for the accounting profession, and essentially came to the same conclusion.
But today is a new day. One of the wonderful things that make humans unique is that we can compartmentalize time and use the occasion of a new year as a new beginning, a new chapter to explore. Carl Bard once wrote, "Though no one can go back and make a brand new start, anyone can start from now and make a brand new ending."
AccountingWEB is committed to helping the profession right the wrongs of 2002, and share with our readers all that is right, in order to build a brighter future for 2003. We will bring to you the success stories, the new initiatives and the "home runs" that individuals and firms across the profession are experiencing. So as we enter a new year, we encourage you to share your stories with us and stay with AccountingWEB throughout 2003 - it's going to be an exciting year.
Michael Platt, CEO
Time Magazine named three women whistle-blowers as its "Persons of the Year." Among the winners are Enron's Sherron Watkins and WorldCom's Cynthia Cooper, both of whom uncovered massive accounting fraud at their companies.
While the rest of the world hurried to prepare for the Christmas holidays, lawyers and public relations specialists at Big Four firm Ernst & Young kicked into overdrive to respond to the filing of a $1 billion lawsuit filed against the firm.
Your organization will experience an unprecedented level of ease and efficiency when you systematize the processes throughout your organization. AccountingWEB is pleased to bring you tools that can help systematize the accounting department of a small company, corporate business or a public accounting firm. Over 200 accounting department policy templates, written in Microsoft Word format by PolicySoft, are available for immediate download.
Federal regulatory agencies including the Board of Governors of the Federal Reserve System and the Federal Deposit Insurance Corporation, are asking for public comment on proposed rules that would enable the regulators to remove, suspend, or bar an accountant or an accounting firm from performing audit and attestation services for certain financial institutions.
The GAO released a report on "Actions Needed to Improve Public Company Accounting Oversight Board Selection Process." At the top of list are improved communications and other lessons that can be learned from the FASB.
The American Institute of CPAs is gearing up to establish a new business reporting model. AICPA's Alan Anderson explains the new model will open up opportunities for CPAs in firms of all sizes.
The Internal Revenue Service has issued guidance in the form of both final and temporary regulations related to excluding gain on the sale of a principal residence. See this article to understand what the final regulations cover.
Make sure you enter your firm today for the FREE PIZZA CONTEST from AccountingWEB.com. AccountingWEB would like to sponsor one firm during the upcoming tax season (March 1st through April 15th). We will gladly pay for pizza and doughnuts during the six-week period between March 1 and April 15! Up to a $500 value. Visit the "Contest Rules" page for more information and instructions on how to enter your firm today! Good luck!
The ongoing effort by the IRS to reveal illegal tax shelter
activity got a big boost this week. A federal judge in
Washington has ordered KPMG to turn over additional client
files relating to certain tax shelters - files that KPMG had vigorously argued were confidential.
The Internal Revenue Service has issued final regulations
regarding the use of the Hope Scholarship Credit and the
Lifetime Learning Credit. The regulations clarify some areas of discrepancy surrounding the two credits.
The U.S. Treasury Department has released proposed rules that limit the likelihood of a "My Accountant Told Me I Could Do This" defense for tax return deductions. In the past taxpayers have been successful at blaming their tax indiscretions on their tax preparers and avoiding penalties resulting from non-allowable deductions.
FASB has released Statement No. 148. This new standard improves disclosures for stock-based compensation and provides alternative transition methods for companies that switch to the fair value method of accounting for stock options.
Special Feature: 2002 Year In Review
Read about the top issues that had the biggest impact on the accounting profession in 2002 in AccountingWEB's annual year-end wrap-up.
PROFILE YOUR MEMBER INFORMATION TODAY
It only takes a moment to update your AccountingWEB member
information. Whether you are a basic FREE member or a Premium Subscriber, your information is invaluable to us. Just some basic information from you can assist us in providing you with this service and will allow us to better serve our members in the future. Please take a moment today and update your member profile information.
If you need assistance with username and password, please contact us.
Visit the Q&A Forum "Member Questions" Page for the most recent questions/answers posted by our subscribers. Add your comments and lend a hand!
1. I am a CPA candidate who has taken the exam for the first time last November. Not sure if I passed the parts I sat for yet. However, I am struggling with the job hunt situation where I may get the opportunity to work under a CPA.
2. We are looking for software to track the progress of projects through our firm. We have tax returns, audits, etc. that are handed off from one person to another. We would also like to be able to track how much time the team members have available to work and assign work to the persons who have the skill level and the time free to perform the job.
3. Say you are preparing the bank reconciliation and you find a $15,000 EFT withdrawal from the bank account that has not been entered into the computer accounting system. Upon further investigation, you learn that this was an authorized transaction for goods that are being imported from overseas that have not yet been received. Explain to me what kind of journal entry, if any, would I make to record this transaction.
You may modify your newswire subscriptions, cancel your newswire delivery or change your password information by visiting the Profile Page on our secure server.
Subscribe to the AccountingWEB Premium Subscription Service. For full, unrestricted access to all articles in AccountingWEB, become a premium subscriber for just $49 a year!
Let AccountingWEB help your organization customize a marketing campaign for your products and services. Make sure you book your ad campaign in advance! Get your message in front our audience of accounting and finance professionals today. Our team can help you uncover promotional opportunities that are right for you.
All rights reserved.
"To inform, to enrich, to enlighten, to entertain."
Voice of the Editor
Which isn’t completely true. I mean, occasionally I drop by when I manage to sneak out of the nonstop frat party over at Going Concern, but I’m mostly a wallflower over there. I’m happy to say that I’ve been given express permission (or explicit orders, if you like) to wander over here to AccountingWEB more often.
Why is that, you might ask? My job is to replace the irreplaceable Gail Perry as Editor-in-Chief. What does that mean? I don’t really know! I think it’ll be fun getting a feel for things, throwing in my own thoughts here and there, and listening to the discussions you’re having about the accounting profession.