Western CPE Blog
Breaking tax and accounting news and analysis from the experts at Western CPE.
More Tax News from the IRS
By: Article at a Glance: Economic Impact Payment Notice. Early bird RMDs. COVID-19 IRA retirement plan withdrawals. Qualified Opportunity Fund investment delay. The IRS has been busy with lots of news items. Here are a few items of interest for you and your clients. Economic Impact Payment notice. Remind your clients to keep Notice 1444 — “Your Economic Impact Payment”. Your clients may not know this is an important document. They will need the Notice if they qualify for a larger Impact Payment when they file their 2020 tax return. The client may be entitled to a bit more rebate …
Tax News Galore
Article at a Glance:June 30, 2020 Deadline.20 million backlogged notices.Millions of unopened pieces of mail.IRS will pay interest on 2019 refunds issued after April 15. In the last week, the IRS has been busy with “news” for you and your clients: June 30, 2020 Deadline. Only a few days are left.There is still money left for a Paycheck Protection Program Loan, but the PPP loan program shuts down on June 30, 2020. It’s a rush, but maybe the struggling small business person can get funds to keep afloat for a few more months. If your client can’t make the June 30th deadline, …
PPP Loans Forgiveness — Applications, Clarifications, and Examples
Article at a Glance:PPP Loan Forgiveness Clarified in a Revised Interim Final RuleSafe Harbor Added for Reductions in FTEsMaturity Date of Loan ExtendedDeferral Period for Borrower Payments ExtendedEmployer Payroll Tax Deferral ExpandedPPP Loans Forgiveness — Applications, Clarifications, and Examples Forgiveness Applications Revised and Simplified SBA released a new EZ version of the forgiveness application (Form 3508EZ). The EZ application requires fewer calculations and less documentation and will ease the paperwork for small business owners and the practitioners that help them. The EZ can be used by borrowers who: Are self-employed and have no employees; OR Did not reduce the salaries …
Guest Post: A Quick Look at the Sections of the AICPA Auditing Standards Board Auditor’s Report
Dr. Rod Redding received his PhD from Penn State University after working with Price Waterhouse and IBM. Presently, he presents seminars and webcasts and prepares self-study courses for Western CPE. To read more about Rod or see his coursework, check here . In May 2019, the Auditing Standards Board (ASB) issued SAS 134, Auditor Reporting and Amendments, Including Amendments Addressing Disclosures in the Audit of Financial Statements. Over 2019 and 2020, the ASB issued SAS 135 – SAS 141 which all relate to the Auditor’s Report and are designed to go with SAS 134 as a suite of standards. The standards are …
Guest Post: Audit Risks and Audit Areas to Focus on Due to the Coronavirus
Dr. Rod Redding received his PhD from Penn State University after working with Price Waterhouse and IBM. Presently, he presents seminars and webcasts and prepares self-study courses for Western CPE. The Journal of Accountancy has published two articles that may help you prepare your audits for the effects of the coronavirus, on how the audit is performed. Highlights from these two articles are presented in this alert. 4 key COVID-19 audit risks for 2020 year ends, J of A, June 5, 2020 Four risk areas for auditors to consider as they prepare for their next audits of commercial entities: Internal …
Guest Post: How to Account for PPP Loans
By: Jeff Sailor, CPA
Have you taken a class from Jeff Sailor? He’s one of our favorites and one of the funniest. For more than 10 years, Jeff has served as an AICPA peer reviewer, focusing on small firms and sole practitioners. Jeff has managed his own accounting firm in Ocala, Florida, since 1984. During that time, he has also developed unique auditing approaches and auditing software. To read more about Jeff or see his coursework, check here. How to Account for PPP Loans As many of you have been working very diligently to assist your clients with both acquisitions as well as forgiveness of the …
PPP Loan Forgiveness Clarified — Again
It happened again. New law on Paycheck Protection Program forgiveness was signed by the President on June 5, 2020, and a correction showed up three days later. On June 8, 2020, Treasury Secretary Mnuchin and SBA Administrator Carranza issued a joint statement that clarified (or maybe corrected) a forgiveness provision in the Paycheck Protection Program Forgiveness Flexibility Act (HR 7010). 60% Spent on Payroll Clarified Earlier in the year, Treasury and SBA issued an interim final rule that required borrowers to spend at least 75% of the PPP loan proceeds on payroll. HR 7010 reduced the payroll spending requirement to …
Is Congress Entering Accounting & Auditing Territory?
