E-Focus Newsletters

04/30/2019

Focus on Cyber Security: Human Firewall or the Weakest Link - Preparing Your People

Email phishing attacks are sent to us at work, home and anywhere else we have email. Most of us use email filters to check these emails and cut down the number of bad messages we receive, but sometimes these filters can be bypassed. Avanan’s Global Phish Report analyzed more than 55 million emails and found that 1 out of every 100 contained a phishing attack.

03/14/2019

Focus on State & Local Taxation: Time-Sensitive Review of Property Tax Notices

It’s that time of year when many businesses will be receiving a notice of value in the mail containing a reassessed value of their property. This could potentially mean an increase in property tax liabilities and significantly impact a business’s operating expenses and bottom line.

03/08/2019

Focus on Taxation & Real Estate: Tax Savings Related To Opportunity Zones

In summary, the article details that the newly created qualified opportunity zones offer an intriguing tax planning option for investors and a potential boon for distressed communities.

03/01/2019

Focus on Taxation: Providing Clarity on Section 199A

RubinBrown Partner Tony Nitti recently took part in a nonpartisan tax think tank which debated the pros and cons of the new Section 199A, more widely known as the 20% pass-through deduction. 

02/18/2019

Focus on Taxation:  Analysis of the New Tax Law

Last week, RubinBrown Partner Tony Nitti spoke on a panel that analyzed the new tax law, as well as the latest views about the law among taxpayers and journalists.

02/08/2019

Focus on Cyber Security: Requirements in the Colorado Protections for Consumer Data Privacy (HB18-1128)

In response to the increasing number of massive data breaches over the last several years, the Colorado legislature passed new requirements for protecting the personal information of Colorado residents. The Colorado Protections for Consumer Data Privacy (HB18-1128) applies to public and private organizations that handle, process, store or otherwise have access to electronic or printed personally identifiable information (PII) of Colorado residents.

01/30/2019

Focus on Taxation: Much Anticipated Final Regulations Issued on 199A

On January 17, 2019, the IRS delivered final regulations on one of the most complicated provisions of the new tax law, Section 199A, commonly referred to as the 20% pass-through deduction. The regulations provide clarity and much needed guidance on Section 199A that was enacted on December 22, 2017, as part of the Tax Cuts and Jobs Act. Along with the final regulations the IRS also issued two significant rulings; one allows a safe harbor for certain rental properties and the other a method of determining W-2 wages.

01/11/2019

Focus on Public Sector: GASB Posts Proposed Implementation Guide on Fiduciary Activities

In January 2017, the Governmental Accounting Standards Board (GASB) issued Statement No. 84, Fiduciary Activities (Statement).  The requirements of the Statement are effective for reporting periods beginning after December 15, 2018 (i.e., December 31, 2019 year ends and fiscal years ending in 2020).

12/19/2018

Focus on Taxation: IRS Provides Guidance on Employee Parking Provisions of New Tax Law

On December 10, 2018, the IRS issued long-awaited guidance on the application of one of the new tax provisions added by the Tax Cuts and Jobs Act, Section 274(a)(4). This provision under the Act is effective January 1, 2018. Notice 2018-99 provides guidance for taxable entities on how to compute the non-deductible amounts related to parking provided to employees under IRC Section 274(a)(4).

12/18/2018

Focus on Taxation: Employers May Qualify for Tax Credits for Paid Family and Medical Leave

The 2017 Tax Cuts & Jobs Act grants employers who voluntarily offer qualifying employees up to 12 weeks of paid family and medical leave annually, a tax credit for a portion of wages paid in 2018 and 2019. In order to be eligible for the credit, the employer’s written policy containing specific language must be in place before the leave is taken.

12/12/2018

Focus on Not-For-Profits: IRS Issues Guidance on How to Compute UBTI Related to Providing Parking to Employees of Tax-Exempt Entities

On December 10, 2018, the IRS issued long-awaited guidance on the application of two new tax provisions added by the Tax Cuts and Jobs Act. The provisions under this Act are effective January 1, 2018. Notice 2018-99 provides guidance for tax-exempt entities on how to compute the additional Unrelated Business Taxable Income (UBTI) generated related to parking provided to employees under IRC Section 512(a)(7).

12/04/2018

Focus on R&E Tax Credits: New Tax Law Increases the Benefit of the Research & Experimentation Tax Credit

The Credit for Increasing Research Activities, also referred to as the “R&E”, “R&D” or “Research” tax credit, incentivizes companies to invest in people and technology that can lead to growth in revenues and profitability, as well as promote job retention and expansion. The credit focuses on three types of qualifying expenditures: wages, supply costs and contract research.

10/24/2018

Focus on State & Local Taxation: Big Changes in Colorado As New Sourcing Rules Take Effect

Effective December 1, 2018, the Colorado Department of Revenue will begin enforcing new emergency sales tax sourcing rules that will significantly impact all retailers doing business in Colorado. The new rules require all Colorado taxable sales to be taxed at the effective rate of the jurisdiction in which property is transferred into the possession of a purchaser. While the rule has no effect on purchases that occur at a retailer’s business location, the big change occurs when items are shipped to Colorado customers.

08/27/2018

Focus on Cyber Security: Changing Technology and the Role of CPA Firms

With the rapid pace that technology evolves, understanding how those changes can impact business is important.

09/04/2018

Focus on Public Sector: SEC Adds Two New Continuing Disclosure Requirements

On August 20, 2018, the Securities and Exchange Commission (SEC) adopted amendments to SEC Rule 15c2-12, which identify two new events requiring disclosure with the Municipal Securities Rulemaking Board (MSRB) via the EMMA system within 10 business days of their occurrence.

