Accounting – Page 26

Protecting Yourself from Income Tax-Related Fraud

John Merchant, CPA, CFE

As the 2013 income tax filing season gets underway, taxpayers are beginning to gather information in anticipation of filing income tax returns. Identity thieves have begun to do the same thing. The difference is identity thieves are not gathering their own information. They are gathering information to allow them to file returns using stolen identities.

Identity theft in income tax filings has become a major problem, both for the Internal Revenue Service and for taxpayers. What the […]

February 13, 2013 Accounting, Forensic Accounting, Tax Read more...

Retirement Nest Eggs: IRS Proposes Regulations to Help Manage Savings

Fabricia Edwards, CPA

During the past few years, the US government has issued incentives for Americans to save more for retirement, including opportunities for automatic enrollment in 401(k) and other retirement savings plans. Unfortunately, many Americans are still not saving enough money for retirement.

As life expectancy increases and retirement periods lengthen, Americans are at risk of outliving their retirement assets. This is known as longevity risk. Research has shown women are especially susceptible to longevity risk because their life expectancy […]

February 12, 2013 Accounting, Benefit Plan Accounting Read more...

New Trustee’s Guide to Investments: Rate of Return

Larry Beebe, CPA

New trustees can be overwhelmed by the investment knowledge that must be quickly acquired to function effectively in their new roles. This series will provide in-depth information about plan investments to assist new trustees in their fiduciary duty of managing plan assets.

As a new trustee, examining your plan’s investment statements can be confusing. However, proper examination of plan investments is essential to help you understand the financial position of the plan. One of the first items to […]

February 7, 2013 Accounting Read more...

SHOULD YOU CONVERT TO A ROTH 401(K)?

Brian Wynne, CPA

Tucked into the recent “Fiscal Cliff” bill (the American Taxpayer Relief Act of 2012) was a provision allowing an individual to convert amounts in their 401(k) plans to a Roth 401(k). Previously, an individual could only convert amounts that were otherwise available to withdrawal from their 401(k), meaning after leaving their job, retiring, or reaching age 59 ½. Under the new rules, as long as Roth contributions are offered by the employer’s 401(k) plan, employees can convert […]

February 6, 2013 Accounting, Benefit Plan Accounting, Wealth Management Read more...

Theory of Relativity: Best Hiring Practices for Family Businesses (Part 2 of 2)

Posting by Geoffrey D. Brown, CPA, Family Business Advisor

Hiring team members in a family business often is not as simple as having a conversation with family members over the dinner table and choosing them as employees. As reviewed in Part 1, there are numerous reasons to hire (or not hire) family members.

In this post, we reveal items to consider when bringing both new family and non-family talent on board.

Ensure buy-in on the company’s vision. During the hiring process, it’s […]

February 6, 2013 Family Owned Businesses, Human Resources Read more...

How can you determine income available for child support and equitable distribution in divorce cases?

How can you determine income available for child support and equitable distribution in divorce cases?
Divorce typically requires equitable distribution, and often a requirement for child support. How are these figures determined?

I think there are two steps to that:

One would be a complete financial analysis to figure out what assets are available, and what could be distributed to each party.
The second step would likely be financial projections. When you’re trying to determine what would be a reasonable amount […]

February 3, 2013 Accounting Read more...

MARYLAND STATE & COUNTY TAX CREDIT RULING – WYNNE V COMPTROLLER

Billy Thomas, CPA

In 2011, a ruling in the Maryland court system had very interesting implications for many resident taxpayers with out-of-state sourced taxable income.

The court case: Brian and Karen Wynne, et al v. Comptroller of Treasury.
In court the Wynne’s argued that it is unconstitutional for the state of Maryland to disallow a tax credit for taxes paid to another state against the income taxes paid to a Maryland county.
The case was originally heard in Howard County, MD and the […]

January 31, 2013 Accounting, Tax Read more...

Appropriate Due Diligence May Reduce Fraud Losses

John Merchant, CPA, CFE

On Friday January 18, 2013, Caterpillar, Inc. (Caterpillar), one of the world’s largest construction equipment manufacturers, announced that it would take a write-down of assets due to discovery of deliberate misconduct in the accounting for a subsidiary acquired in 2012. The subsidiary was acquired at a cost of approximately $653 million and the write-down will be approximately $580 million.

On Tuesday January 22, 2013, the first business day after the announcement, the price of Caterpillar shares began […]

January 24, 2013 Accounting, Forensic Accounting Read more...

UPDATED GUIDANCE PROVIDED FOR TRANSIT BENEFITS UNDER THE SPECIAL ADMINISTRATIVE PROCEDURE

Thomas Parisi, CPA

The IRS has issued a clarification to IRS Notice 2013-8 as to the reporting of the 2012 retroactive adjustment to the tax-free exclusion of transit passes and transportation in a commuter highway vehicle on the 2012 fourth quarter Form 941.

Upon review the original guidance instructions on how to complete Form 941 (and Form 941 Schedule B, Report of Tax Liability for Semiweekly Schedule Depositors), IRS has noted the potential for a mismatch to occur in the filing […]

January 23, 2013 Accounting, Tax Read more...

Small Grocery Chains Squeezed Out By a Crowded Field

The Washington Post
Posting by Geoffrey Brown, CPA

An increasingly crowded field of big-box supermarkets is squeezing out many of the smaller do-it-all grocers that tried to compete directly with the national chains. “There is just too much competition to try to take on the big-box stores, because they can kill you on prices and variety,” said Geoff Brown, principal at Bond Beebe, an accounting firm in Bethesda specializing in small, medium and family-run businesses.

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