October 23, 2018

Accounting News Roundup: BDO’s Revenue, FIFO, and a Missing Crook | 12.08.17

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BDO Network Announces Global Revenues Increase to $8.1 Billion [BDO]
Bravo Delta Oscar’s global haul is quaint compared to what Big 4 draw in say, the U.S., but the Financial Times reports that BDO’s global CEO Keith Farlinger cares not one iota about that: “We are not looking to become part of the ‘Big Four’. […] We are not focused on being the biggest. We are focused on being the best.”

On Tax Bill, It’s Trump vs. His Hometown [NYT]
The tax bill sticks it to New York, particularly the SALT deduction, and wealthy donors are trying to coax POTUS to make some changes. But it’s unlikely to happen, as one of his biographers says, “He has this resentment toward the elite in New York that’s very powerful because he was never really accepted and he loves to tweak the people who regard him as a barbarian.”

This Little-Known Tax Plan Takes Aim at Your Trading Account [Bloomberg]
The first-in, first-out treatment of selling securities could cause big tax headaches for investors who have held certain investments for long periods of time. But the tax magicians out there are working on solutions: “Tax firms are already studying ways to help clients preserve tax benefits if Congress passes FIFO. Some investors may be able to avoid FIFO by dividing their holdings between multiple money managers or brokers, segregating low-basis and high-basis holdings, said Mark Nash, a tax partner at PricewaterhouseCoopers.”

Sleepy’s Owner Steinhoff: Accounting Issues Could Affect $7 Billion in Assets [WSJ]
The mysterious accounting irregularities are still not known, although there are some clues: “The developments come months after German prosecutors began investigating whether the company, which has its primary listing in Frankfurt, used off-balance sheet entities to hide losses in its operations and artificially pump up its valuation. Steinhoff had previously denied those allegations, but on Wednesday said it had hired outside accountants to look into its books.”

Seattle crook behind $120M Ponzi scheme missing from prison [SPI]
Darren Berg, who ran a Ponzi scheme that got Deloitte and Moss Adams in some hot water, has disappeared from a California federal prison where he was serving 18 years.

Brought to you by Accountingfly

The featured job of the week is a Tax Manager with Hamilton Tharp in San Diego.

Josh Tarica of Beech Valley Solutions wrote about how you can make $40k this busy season. (Read more about our partnership with Beech Valley here.)

Previously, on Going Concern…

Jason Bramwell wrote about ways controllers can thwart fraud.

In Open Items, our introduction to the new financial reporting category (featuring a Ben Wyatt gif) and an internal auditor has questions about an ERM presentation for a board of directors.

In other news:

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Accounting News Roundup | 01.21.10

How to find the “best and brightest” [CPA Success]
This may be a better topic for the friendly HR professional but figuring out who these future accounting rock stars are before they show up on their first day is “more art than science”, as Tom Hood notes.
Popular to some old-school thought, GPA does not always indicate who’s going to dominate in the real world and “soft skills” — besides being a terrible term — are in more demand than ever.
Help The The American Red Cross of Greater Chicago Help Haiti [Re: The Auditors]
The American Red Cross of Greater Chicago is having a drive today and since Francine’s friend is the CFO, we’ll be glad pass around the news:

One of my oldest and dearest friends, Guillermo Becerra, is the CFO of the American Red Cross of Greater Chicago. I asked him how I could help him, and the Red Cross, during what must be an incredibly busy time post-Haiti earthquake.

“The Chicagoland community will come together on Thursday, January 21 to give to the American Red Cross as we help the people of Haiti recover from the catastrophic earthquake that devastated their country last week.
The Chicago Helps Haiti media relief drive begins at 5 a.m. and lasts until 11 p.m. Nearly every TV and radio station in our area will be promoting this fundraising effort throughout the day. You can help too, by giving via phone or online, and sharing your thoughts here, on Facebook or Twitter, and by asking others to give.
To give from 5 a.m. to 11 p.m. CALL 1 (877) 565-5000 or visit www.chicagoredcross.org/haiti

Plus, we’re guessing that if you give, your 2009 tax return isn’t much of a concern.
If Your Password Is 123456, Just Make It HackMe [NYT]
The Times is concerned that you have a shitty password which puts you at a huge risk of being hacked by someone sitting in their parents’ basement.

Imperva found that nearly 1 percent of the 32 million people it studied had used “123456” as a password. The second-most-popular password was “12345.” Others in the top 20 included “qwerty,” “abc123” and “princess.”

You know who you are, ye with stupid passwords. Also, don’t even think of changing it to “654321” because that drops in at #19.

Accounting News Roundup: Haiti Relief Passes Senate; Accounting Job Surge? CPAs Basically Control People’s Lives | 01.22.10

Senate votes for faster tax breaks for Haiti gifts [WaPo]
As expected, the U.S. Senate unanimously passed legislation yesterday that allows taxpayers to deduct donations made for Haiti relief efforts. You have until the end of February to donate so that it may be included on your 2009 return.

Maybe it’s bad legislation but we’ve been over that.

CPA Jobs Set for Surge. But When? [CPA Trendlines]
That’s the question, isn’t it? Rick Telberg, who has done a great job of tracking the Bureau of Labor Statistics on accountants, points out that while the latest BLS forecasts a 22% increase (279,400 jobs) by 2018, there’s no indication that it’s happening now:

[M]any tax, accounting and finance professionals are still slogging through the Great Recession. The Association for Financial Professionals, for instance, reported that about one in four respondents say their organizations will contract in 2010. At the same time, a PricewaterhouseCoopers survey of private companies found 43 percent of CEOs and CFOs still budgeting no expansion over the next 12 months to 18 months. The data just seem to reinforce economic uncertainties and a weak outlook.

The BLS is looking past the past the recession for the jump in opportunities but just when the hell will that be? Just because the economy isn’t contracting currently, doesn’t mean it won’t in the future and this “recovery” has been tepid at best.

Theismann to CPAs: You Are the Conscience of America [Web CPA]
Joe Theismann gets it. He knows that without all of you out there in CPA land, your clients don’t stand a chance. They’d be finished. Finished!

“You’re the conscience of America,” Theismann told conference-goers. “You are the survivors in tough times. With accountants, I’m not looking for someone to file taxes and do my financials. I can do that myself online. In your position you can basically control people’s lives.”

So get out there and control somebody’s life. Joe Theismann is expecting it.