08/30/2018

Focus on Not-For-Profits: New IRS Proposed Regulations Could Affect Charitable Contribution Deductions and State Tax Credits

The Internal Revenue Service (IRS) issued proposed regulations on August 23, 2018 that could affect charitable contribution deductions that individual taxpayers are able to claim as itemized deductions for income tax purposes.

08/27/2018

Focus on Cyber Security: Takeaways from the 2018 DefCon Hacking Conference

This year marked the 26th annual DefCon, the annual hacker conference attended by thousands of people ranging from high school students to well-known security researchers and infamous personalities in the industry.

08/10/2018

Focus on Taxation: Guidance Issued for the Pass-Through Entity Deduction – Section 199A

On August 9, 2018 the IRS released guidance on new Code Section 199A, commonly referred to as the “pass-through entity deduction”. Code Section 199A allows business owners to deduct up to 20% of their qualified business income (QBI) from partnerships, S corporations, trusts and sole proprietorships.

07/27/2018

Focus on Not-For-Profits: Changes to Missouri Tax Credits Available to Donors of Certain Not-for-Profit Organizations

In recent weeks, Missouri Governor Mike Parson signed a number of bills into law, including one that will modify certain existing tax credits and create new tax credits to encourage donations to certain social service organizations.

07/24/2018

Focus on Not-For-Profit and Colleges & Universities: Update on New Tax Law - Taxation of Certain Fringe Benefits

The Tax Cuts and Jobs Act (the Act), enacted in late 2017, was the most significant change in the tax law in over 30 years. Several provisions of the Act could have a direct or an indirect impact on not-for-profit/tax-exempt entities (exempt organizations).

06/26/2018

Focus on State & Local Taxation: U.S. Supreme Court Overrules Physical Presence Standard

In the 5-4 decision of South Dakota v. Wayfair, Inc., the Supreme Court of the United States ruled South Dakota’s economic nexus law constitutional. The decision has the potential to require online retailers and other remote sellers to collect and remit sales tax to states in which they do business, regardless of their physical presence within those states.

06/11/2018

Focus on Cyber Security: GDPR – A Common Sense Approach

The General Data Protection Regulation (GDPR) went into effect on May 25, 2018. With fines as high as €20 million or 4% of global revenues, the GDPR cannot be ignored. How do you know if the regulation applies to your organization and how can you comply?

02/21/2018

Focus on Cyber Security: Web Application Security – Secure Your Web Application From Cyber Criminals

Web application vulnerabilities are a top target for cyber criminals. Websites, applications, servers and supporting infrastructure are exposed to the internet via web applications and thus are under constant attack. Many organizations perform network vulnerability scans on internet facing networks and systems, but often ignore web applications. The tests included in the network vulnerability scans generally do not test web applications and certainly do not perform deep vulnerability testing inside the application.

02/15/2018

Focus on State and Local Taxation: Sales Tax Nexus Standards

On January 12, 2018, the Supreme Court of the United States granted a petition for certiorari in the case of South Dakota v. Wayfair, Inc., a case to determine the constitutionality of a South Dakota statute obligating businesses with no physical presence in the state to collect and remit sales tax.

02/13/2018

Focus on Taxation: Bipartisan Budget Act of 2018 - Tax Extenders

On February 9, President Trump signed the Bipartisan Budget Act of 2018 into law. The Act contains an extension of over 30 otherwise expired tax breaks. The following is a listing to the tax provisions extended by the Act through 2017 (unless otherwise noted).

02/07/2018

Focus on Revenue Recognition: Getting Started

The implementation of the new standard is expected to be a significant undertaking for most entities. Even if you do not expect a significant change in the accounting for revenue, the comprehensive nature of the change will require companies to look at their revenue with a clean sheet of paper approach, assessing each of the five steps for all significant revenue streams.

01/31/2018

Focus on Cyber Security: Penetration Testing – Why pay someone to try and break into your network?

RubinBrown Cyber Security Center of Excellence – Security You Need to Know. Testing your cyber security on a regular basis is part of sound strategy to identify and eliminate risks in the environment. Penetration testing, or "white hat" hacking, tests the external and internal network to assess the effectiveness of controls. Whether you are demonstrating due care in addressing cyber security threats or addressing compliance requirements, penetration testing is a core component of regular security assessment efforts.

01/24/2018

Focus on State and Local Taxation: Colorado Use Tax Reporting Requirements

On July 1, 2017, the Colorado Department of Revenue began enforcing new use tax notice and reporting requirements relating to retailers that make sales into Colorado but do not collect state sales tax (non-collecting retailers).

01/15/2018

Focus on Construction: News from the National Association of Home Builders 2018 International Builders Show

RubinBrown recently attended the National Association of Home Builders (NAHB) International Builders Show in Orlando, Florida. As in prior years, the show is combined with the Kitchen and Bath Industry, International Window Coverings and International Surface Event Shows bringing the overall attendance to nearly 89,000.

01/11/2018

Focus on Public Sector: Highlights from the Tax Cuts and Jobs Act

The Tax Cuts and Jobs Act (the Act) was signed by President Trump on December 22, 2017. The following are highlights that have some implications for state and local governments. As with past tax acts, there are likely to be “technical corrections” passed in future legislation. While technical corrections are often minor, occasionally the changes are material.

01/04/2018

Focus on Private Equity: The Tax Cuts and Jobs Act

The Tax Cuts and Jobs Act (the Act) is the first major re-write of the Internal Revenue Code since 1986. In regards to its effect on private equity investors and their portfolio companies, the Act contains several significant changes. The new rules are generally effective for tax years beginning after December 31, 2017.

