CPA Now Blog Archive

The 20% qualified business income (QBI) deduction is a significant tax benefit to many owners of pass-through entities. However, high-income owners of specified service trades or businesses (SSTBs) are not eligible for the deduction. But it’s not so simple because many businesses perform both SSTB and non-SSTB activities.

Although some states have provided guidance with regard to the tax status of remote employees due to COVID-19, it is uncertain how other states will treat remote employees – opening up the possibility of creating nexus for business taxes. It is not certain, however, how most states will treat remote employees going forward post-COVID.

Did you know employee stock ownership plans (ESOP) can be used as both a tax strategy and a succession plan? It can be an extraordinarily valuable tool when drawing up plans to assist your clients.

Automated Clearing House (ACH) payments for accounts payable require an exhausting reconciliation process if not done directly through a bank. In fact, many accounts payable and accounts receivable departments prefer paper checks. But ACH isn’t the problem. The problem is how ACH is implemented by business-to-business payment providers.

Federal law obligates CPAs across the country to maintain a written information security plan that annually assesses their security posture and ensures that "adequate safeguards are in place" to protect sensitive personal data. But try not to think of it as another government-mandated must: view it as an opportunity to assess and minimize your cybersecurity vulnerabilities and enhance protections against the increasing threat of identity theft.

Connecting with potential clients has become more difficult in the age of COVID-19 than it was already. CPAs need to adjust their tried-and-true business development techniques for the now and prepare for a post-COVID-19 world that may look much different.

Critical thinking, leadership skills, and effective communication can be difficult to cover in the accounting curriculum without detracting from the knowledge needed to pass the Uniform CPA Exam. The authors of this blog discuss a new three-credit professional development course within their school of business that was built to help students prepare to successfully transition into their internships or full-time positions.

Despite the generally low rates of audits, the IRS tends to gravitate toward certain hot button issues that can increase the chances of instigating an examination. It never hurts to remind yourself of these IRS audit fundamentals.

The coronavirus pandemic significantly disrupted work, especially where processes had yet to be digitized. Take accounts payable departments for instance. Those who leaned on short-term solutions, hoping the storm would quickly pass, now realize the importance of technology in enabling a smoother workflow. Those departments that implemented invoice and payment automation prior to the crisis found greater successes transitioning to remote work. Those who hadn’t are now following suit.

The intrinsic worth of an asset can be tough to determine at times, but it is necessary to understand "value." As it relates to stocks, we need to understand earnings to see where valuations and true worth reside. It has become a decided challenge in today’s COVID-19 environment, and it starts with an earnings metric that is more ambiguous than ever.

My Hurricane Andrew Story, written by Bryan Norcross, may seem like an odd choice for gleaning leadership lessons, but it is, in fact, a book that yields insights from the meteorological world that can inform how CPAs communicate risk and uncertainty in our financial domain.

COVID-19 business disruptions make it clear that for service providers to thrive and grow, they must rapidly fine-tune internal operations and shave overhead. At the same time, it’s never been more important for firms to offer clients more value, more insight, and more service model options tailored to their needs.

Traditionally, people have called upon CPAs to manage their taxes and financial advisers to manage their money. Unfortunately, rarely are they encouraged to bring these two minds together. When they do, though, it can be mutually beneficial for all involved.

It can be a challenge staying current on the latest technologies. For instance, what do you know about artificial intelligence (AI)? In this blog we look at some of the critical questions about AI in the audit world.

The primary responsibility for the prevention and detection of fraud resides with an entity’s management and those charged with its governance, but that truth does not exempt auditors from significant obligations related to fraud.

The adoption of the SOC for Cybersecurity has been relatively slow. AICPA's engagement guide has been available for three years, but few organizations have yet to issue this SOC examination report. Still, the potential for SOC for Cybersecurity engagements is great.

Organizations of all types and sizes face threats to their IT infrastructure from hackers, nation-state actors, and activists. For CPAs, auditors, and attorneys, a company's cybersecurity preparedness is now a material due diligence item on the M&A closing checklist.

Among the many changes brought on by COVID-19 is an increased exposure to fraud. From companies closing their offices and working remotely to more reliance on electronic data, opportunities for fraudsters have increased.

As we look back on the past few months and think about the future of our careers, it is clear that some things will change. COVID-19 delivered both challenges and a few silver linings when it comes to making choices related to our careers.

New York’s Stop Hacks and Improve Electronic Data Security (SHIELD) Act extends data-breach notification requirements beyond those conducting business in New York State to any entity with private information on a New York resident. Pennsylvania businesses need to be aware that if they hold the private data of any resident of New York they must implement and maintain safeguards to protect that private information.