Dr. Rod Redding received his PhD from Penn State University after working with Price Waterhouse and IBM. Presently, he presents seminars and webcasts and prepares self-study courses for Western CPE. During 2019 and 2020 Congress appears to have an increasing interest in accounting and auditing. The Current Expected Credit Loss accounting standard and the PCAOB have been the primary targets of Congressional actions. Let’s take a look at some of the bills and other actions. CECL In the Senate: “Continued Encouragement for Consumer Lending Act” and in the House: “CECL Consumer Impact and Study Bill of 2019” These bills were …
Payroll Protection Program Loan Forgiveness Changed
In a rare bipartisan effort with only one no vote by Rep. Chip Roy (R-Texas), Congress made changes to the Paycheck Protection Program (PPP) Loan Forgiveness. The Paycheck Protection Program Flexibility Act of 2020 (HR 7010) modifies several provisions of the Paycheck Protection Program (PPP) and amends the Small Business Act and the CARES Act related to: “Covered period” period for loans Payroll spending requirements Deferral of employer payroll taxes FTEs and salary reduction Loan payoff due date See the whole article here. Payroll Protection Program Loan Forgiveness Change Passed by Congress In a rare bipartisan effort with only one …
Guest Post: Rod Redding, Some Places to Look for Assistance in Accounting for the Coronavirus
Dr. Rod Redding received his PhD from Penn State University after working with Price Waterhouse and IBM. Presently, he presents seminars and webcasts and prepares self-study courses for Western CPE. This alert provides accounting websites, and a list of articles, that have been written about various issues related to the impact of the coronavirus on accounting issues. Of course, one of the key issues is going concern. A future alert will address this issue. The following articles are hyperlinked for your convenience. WEBSITES AICPA: Coronavirus (COVID-19) Resource Center AICPA: Coronavirus (COVID-19) audit and accounting resources A&A FAQs related to COVID-19 …
Guest Post: Divorces to Surge in Post-Pandemic Era
By: Danny Santucci, BA, JD, is a prolific author of tax and financial books and articles. In 1980, Danny established the law firm of Santucci, Potter, and Leanders in Irvine, California, and went into sole practice in 1995. His practice emphasizes business taxation, real estate law, and estate planning. Speaking to more than 100 groups nationally each year, he is known for spicing up his extensive expertise with an incredible sense of humor. Read Danny’s full Instructor bio or browse his CPE courses here. While the coronavirus emergency has produced many unexpected consequences, rising tensions amid quarantine, job loss, financial problems, …
Guest Post: PPP Interim Final Rule
By: SBA and Treasury Release Interim Final Rules on PPP Loan ForgivenessLate Friday evening, SBA and Treasury released “interim final rules” to further explain the Paycheck Protection Program (PPP) loan forgiveness process. Here are a few highlights from SBA-2020-0032 (26 pages) for borrowers and SBA-2020-0033 (19 pages) for lenders. Loan Forgiveness ProcessTo receive loan forgiveness, a borrower must complete and submit the Loan Forgiveness Application (SBA Form 3508) to the lender. The lender will review the application and make a decision regarding loan forgiveness. The lender has 60 days from receipt of the completed application to issue a decision to SBA. If …
Guest Post: FASB Extends Effective Dates for Revenue Recognition and Leases
By: Jeff Sailor, CPA
Have you taken a class from Jeff Sailor? He’s one of our favorites and one of the funniest. For more than 10 years, Jeff has served as an AICPA peer reviewer, focusing on small firms and sole practitioners. Jeff has managed his own accounting firm in Ocala, Florida, since 1984. During that time, he has also developed unique auditing approaches and auditing software. To read more about Jeff or see his coursework, check here. FASB Extends Effective Dates for Revenue Recognition and Leases At their board meeting on Wednesday, May 20, the FASB decided to extend the effective dates for the …
2020 Spring Federal Tax Update
By: Western CPE