01/04/2018

Focus on Taxation: Comprehensive Overview of the Tax Cuts and Jobs Act (H.R. 1)

RubinBrown is proud to provide a comprehensive overview of the Tax Cuts and Jobs Act (H.R. 1) that was signed into law on December 22, 2017. Read detailed information about the sweeping changes as well as the impact on individuals and businesses.

01/02/2018

Focus on Taxation: Meals, Entertainment and Transportation Fringe Benefits May No Longer Be Deductible – May Require Immediate Action

Under tax law applicable for expenditures before January 1, 2018, generally meal and entertainment expenses were 50% deductible. With changes made with the recent legislation (H.R. 1) entertainment expenses are 100% NOT deductible for amounts paid or incurred after December 31, 2017.

12/27/2017

Focus on Manufacturing & Distribution: The Tax Cuts and Jobs Act

The Tax Cuts and Jobs Act (the Act) was signed by President Trump on December 22, 2017. The following are highlights that are pertinent to manufacturing and distribution companies and owners. As with past tax acts, there are likely to be “technical corrections” passed in future legislation. While technical corrections are often minor, occasionally the changes are material.

12/22/2017

Focus on Construction: The Tax Cuts and Jobs Act – Construction and Home Building Highlights

The Tax Cuts and Jobs Act (the Act) was signed by President Trump on December 22, 2017. The changes in the Act will affect organizations in a variety of ways. The following highlights are pertinent to construction or home building companies and owners.

12/21/2017

Focus on Not-For-Profit Organizations and Colleges & Universities: Tax Cuts and Jobs Act – Highlights from an Exempt Organization View

As this summary is being written, the Tax Cuts and Jobs Act (the Act) is approaching passage by Congress and signature by the President. The changes in the Act will affect organizations in a variety of ways. The following highlights are based on the drafts of the bill and of the conference report.

12/21/2017

Focus on Taxation: Tax Reform Update – International Taxes

The Tax Cuts and Jobs Act (the Act) is our first major re-write of the Internal Revenue Code since 1986. In regards to U.S. international tax law, the Act contains significant changes to how US based multinational corporations are taxed.

12/19/2017

Focus on Taxation: Tax Reform Update – Businesses & Individuals

An agreement has been reached on a tax reform bill that is expected to go before the House and Senate for a final vote this week. The President is anticipating signing it into law before Christmas. The following is a summary of the key changes proposed.

12/11/2017

Focus on Entrepreneurial Services: Year-End Tips for Entrepreneurs

If you dread year-end paperwork and tax time, you’re not alone. Most entrepreneurs would rather pursue their ideas and passions than spend time and energy on the financial details. Here are a few suggestions to make your year-end close a valuable process rather than a necessary evil.

09/29/2017

Focus on Cyber Security: Early Lessons Learned from the Equifax Breach

Powerful reminders about protecting your organization from a data breach. The Equifax breach has all the indicators of being the most costly data breach of our times. Over 143 million individuals affected, international impacts, poorly handled communications and distributing wrong information during the initial days after the announcement.

09/27/2017

Focus on Taxation: Tax Reform Proposal

On September 27, President Trump and Republican leaders unveiled a framework for tax reform. The following are the highlights of the changes contained in the proposal for individual and business taxes.

09/19/2017

Focus on State and Local Taxation: Online Marketplace Seller Voluntary Disclosure Program Expires Soon

The Multistate Tax Commission is offering a one-time limited voluntary disclosure program targeted towards online marketplace sellers. Businesses would generally register to file and pay taxes on a prospective basis in exchange for relief from prior year taxes. Applications must be submitted by October 17, 2017 to be considered for participation in the program.

09/13/2017

Focus on Public Sector and Not-For-Profits: 2017 Compliance Supplement

On August 14, 2017, the Office of Management and Budget (OMB) announced the release of the 2017 OMB Compliance Supplement. The compliance supplement contains the policies and procedures required to be followed by federal, state and local entities in regards to expending federal funding and the procedures required to be performed by auditors when conducting the single audit over these federal programs.

09/12/2017

Focus on Taxation: Hurricane & Disaster Tax Relief

A number of RubinBrown clients either live in or have operations in states that have been affected by disasters during this year’s active hurricane season.  The IRS recently announced a number of tax relief initiatives for those individuals and businesses which have been affected by Hurricane Harvey and Irma.

07/21/2017

Focus on State and Local Taxation: Illinois Senate Passes State Budget Package Increasing Tax Revenue

The Illinois Senate overrode the Governor’s veto and passed new legislation, Senate Bill 9, that will increase the income tax rate for individuals and corporations, reinstate the research and development (R&D) tax credit as well as adding a tax addback for IRC 199 and provisions for unitary business groups.

07/21/2017

Focus on State and Local Taxation: New Missouri Sales and Use Tax Filing Requirements

As part of a new integrated tax system, the Missouri Department of Revenue has established new filing requirements for sales and use tax forms that will become effective August 1, 2017. Filers will recognize several formatting changes along with modified codes for identifying business locations.

07/14/2017

Focus on State and Local Taxation: Fewer Hurdles, Faster Benefits for Missouri Works Training Program

Recently passed legislation expands upon the Missouri Works Training Program. Originally enacted in 2013, the program was established to consolidate Missouri’s workforce programs into a single streamlined program.

06/26/2017

Focus on State and Local Taxation: Pending Legislation on Missouri Delivery Charges

Senate Bill 16 has been sent to the Governor for signature after it was passed through the Missouri House.  If signed, this bill will reinstate the sales and use tax exemption of delivery charges which were called into question after the Missouri Supreme Court ruling on Alberici Constructors, Inc. v. Director of Revenue.

