2016 MILEAGE RATES ANNOUNCED

Sarah McCraine, CPA

The IRS has announced the 2016 standard mileage rates effective for mileage driven on or after January 1st, 2016. The optional standard mileage rate multiplied by the number of miles driven is a simplified method commonly used to calculate the deductible cost of using a vehicle for business purposes. In addition, the rates can be used to calculate the deductible mileage allowed for attending medical appointments, moving, or when driving to serve with a charity.

The 2016 rates […]

January 13, 2016 Accounting, Tax Read more...

Larry’s Laws of Larceny- Law 20: Fraud in a Health Plan is More Common Than you Think

Larry Beebe, CPA

Health care spending in the United States is massive. In 2014, health care spending in this country was estimated at $2.7 trillion or approximately 17% of Gross National Product. Fraud is estimates to consume $272 billion, which would be 10% of health care providers. Health care fraud is committed by service providers, insurance companies, and my patients.

I teach at the New Trustees Institute of the International Foundation. I ask the trustees, by a show of hands, how […]

January 5, 2016 Accounting, Audit, Forensic Accounting Read more...

2015 & 2016 QUALIFIED TRANSPORTATION BENEFITS MADE PERMANENT

Michael Raiken, CPA

For those employers providing mass transit and qualified parking benefits to their employees, congress retroactively increased the excludible transit benefits for 2015 from $130 to $250 effective January 1, 2015, as part of the 2015 extender package, through the Consolidated Appropriations Act. The fringe benefit for these exclusions was made permanent and is adjusted for inflation.

Stay tuned for more information from our blog and the IRS on how to reclaim any pre-tax benefit in excess of the […]

January 4, 2016 Accounting, Tax Read more...

IRS EXTENDS DEADLINE FOR EMPLOYER HEALTH INSURANCE NOTICES & FORMS

Michael Raiken, CPA

It looks like the IRS is providing help to some employers in keeping their New Years’ resolution to timely comply with the Affordable Care Acts’ information reporting requirements. On December 28, 2015, the IRS issued Notice 2016-4 extending the due dates for the 2015 information reporting requirements for applicable large employers and for insurers, self-insuring employers, and some other providers of minimum essential coverage.

Employers have until March 31, 2016 to provide their employees the 2015 […]

December 29, 2015 Accounting, Tax Read more...

Larry’s Laws of Larceny- Law 19: Beware of the Long Term Trusted Employee who Doesn’t Take Vacations

Larry Beebe, CPA

As stated earlier, excellent internal control systems help prevent fraud. One essential internal control concept is separation of duties, no one in the organization should have custody of assets and also be responsible for the accounting for those assets. This concept is likely to be violated when the organization has a long term trusted employee. The rationale is that the person can be trusted because he or she has been there for a long period and therefore […]

December 29, 2015 Accounting, Audit, Forensic Accounting Read more...

BEING SMART WITH YOUR CHARITABLE DONATIONS

Camile Smith, CPA

Donations to charitable organizations can be a great way to both lower your tax liability and support causes you care about. When making your donation, keep in mind the IRS has specific requirements in order for your charitable contribution to be tax deductible. To deduct a donation you will need to itemize your deductions, donate to a qualified organization, and keep records.

First and foremost, for any charitable contribution you make to be deductible, you must itemize your […]

December 29, 2015 Accounting, Tax Read more...

PRESIDENT SIGNS BILL FOR PERMANENT AND EXTENDED TAX BREAKS

Sarah McCraine, CPA

A little cheer has come early this year, as President Obama has signed into law both permanent and extended tax breaks for individuals and businesses. This expansive bill has been the subject of much debate, as to which provisions would become permanent vs. extended for another year. Listed below are some of the more pertinent tax breaks that individuals and businesses having been hoping would be remain.

Individual Provisions (may be subject to income limitations)

Permanent Provisions

Additional […]

December 21, 2015 Accounting, Tax Read more...

Larry’s Laws of Larceny- Law 17: The Confusing Transaction is Often the Fraudulent Transaction

Larry Beebe, CPA

Accounting transactions can be very complex. For example, the use of derivatives in an investment can tremendously increase the risk in what appears to be a conservative asset purchase. Generally accepted accounting principles often allow transaction to be recorded in an entity’s accounting records in many different ways. Some of these ways are conservative, and some employ very liberal accounting. Unfortunately, these transactions can be manipulated in a fraudulent manner to make an entity appear healthier than […]

December 15, 2015 Accounting, Audit, Forensic Accounting Read more...

Benefit Plan Policies: Travel and Expense Reimbursement Policy

Larry Beebe, CPA

In this series, we are reviewing the written plan policies needed to help your benefit plan stay compliant and operate most effectively. For a full list of the necessary policies and why your plan should implement them, click here.

Any employee benefit plan that reimburses trustees and/ or plan employees for travel expenses and/or for educational programs attended should have a travel and expense reimbursement policy.

In the fast changing world of employee benefits, education of plan trustees, administrators […]

December 9, 2015 Accounting, Benefit Plan Accounting Read more...

Larry’s Laws of Larceny- Law 16: The Smart Crook Makes the Abnormal Look Normal

Larry Beebe, CPA

The smart crook can work wonders with a high quality photocopier. Checks, deeds, and other documents can be created that appear to be genuine, but are as phony as a $3 bill.

Barry Mikow started a carpet cleaning business, ZZZZ Best, while in high school. He soon branched into the “insurance restoration business” to restore buildings damaged by natural disasters. The “insurance restoration business” didn’t exist. He and a partner forged all of the documents to create the […]

December 8, 2015 Accounting, Audit, Forensic Accounting Read more...