Fall 2022
Features
Filtering for Clarity: PCC’s Efforts to Clean Financial Reporting Requirements for Private Companies
By James J. Newhard, CPA
The Financial Accounting Foundation (FAF) established the Private Company Council (PCC) in 2012 to improve the process of setting accounting standards for private companies. The principal assertion underlying the foundation of the PCC was that users of private company financial statements are significantly different than users of public company financial statements, therefore the accounting language should be tailored accordingly. With 10 years under its belt, now is a good time to review what the PCC has been doing and where it should be going.
COVID-Era Evolution of Elder Fraud: Know the Red Flags
By Howard Silverstone, MBE, CPA, CFF
According to the U.S. Census Bureau, the 65-and-older population has grown rapidly since 2010, and, according to forecasts, by 2040 the older population in the United States will reach almost 81 million. Subsequently, elder fraud and abuse will increase with the growing demographic. It’s up to all of us to try and stem the tide of exploitation.
The Many Hats of the Small-Business CFO
By J. Stephen McNally, CPA, CMA
It could be said that being a small-business CFO is the greatest job in the world – at least it is a claim that I often make! Do you have what it takes to be a small-business CFO? Do you look good in hats? This feature provides thoughts on successfully navigating the transition to a small business, including examples of the attributes you’ll likely need and the many hats you’ll likely wear as a small-business CFO.
Pennsylvania’s General Election: Big Deal Statewide and Nationally
By Alex Fabian
The race to succeed Democratic Gov. Tom Wolf, who will leave office in January 2023 after serving the maximum of two four-year terms, is dominating the 2022 election cycle in Pennsylvania. With Pennsylvania’s unique position as a battleground state, this year’s election has caught national attention too.
Columns
Accounting & Assurance
IAASB’s Plan for Audits of Less Complex Entities
By Richard F. Fischer, CPA, CGMA
Reviews the International Auditing and Assurance Board's exposure draft on the auditing of financial statements of less complex entities (LCE) and its potential influence on U.S. standards.
Business & Industry
New Employment Model Demands New Fraud-Fighting Efforts
By Scott A. Koman, CPA, CFE, MAFF, and Mark W. Banks, CPA, CFE, MAFF
Explains how corporate CPAs, like it or not, are on the front lines in the fraud battles our companies constantly face, and new methods are needed to win the fight.
Careers & Lifestyles
Reconnecting with Working Mothers in Accounting
By Kim Brown, CPA
Explores the factors contributing to fewer working mothers in public accounting since 2020 and the actions firms can take to help reverse the decline.
Federal Tax
Tax Pitfalls Associated with Closely Held Businesses
By Mark L. Lubin, CPA, JD, LLM
Explains how knowledge of certain considerations coupled with caution can spare practitioners unnecessary tax expense and exposure when structuring closely held businesses.
State & Local Tax
State Income Tax Implications from Federal R&D Law
By John Mertz, Tom Lemon, CPA, and Greg Rineberg, CPA
Addresses the changes coming to the treatment of research and experimental expenditures effective for tax years beginning after Dec. 31, 2021.
Emerging CPAs
Get Ready Now for the New CPA Exam in 2024
By Jessica L. Hildebrand, CPA, and James W. Sunday, CMA
Guides readers on the benefits of creating a strategic plan now to pass the new CPA Exam, which is set to debut in 2024.
Technology & Cybersecurity
High Cybersecurity Risks Demand a Proactive Defense
By Irene M. Walton
Stresses the importance of strong cyber risk management and risk mitigation in a CPA firm’s fight against cybersecurity attacks.
Government & Not-for-Profit
IASB May Offer Guide to Governmental Accounting for Cryptocurrencies
By Khaled Abdel Ghany, CPA, PhD
Presents a suggested framework for a scenario that once seemed unlikely to occur: the accounting treatment of cryptocurrency transactions for state and local governments.
Practitioners
Using Tax Season as a Measure for Possible Firm Transition
By Ira S. Rosenbloom, CPA (inactive)
Explains that if firm owners are ready to merge with, or be acquired by, another firm, it’s important that they plan out well in advance of the coming tax season.
International Tax
New Regs to Counter Foreign DST Credit May Kill Other Foreign Tax Credits
By Andrew M. Bernard Jr., CPA
Analyzes the U.S. Treasury Department’s final foreign tax credit regulations under Treasury Regulation Section 1.901-2, which stem primarily from foreign countries enacting new digital service taxes.
Education
The 30 Credit Conundrum
By Elisabeth Felten, CPA
Discusses the approaches many students are taking to fulfill the 150-hour requirement to become a CPA.