06/22/2017

Focus on Construction: News from the National Association of Home Builders Mid-Year Board Meeting

RubinBrown recently attended the mid-year board meeting of the National Association of Home Builders in Washington, D.C. as a member of the Business Management and Information Technology Committee.

06/12/2017

Focus on State and Local Taxation: Kansas Tax Package Passes with Retroactive Provisions

Recently passed legislation now subjects business owners and owners of rental property to tax in Kansas. During the 2017 legislative session, SB 30 was passed, vetoed by Governor Brownback and quickly overridden by the Kansas Legislature. The bill becomes law July 1, 2017 but several provisions are effective January 1, 2017.

05/18/2017

Focus on Cyber Security: Global Ransomware Attack

The WannaCry (aka WannCrypt, WannaCrypt0r 2.0 and Wcry) global ransomware attack raises significant concerns about wide scale attacks from self-propagating ransomware. It appears the initial threat has been stopped by malware researcher MalwareTech. However, the underlying threat is still present and there is consensus copycat (and better designed) attacks are imminent.

05/17/2017

Focus on Healthcare: Proposed American Healthcare Act

On May 4th the House of Representatives passed a bill by a 217 to 213 margin to repeal the Affordable Care Act (ACA) and replace it with The American Health Care Act (AHCA). If enacted in its current form, the new law would eliminate most of the taxes the ACA put in place. The House bill is now in the hands of the Senate where it will likely undergo significant changes.

05/17/2017

Focus on Public Sector, Not-For-Profit and Colleges & Universities: Extension of Grace Period for Uniform Guidance Procurement Rules

On May 17, 2017, the Office of Management and Budget (OMB) published a notice in the Federal Register which provides an additional one-year extension of the grace period permitting recipients of federal funds to delay implementation of the procurement requirements found in the OMB’s Uniform Guidance.

05/10/2017

Focus on Public Sector and Colleges & Universities: Time to Plan for Recently Issued GASB Statements

In early 2017, the Governmental Accounting Standards Board (GASB) issued two new accounting standards in order to clarify how governmental entities report fiduciary activities and to address various miscellaneous accounting issues related to blending component units, goodwill, fair value measurement and postemployment benefits.

05/03/2017

Focus on Cyber Security: A New Cybersecurity Risk Management Reporting Framework

Organizations are under increasing pressure to demonstrate that they are managing cybersecurity threats, and that they have effective processes and controls in place to detect, respond to, mitigate and recover from breaches and other security events.

04/27/2017

Focus on Taxation: 2017 Tax Reform

On April 26, 2017 the Trump Administration issued an outline on “2017 Tax Reform for Economic Growth and American Jobs” calling it “the biggest individual and business tax cut in American history”.

04/25/2017

Focus on Life Sciences & Technology: 2017 Venture Capital Investment – First Quarter Update

U.S. venture capital (VC) investment rebounded slightly in Q1 2017 after a fourth quarter slide to close out 2016. Q1 2017 deal count rose by nearly 18%, while dollars invested grew by over 15%, versus Q4 2016. Despite the promising first quarter performance, recent venture activity has struggled to return to 2015’s record levels.

04/17/2017

Focus on R&E Tax Credits: Interim Guidance Issued on Using the Research Tax Credit to Offset Payroll Taxes

On March 30, 2017, the IRS released interim guidance explaining how eligible small businesses can take advantage of the Research & Experimentation (R&E or R&D) tax credit by electing to offset their 2017 payroll tax liability instead of their income tax liability.

04/05/2017

Focus on Life Sciences & Technology: Highlights from the 2017 InvestMidwest Venture Capital Forum

On March 28 and 29, the InvestMidwest Venture Capital Forum was held in Kansas City, Missouri. The event featured several dozen early stage companies pitching to investors and was a great opportunity to showcase emerging companies in the life sciences, technology and food and ag-tech industries. The 2017 conference highlighted all of the startup and innovation activity occurring throughout the Midwest. RubinBrown attended the event, sitting in on the “Food/Ag/Bioenergy” track.

03/16/2017

Focus on Taxation: March 24 Is Deadline For 1040 Tax Documents

It’s tax season and RubinBrown team members are hard at work for our clients! We thank you for your trust in us and your business. Although the tax deadline (April 18) is a month away, we are requesting 1040 client tax documents be to us by Friday, March 24. This will ensure we are able to file timely for you.

03/02/2017

Focus on Life Sciences & Technology: 2016 AgTech Investment

Global venture capital (VC) investment cooled off in 2016, following 2015’s record high levels. Overall VC deal flow slowed nearly 25%, while dollars invested dropped 10%. Poor IPO performance and political uncertainty drove a hesitant fourth quarter, rounding out the down year. The agtech industry was impacted by the global VC decline, yet we see reasons to be optimistic.

02/28/2017

Focus on Not-For-Profits: 403(b) Retirement Plans and The Universal Availability Rule

The Department of Labor’s (DOL) new “fiduciary rules” are scheduled to become effective April 1, 2017; however, the DOL is currently considering legal options regarding a possible delay in the applicability date of these new rules. Trustees should continue to monitor the status of these rules over the next few weeks in order to confirm that plans are fully complying once the rules do take effect.

02/16/2017

Focus on Food & Beverage: St. Louis State of the Brew’nion

The Jefferson Ballroom on Chouteau was buzzing with beer talk on February 13, 2017, as brewers from across the city joined together for the St. Louis Brewers Guild’s inaugural State of the Brew’nion event.

02/13/2017

Focus On Not-For-Profits: Phishing Scam Recycled to Target Nonprofit Organizations

Recently the Internal Revenue Service (IRS) and other agencies issued an alert on a W-2 phishing scam. The original target was for profit businesses. Now nonprofits are being targeted as well. The criminals prefer to target organizations instead of individuals, because they may obtain sensitive information on a much larger scale.

