Plus, Deloitte gets dinged over Autonomy, divisive tax policy, Donald Trump is wrong about something, and more.
Plus, a sexy tax avoidance product, EY picks up some lawyers, a literary agency accountant cooked some books, and more.
The financial scandal no one is talking about [The Guardian] This is a nice long read to ease you back from the holiday weekend. “The financial scandal” is, of course, the Big 4, and their dominance as auditors of the world’s largest companies, among other things: They are the only players large enough to check […]
Plus, Lynne Doughtie’s favorite movies, Samsonite’s troubles, stolen crypto, and bad mussels.
Plus, the IRS warns states about SALT workarounds, another disturbing sexual misconduct case, dealing with allergies, and more.
Plus, the shakeup at the PCAOB continues, General Electric wants to sell its insurance unit, POTUS promises more tax cuts, and more.
Do Big Four Auditors Unfairly Raise Fees? [CFO] A new study from Aloke Ghosh and Subprasiri Siriviriyakul of CUNY Baruch suggests that Big 4 firms oppose term limits not because they believe “clients benefit from superior audit quality rendered over longer audit firm tenure,” but rather the firms can charge a “tenure-linked fee premium” and […]
The ‘big four’ auditors have life far too easy [FT] Jonathan Ford writes that “There is a public interest in making life less comfortable for the masters of the auditing universe,” also noting that “Britain could catalyse wider action by leading the way [by forcing a break up.]” The Big Four: Break-Up or Audit Only? […]
Big Four accountancy firms plan for forced break-up [FT] As the drums for breaking up the Big 4 in favor of audit-only firms beat louder, it’s been interesting to read about the contingency plans they’ve been exploring behind the scenes: PwC said it had “a documented business continuity plan covering a range of scenarios that […]
KPMG chair calls Big Four an ‘oligopoly’ after Carillion collapse [FN] As usual, the Brits are little more forthright about their failings than their American counterparts. Where KPMG US CEO Lynne Douthie wrote vaguely about the alleged conspiracy of former partners, but beamed about how awesome the firm is, Bill Micheal, the UK chairman, admitted […]