Hot off the press, and just in time for Self-Study Saturday, we’re very pleased to release Vern and Sharon’s first six courses in the 2020 Federal Tax Update series, including essential information on changes related to the COVID-19 pandemic. Combining the real-life experience of a practicing CPA with essential down-to-earth tax materials in a high-tech format, these in-depth Self-Study courses will enable participants to quickly understand and implement individual, real estate, and business tax issues in a climate of COVID-19 changes. You’ll receive the most complete and up-to-date reference manual, written by renowned tax experts, Vern Hoven and Sharon Kreider. …
Guest Post: Pandemics and Business Planning (podcast)
By: Best Accounting Practices with Steve Bragg, episode #287 — Pandemics and Business Planning In this 8-minute episode of Accounting Best Practices with Steve Bragg, Steve covers supply chain considerations, the importance of lowering your break-even point, and borrowing strategies to ensure your business can access cash when you need it. Head over to Accounting Tools for a complete episode guide — there are nearly 300 episodes to choose from, and most clock in under 10-minutes. His podcast Accounting Best Practices with Steve Bragg has been downloaded more than 4.4 million times. A Few Courses by Steven M. Bragg, CPA See All Steven …
PPP Loan Forgiveness Application Released by the SBA
Forty-two days after the first Paycheck Protection Program (PPP) Loan Applications were accepted, the SBA released the PPP Loan Forgiveness Application. SBA Form 3508 includes 2 pages of instructions, Schedule A and its worksheet for computations, and 7 pages of application. That’s 11 pages and it’s just the start as SBA has yet to release FAQs or “interim final rules” to provide friendlier and more complete details for the forgiveness application. According to the SBA, the form and instructions include several measures to “reduce compliance burdens and simplify the process for borrowers” including: Options for borrowers to calculate payroll costs …
2020 Easy Update — Download a Self-Study Excerpt
By: Western CPE
Danny Santucci’s Easy Updates are wildly popular tax mini-courses examining key individual, business, retirement, and estate tax provisions recently enacted or indexed for inflation. His overviews are easy to reference and emphasize the “big chunks” in order bring professional knowledge up to speed.
Coronavirus Tax News Update
IRS and the Small Business Administration have been working on the details that go along with the implementation of the CARES Act — albeit slowly. Here are three pieces of news from IRS and SBA IRS Released a Draft of a Revised Form 941 That Includes a Page of New Lines for COVID-19 Related Payroll Credits The IRS released a draft of a revised Form 941. The revised form includes 23 new data entries to accommodate three COVID-19 related payroll tax credits. The revised form reports the amount of payroll taxes that were retained by the employer in anticipation of …
New Self-Study Courses
By: Western CPE
May Releases Check out our collection of the 12 new or newly updated Self-Study courses so far this month!Get connected with the most up-to-date content in accounting, taxes, auditing, and personal development categories. Our new courses feature some of our best instructors including Steven M. Bragg, CPA, Danny Santucci, JD, and Mary S. Schaeffer, MBA. Want to view our full Self-Study library? Link below to browse! Browse Here ACCOUNTING TAXES AUDITING PERSONAL DEVELOPMENT
He’s Taking the “Boring” Out of CPE
By: Western CPE
“Fun,” “creative,” and “outside-the-box” are not terms that often come to mind when one thinks of CPE education. One of Western CPE’s most popular instructors, Jeff Sailor brings expertise and a singular flair to his coursework, designed to combat “boring CPE.” With 30 years accounting experience and more than 10 as an AICPA peer reviewer, he is as knowledgeable as he is thoughtful about his presentation. Read more about Jeff Instructor Spotlight Check out his CPE Jeff Sailor Courses Stay connected with these top accounting & auditing webcasts, covering the ins and outs of the most relevant accounting principles in …