02/10/2017

Focus on State and Local Taxation: Real Estate Reassessment

Many jurisdictions perform reassessments of all real property located within their boundaries to determine full and fair market value as of the applicable assessment date. Reassessment can occur annually or on a regular cycle every few years.

02/06/2017

Focus on Mergers & Acquisitions: Market Update

After strong growth in 2014 and 2015, mergers and acquisition activity for private equity firms in the middle market decreased in 2016. According to PitchBook, private equity middle-market M&A activity (defined as transactions from $25 million to $1 billion) decreased 14.4% to 1,908 transactions while total deal value decreased 12.0% to $367 billion.

01/26/2017

Focus on Cyber Security: Vulnerability Management

RubinBrown Cyber Security Center of Excellence – Security You Need to Know. New vulnerabilities are identified every day. Most of us have workstations set to auto-update, servers and applications are handled by the systems administrators, but there are more and more products, devices and applications in our environments. How do you track the patches and updates for all those manufacturers and providers?

01/30/2017

Focus on Life Sciences & Technology: 2016 Venture Capital Investment – A Year in Review

Following a banner year in 2015, venture capital (VC) activity returned to a more normalized level in 2016. According to PriceWaterhouseCoopers’ and CBInsights’ MoneyTree™ Report, VC investment in the United States dropped 20% in 2016 to $58.6 billion, down from $73.4 billion in 2015. Deal count decreased to 4,520, down 16% from 2015’s 5,409 deals. Average deal size during 2016 declined roughly $.5 million year-over-year, but is still up nearly $2.4 million compared to 2014.

01/27/2017

Focus on State and Local Taxation: Amazon to Charge Missouri Sales Tax

Earlier this week, it was announced Amazon will begin charging Missouri sales tax as of February 1, 2017. The retailer will charge the state rate of 4.225 percent.

01/27/2017

Focus on Not-For-Profits: BBB Issues Scam Alert About QuickBooks Phishing Con

Recently the Better Business Bureau issued a scam alert about a phishing scam targeting small businesses.

01/27/2017

Focus on Small Business: BBB Issues Scam Alert About QuickBooks Phishing Con

Recently the Better Business Bureau issued a scam alert about a phishing scam targeting small businesses.

01/20/2017

Focus on Law Firms: Tax Implications for New Partners

The end of the calendar year usually coincides with law firms announcing partner promotions. When law firms are structured as partnerships, newly promoted partners can expect their tax situation to change for the 2017 filing year. For tax purposes, the partnerships report the firm income and the income “flows through” to the individual partners of the firm.

01/19/2017

Focus on Taxation: New Deadline of FinCEN Report 114 - Report of Foreign Bank and Financial Accounts (FBAR)

In 2015, Congress made significant revisions to the due dates for filing many important and common returns, including FinCEN Report 114, Report of Foreign Bank and Financial Accounts (known as the FBAR).

01/17/2017

Focus on Construction: News From the National Association of Home Builders 2017 Convention

RubinBrown recently attended the National Association of Home Builders (NAHB) International Builder’s Show in Orlando, Florida. As in prior years, the show is combined with the Kitchen and Bath Industry, International Window Coverings and International Surface Event Shows bringing the overall attendance to approximately 80,000.

01/17/2017

Focus on State and Local Taxation: Missouri Instructional Classes Update

During the 2016 veto session the Missouri legislature acted to protect taxpayers by overriding Governor Nixon’s veto of a senate bill related to the taxability of instructional classes.

01/16/2017

Focus on Not-For-Profits: Executive Compensation Policies and Best Practices

If you are familiar with Form 990, you are familiar with its question about compensation policies. Part VI, Section B of the 990, Question 15 asks if the organization’s process for determining the compensation of the organization’s top management official and other officers and key employees includes “a review and approval by independent persons, comparability data, and contemporaneous substantiation of the deliberation and decision.”

01/11/2017

Focus on Taxation: Update on Small Captive Insurance Companies

Current tax law allows business owners to create their own insurance company, to which the insured business makes premium payments and takes a deduction for those payments. If this insurance company, also commonly known as a “captive,” makes an election under Internal Revenue Code §831(b), net premiums received by the captive are not taxable.

01/09/2017

Focus on State and Local Taxation: You May Owe Personal Property Tax

Business owners may complete all the necessary forms and permits to operate their businesses but may be surprised to receive a property tax bill from their local jurisdiction. Personal property tax is an ad valorem tax, meaning the tax amount is set according to the value of the tangible property.

12/19/2016

Focus on Life Sciences & Technology: Staying Safe - The Ins & Outs of IRC 409A Safe Harbor Provisions

Equity based deferred compensation can be a great tool for companies looking to attract, retain and incentivize talent. It is especially potent for early stage companies who may not have the funding or cash flow to pay its employees at a market rate. Use of deferred equity compensation, such as stock options and stock appreciation rights (SARs) does carry some risk.

12/06/2017

Focus on State and Local Tax: Colorado EZ Credits Pre-Certifications

Every year, businesses may claim any of the Colorado Enterprise Zone (EZ) income tax credits; however, they must annually pre-certify with their local EZ Administrator in order to be eligible to claim these credits. Any qualifying activity/purchase taking place before pre-certifying will not qualify for the credit.

12/12/2016

Focus on Entrepreneurial Services: 1099 Best Practices

The new year brings more changes to the requirements for filing 1099s. Along with these changes, the IRS has also added additional penalties. We urge all our clients to adopt and implement strategies now, before the end of the year, to enable you to comply with the tighter deadlines. Developing a strategy now will provide efficiencies going forward for preparing or providing the information to have 1099s prepared.

