June 2010
House Passes Financial Reform Bill
The U.S. House of Representatives approved a major overhaul of the rules governing the country’s financial system on Wednesday in a 237–192 vote that fell mainly along partisan lines, according to the New York Times. All but three Republicans voted against the measure due to concerns of government overreach, the paper said.
CPE Waiver for Nonregistered CPAs Expires July 31
New York licensed-CPAs who are not currently registered, but required to register pursuant to New York’s accountancy law and regulations, have until July 31, 2010 to register with the State Education Department (SED) without having to document completion of 24 hours of CPE in the 12 months prior to their return to practice. Accordingly, after July 31, 2010, any unregistered CPA submitting an application to reactivate his or her registration will be required as a condition of registration to document 24 hours of CPE prior to his or her return to practice
For example, an unregistered CPA who submits an application to reactivate his or her registration between Feb. 1, 2009 and July 31, 2010 can return to practicing accountancy without having completed 24 hours of CPE in the prior 12-month period. However, an unregistered CPA who registers Aug. 1, 2010 or later will be required to provide proof that he or she had completed 24 hours of CPE in the 12 months prior to his or her return to practice.
The new accountancy reform law, enacted on July 26, 2009, requires all New York-licensed CPAs -- including those practicing public accountancy in public practice, industry, government and academia -- within New York state to be registered and earn CPE each calendar including the calendar year in which he or re-registers.
COAP Programs Encourage Diversity in Accounting
The NYSSCPA and FAE are offering the Career Opportunities in the Accounting Profession (COAP) program at 10 different colleges and universities across the state beginning this week, with a total of 336 high school juniors participating.
Through its COAP Program, the NYSSCPA and FAE offer a learning experience developed to expose promising minority high school students to accounting and business careers. Founded in 1987, COAP offers students a tailored curriculum and extensive opportunities to interact with successful minority role models and gain exposure to the corporate environment.
IRS Sheds Light on Tanning Tax Guidance
To help tanning salons that will need to start collecting a 10 percent excise tax on their tanning services starting July 1, the IRS has released guidance on what should be taxed and when. The tanning tax is part of the Affordable Care Act that was enacted in March.
Method Man Pleads Guilty to Tax Evasion
Hip-hop star Method Man, a former member of rap group Wu-Tang Clan, pleaded guilty to a tax-evasion charge Monday and wrote a $40,000 check on the spot for the final restitution payment. He owed approximately $106,000 in unpaid taxes, the Associated Press reported.
GAO Releases Financial Audits, Reports
The Government Accountability Office has released several new audits and reports related to the financial system and economy:
Paterson to Veto 6,900 Budget Appropriations
While the legislature managed to approve a spending plan before Governor David A. Paterson’s self-declared Monday deadline, the Sturm und Drang that has been the New York state budget process over the past few months continues.
Financial Reform Bill Fate Uncertain in Senate
The death of Senator Robert C. Boyd of West Virginia has Senate Democrats scrambling this week to win approval of the financial regulation bill that was approved by a House-Senate conference committee last Friday.
Supreme Court Strikes Down Portion of Sarbanes-Oxley Act
The U.S. Supreme Court has narrowly decided that the Public Company Accounting Oversight Board (PCAOB), the regulatory body responsible for overseeing auditors of public companies, violates the Constitution’s rules on separation of powers due to the manner in which its members are appointed.