CPA Observation Post

AICPA Supports FAF's Creation of Private Company Council, Asserts Need for Financial Reporting Framework for Smaller Businesses

The Financial Accounting Foundation (FAF) has announced its decision to make process and structural improvements by creating the Private Company Council. The Private Company Council is based upon the body proposed last October by the FAF to set differences in U.S. generally accepted accounting principles (U.S. GAAP), where appropriate, for privately held companies. >>Read More

Report Reveals Gap in Rhetoric, Reality on Business Ethics

Despite more commitment to ethical performance, pressure to act unethically is on the rise, according to a study by American Institute of CPAs and Chartered Institute of Management Accountants. >>Read More

Auditing and Accounting Standards in Transition (via @AccountingToday)

A group of high-ranking officials in accounting and auditing standard-setting organizations discussed the changing standards for mandatory audit firm rotation, private company accounting and other controversial issues at the American Institute of CPAs’ Spring Meeting of Council. Read More>>

AICPA Presses for Passage of Mobile Workforce Bill (via @AccountingToday)

The American Institute of CPAs is urging the House to pass legislation this week to establish a uniform national standard governing the withholding of state income taxes for nonresident employees. Read More>>

AICPA to IRS: Capitalization Rules ‘Too Complex’ For Taxpayers

Many taxpayers will lack the resources to comply with the overly complex Internal Revenue Service (IRS) capitalization rules that govern the deduction and capitalization of tangible property expenditures are too complex and many taxpayers, especially small businesses, will not have the resources to comply, Carol Conjura, chair of the American Institute of CPAs Tax Methods & Periods Technical Resource Panel, said at an IRS hearing. Read More>>

Center for Audit Quality workshop addresses auditor's changing role

Management discussion and analysis, earnings releases, and key performance indicators were among the topics discussed at a workshop held by the Center for Audit Quality, which is affiliated with the AICPA, on the evolving role of the public company auditor. Workshop attendees noted that some investors would like a requirement that the auditor discuss the earnings release with the audit committee. Read More>>

AICPA Asks Congress to Provide Full Deduction for Administering Estates and Trusts (via @AccountingToday)

The American Institute of CPAs has written a letter to the leaders of the House Ways and Means Committee and the Senate Finance Committee asking them to amend the Tax Code to allow estates and nongrantor trusts to fully deduct the cost of complying with the fiduciary duties of administering estates and trusts. Read More>>

Survey: Finances Causing Rifts for American Couples

Financial matters are the most common source of discord among American couples, prompting an average of three arguments per month, according to a national telephone survey conducted for the American Institute of CPAs (AICPA) by Harris Interactive. >>Read More

AICPA Poll: Cell Phones Matter More than Food

When it comes to saving money, Americans would rather change their eating habits than give up their cell phones, according to a new survey conducted for the American Institute of CPAs by Harris Interactive. >Read More

CAQ asks for more transition guidance in updated internal control framework (via @AICPA_JofA)

The Center for Audit Quality, which is affiliated with the AICPA, is asking the Committee of Sponsoring Organizations of the Treadway Commission to provide users with more transition guidance for implementing COSO's updated internal control framework. The CAQ's comment letter also seeks more guidance on the appropriate range of acceptability when assessing whether a principle in the framework is operating effectively. Read More>>