12/09/2016

Focus on Not-For-Profits: Should Your Not-For-Profit Be Audited?

Many not-for-profits may wonder, “Is an audit necessary for our organization?” In reality, there is no one-size-fits-all answer to that question. There are several different levels of assurance services available to satisfy the varying needs of an organization. Some are much more in-depth than others, but all services can provide value to any not-for-profit organization.

12/08/2016

Focus on Fraud & Forensics: The Fraud Risk Management Guide

Organizations are continually faced with how to best address the risk of fraud. This challenge sometimes comes with uncertainties on what steps should be taken to assess the risk of fraud and what internal controls would be helpful to reduce the risk of fraud. Performing a Fraud Risk Assessment is a key step in evaluating the potential for fraud.

11/30/2016

Focus on Healthcare: Relief for Small Practices Under Final MACRA Ruling

In 2015 the Medicare Access and CHIP Reauthorization Act (MACRA) was passed which was a bipartisan agreement to move towards a value-based system of care. The Act would create a new approach to paying clinicians for the value and quality of care they provide. At the time of the Act’s passage nearly a year ago, it was unknown how it would be implemented or the exact details of how it would work.

11/28/2016

Focus on Taxation: New Overtime Rules Scheduled to Take Effect December 1 Postponed Indefinitely

On November 22, U.S. District Judge Amos Mazzant indefinitely postponed implementation of the United States Department of Labor (DOL) overtime rules originally set to go into effect on December 1.

11/16/2016

Focus on Taxation: 2016 Presidential Election Expected to Bring Tax Law Changes

President-elect Trump had made tax reduction a centerpiece of his economic plans during his campaign, saying he would, among other things, propose lower and consolidated individual income tax rates, expand tax breaks for families and repeal the Affordable Care Act.

11/14/2016

Focus on Fraud & Forensics: RubinBrown Joins Movement to Shine a Spotlight on Fraud

International Fraud Awareness Week kicks off November 13, 2016 worldwide. ACFE provides statistics and prevention checklist.

11/10/2016

Focus on Life Sciences & Technology: Precision Ag Improves Farm Profitability

A report issued by the U.S. Department of Agriculture’s Economic Research Service, looked at adoption rates for precision agriculture (PA) to investigate PA adoption and its impact on profitability.

11/10/2016

Focus on R&E Tax Credits: Research Credit Enhancements Provide New Opportunities

Has your company considered claiming the Research and Experimentation (R&E) tax credit, only to be told you couldn’t because of the Alternative Minimum Tax (AMT)? If so, recent federal tax law changes for small business owners make it worthwhile to take a fresh look at the R&E credit.

10/25/2016

Focus on Law Firms: 10 Ways Employees Can Steal from Your Law Firm and How Data Analytics Can Help You Detect Fraud

Every year, organizations lose an estimated 5% of revenue to fraud. While fraud can never be completely eliminated, controls can be implemented to drastically reduce the chance of fraud in your firm. Establishing a strong ethical culture and a zero tolerance policy for fraud is a good first line of defense. This culture can be supported through strong written policies and internal processes that embrace best practices and strong preventive controls.

10/18/2016

Focus on Cyber Security: October is Cyber Security Awareness Month

Training Resources to Reduce your Risk. We all need security awareness training. Whether you just know it, it is required for compliance or a recent security assessment recommended it, we all know we need more security awareness training. Great News! October is National Cyber Security Awareness Month!

10/17/2016

Focus on Life Sciences & Technology: 2016 Venture Capital Investment – Third Quarter Update

Third quarter 2016 U.S. venture capital (VC) results show a continuation of the downward trend in VC activity that started in mid-2015. Both investment and deals were down this quarter, with amounts invested dropping significantly, down 32% from the prior quarter and down 36% year-over-year. Third quarter investment of $10.6 billion was the lowest level of investment since the third quarter of 2014.

10/06/2016

Focus on Entrepreneurial Services: Tax Return Due Date Changes to the 2016 Tax Year (2017 Filing Season)

Legislation passed by Congress and signed into law by President Obama on July 31, 2015 has modified the tax filing due dates for taxable years starting after December 31, 2015.

09/28/2016

Focus on Cyber Security: Cyber Attest - The Changing Landscape

We are on the brink of a major shift in the cyber security landscape. Cyber attest allowing a focus on the entire cyber risk environment as well as a focus on particular systems. New proposed legislation, PCAOB discussions and new criteria from the AICPA on cyber attestation standards are all signs of impending changes that will require cyber security integration throughout the environment to provide transparency and assurance. Here are some of the proposed changes we believe could change the cyber security landscape.

09/21/2016

Focus on State and Local Taxation: Missouri Instructional Classes

During the recent 2016 veto session the Missouri legislature acted to protect taxpayers by overriding Governor Nixon’s veto of a senate bill related to the taxability of instructional classes. 

09/15/2016

Focus on Life Sciences & Technology: Highlights from the 2016 Ag Innovation Showcase

On September 12, 13 and 14, 2016, the Donald Danforth Plant Science Center hosted the 2016 Ag Innovation Showcase. There was a ton of great programming, sessions, and company presentations. Here are some of the highlights.

09/14/2016

Focus on State and Local Taxation: Arizona and Pennsylvania Tax Amnesty Programs

Arizona and Pennsylvania are offering tax amnesty programs to taxpayers. The Arizona program provides amnesty for individual and corporate income taxes for tax years ending before January 1, 2014 and transaction privilege (sales) taxes, including such taxes for program cities, for tax periods ending prior to February 1, 2015.

09/09/2016

Focus on Cyber Security: Protecting Against Cyber Extortion

Prevent, detect, recover and above all else prepare. Ransomware holding data hostage. Threats to release sensitive information. Disruptive denial-of-service attacks. All are extortion schemes used by cyber criminals to separate you from your money. Extortion schemes are not new, but cyber criminals are constantly looking for new ways to use our technology against us.

08/30/2016

Focus on Valuation: Proposed Regulations May Limit Valuation Discounts for Interests in Family-Controlled Entities

On August 4, 2016, the Internal Revenue Service released much-anticipated proposed regulations to Internal Revenue Code § 2704 (REG-163113-02) that would greatly impact or eliminate discounts when valuing transfers of interests of entities to family members. Valuation discounts are a significant component of estate planning.

08/25/2016

Focus on Construction: News from the National Associated General Contractors’ Financial Issues Committee Meeting

RubinBrown’s Construction Services Group recently attended the National Associated General Contractors’ (AGC) Financial Issues Committee meeting in Washington, D.C.

08/25/2016

Focus on Transportation and Dealerships: Enforcement Up, North Carolina Enacts Stricter Insurance Law

North Carolina has passed a new law that will allow increased enforcement on out-of-state commercial vehicle operators who illegally register vehicles by listing their place of residence or business in the state to take advantage of cheaper insurance rates.

08/24/2016

Focus on Real Estate: Affordable Housing & Veteran Homelessness

On August 1, the Department of Housing and Urban Development issued press release No. 16-117, following a related White House report from the day before. The articles describe the Obama Administration’s past, present and future plans to reduce overall veteran homelessness, and the results of those efforts to date.

08/23/2016

Focus on Not-For-Profits: ASU No. 2016-14, Presentation of Financial Statements of Not-For-Profit Entities

Accounting Standards Update (ASU) No. 2016-14, Presentation of Financial Statements of Not-for-Profit Entities, was released August 18, 2016 by the Financial Accounting Standards Board (FASB), with the ASU effective for annual financial statements issued for fiscal years beginning after December 15, 2017. As previously presented and discussed in our seminars, the changes in this ASU are the first significant changes to not-for-profit entities’ financial statement presentation in more than 20 years.

08/16/2016

Focus on Life Sciences & Technology: First Half 2016 AgTech Funding Highlights

AgFunder’s “AgTech Investing Report – Mid-Year 2016” was recently released. Here are some of the highlights we gleaned from the report.

08/16/2016

Focus on Construction: News from the National Association of Home Builders Mid-Year Board Meeting

RubinBrown recently attended the mid-year board meeting of the National Association of Home Builders as a member of the Business Management and Information Technology Committee.

08/11/2016

Focus On Not-For-Profits: Launch of RubinBrown's QuickBooks Software Users’ Group

RubinBrown is focused on helping our clients grow and providing resources to help achieve this growth. Because many organizations currently utilize QuickBooks, we are interested in sharing our expertise to help organizations get the most out of this software.

08/04/2016

Focus on State and Local Taxation: Missouri Delivery Charges

Earlier this week, the Missouri Department of Revenue mailed nearly 100,000 letters to taxpayers regarding delivery charges. The letters were mailed to notify taxpayers of a Missouri Supreme Court decision regarding the potential obligation to remit tax on delivery charges. Prior to the court ruling Missouri allowed separately stated shipping/delivery fees to be exempt from the tax base.

07/27/2016

Focus on Not-For-Profits: Is Your 501(c)(4) Organization Required to File Form 8976 by September 6, 2016?

On July 8, 2016, the Internal Revenue Service published regulations implementing Section 506 of the Internal Revenue Code. Section 506 requires that certain 501(c)(4) organizations notify the IRS within 60 days of when they are formed.

07/25/2016

Focus on Healthcare: MACRA – A Move to a Value-Based System of Care

In 2015 the Medicare Access and CHIP Reauthorization Act (MACRA) was passed which was a bipartisan agreement to move towards a value-based system of care. Prior to MACRA, physicians providing care to Medicare patients were subject to a reimbursement formula known as the Sustainable Growth Rate (SGR). The SGR was established to help control the rate of increases in physician spending and compared total spending among all Medicare-participating physicians to an overall budgeted target.

07/25/2016

Focus on Law Firms: Law Firm Merger Activity – An Update

For an increasing number of law firms, the pursuit of mergers and acquisitions has become a primary strategy for continued growth. Across the country, law firm leaders are finding that the demand for law services is flat and there was a record number of deals in 2015 as a result of heated competition among firms for new work.

07/21/2016

Focus on Life Sciences & Technology: 2016 Venture Capital Investment – Second Quarter Update

U.S. venture capital (VC) results for the second quarter present a mixed picture. On the one hand, capital raised increased significantly from Q1 2016, up 20% to $15.3 billion.

07/19/2016

Focus on Public Sector, Not-For-Profit and Colleges & Universities: New DCF Changes and Related Filing Extensions

On July 19, 2016, the U.S. Office of Management and Budget (OMB) released the newest version of the Data Collection Form (DCF) which incorporates changes that were needed to conform to the Uniform Administrative Requirements, Cost Principles and Audit Requirements for Federal Awards included in 2 CFR 200 (Uniform Guidance).

07/11/2016

Focus on Taxation: Safe Harbor to Deduct 75% of Remodeling Costs (Retailers and Restaurants)

Have you remodeled your retail facility or restaurant since January 1, 2014? Or do you intend to undertake such a project in the near future for such a facility? If so, and if you have an audited financial statement, a simplified procedure may be available to you to automatically deduct up to 75% of these costs.

07/07/2016

Focus on Cyber Security: Maintaining Security When Using Amazon Web Services

Moving data storage and processing to the cloud has been a growing trend for several years. As companies realize maintaining expensive computing infrastructure resources are no longer necessary, businesses are considering services like Amazon Web Services (AWS) to handle their infrastructure needs.

07/07/2016

Focus on Transportation and Dealerships: Proposed IRS Guidance Changes Transportation Equipment Taxes

The IRS issued proposed guidance focusing on retailer’s excise tax imposed on highway-type equipment, which if passed, would change the way certain transportation equipment is taxed. The proposed regulations help align the current regulations to properly reflect the current law. Additionally the regulations provide support for any buyer of an incomplete chassis cab that also confirms to the seller that he will not change the incomplete chassis cab into a taxable tractor.

07/05/2016

Focus on Taxation: Time Sensitive Opportunity - Work Opportunity Tax Credit (WOTC) Extension for 2015 and 2016

WOTC is a federal credit for employers that hire individuals from targeted groups and is currently extended through December 31, 2019. Back in March, the IRS issued guidance and transition relief with Notice 2016-22 as a result of the PATH Act extending the WOTC retroactively for 2015 and adding a new targeted group for Long-Term Unemployed Recipients effective January 1, 2016.

06/23/2016

Focus on Law Firms: Managing Law Firm Fraud Risks - An Internal Control Checklist

Although the majority of employees are honest, a trusted employee will steal when three elements exist: pressure, opportunity and rationalization.

06/02/2016

Focus on Taxation: Change to Minimum Salary Level to Qualify for Exempt Status

The Department of Labor (DOL) published its final rule concerning the minimum salary level necessary in most cases for an employer to qualify as exempt from overtime pay under the Fair Labor Standards Act (FLSA). In the absence of an exemption, the FLSA provides that an employee is entitled to receive pay at the rate of time and one-half for all hours worked over 40 in a week.

05/05/2016

Focus on Not-For-Profits: Federal Tax Legislation Impacts Exempt Organizations

Back in December, Congress passed, and the President signed into law, tax legislation as outlined below. Many provisions of this law directly impact Not-For-Profit entities and other provisions may have an indirect impact. The following summary of those provisions should be considered when planning for tax reporting for 2016.

05/04/2016

Focus on Life Sciences & Technology: 2016 Venture Capital Investment – First Quarter Update

U.S. venture capital (VC) investment was $12.1 billion in Q1 2016, up 1% over Q4 2015, but down 11% when compared to Q1 2015. On a national level, the slowdown in venture activity that began in the second half of 2015 (2015 Venture Capital Investment: Year in Review) appears to be continuing. Venture activity peaked in Q2 2015 and has steadily decreased since then.

04/14/2016

Focus on Law Firms: American Bar Association Opposes Proposal that Would Require Law Firms to Adopt Accrual Basis of Accounting

In a letter dated April 13, 2016, the American Bar Association (ABA) President Paulette Brown addressed the leaders of the House Ways and Means Subcommittee on Tax Policy. In the letter, she voiced opposition to the proposals that would require professional services firms to adopt the accrual basis of accounting as opposed to the more widely used and simpler cash basis method.

04/06/2016

Focus on Life Sciences & Technology: Highlights from the 2016 InvestMidwest Venture Capital Forum

On March 23 and 24, 2016, the InvestMidwest Venture Capital Forum was held in downtown St. Louis. The event featured dozens of early stage companies pitching to venture capital investors and was a great opportunity to showcase emerging companies in the life sciences, technology, and food/agriculture/bioenergy industries.

04/04/2016

Focus on Taxation: Time Sensitive Opportunity - Work Opportunity Tax Credit (WOTC) Extension for 2015 and 2016

WOTC is a federal credit for employers that hire individuals from targeted groups and is currently extended through December 31, 2019. The IRS recently issued guidance and transition relief with Notice 2016-22 as a result of the PATH Act extending the WOTC retroactively for 2015 and adding a new targeted group for Long-Term Unemployed Recipients effective January 1, 2016.

03/28/2016

Focus on Law Firms: Professional Corporations and Shareholder Compensation

A recent tax court decision was handed down to a law firm operating as a professional corporation (P.C.) in which the IRS held the firm liable for accuracy-related penalties for mischaracterizing payments made to shareholders. The firm initially paid amounts to shareholders and characterized them as year-end bonuses, the IRS argued they should have been classified as dividends. These dividends would have been taxable to the shareholders as well as not deductible by the corporation.

03/24/2016

Focus on Real Estate: Cantwell to Launch National Campaign to Increase Federal Resources for Affordable Housing & Homelessness

On March 23, 2016, the office of U.S. Senator Maria Cantwell (D-WA) issued a press release announcing an affordable housing initiative and unveiling the report “The Housing Tax Credit: Addressing the Challenges of Affordable Housing & Homelessness.”

03/04/2016

Focus on Taxation: New Foreign Financial Asset Reporting Requirements

The IRS has recently issued new regulations which require "specified domestic entities" to report its interest in certain foreign financial assets on Form 8938, Statement of Foreign Financial Assets. The penalty for non-compliance is $10,000 per year.

03/03/2016

Focus on Cyber Security: U.S. Government Ramping Up on Cyber Security

The Cyber Security National Action Plan – what to expect. On the surface the news of the Cyber Security National Action Plan sounds impressive – increasing the federal government’s investment in cyber security by 35% to $19 billion and creating a Federal Chief Information Security Officer position.

02/26/2016

Focus on Assurance: Financial Reporting Over Lease Transactions

The Financial Accounting Standards Board (FASB) has released an Accounting Standards Update (ASU) designed to improve financial reporting over lease transactions. The ASU will impact all companies and other organizations that lease assets, including real estate, equipment and other personal property.

02/16/2016

Focus on Cyber Security: Your Internet Explorer Could Be Exposed

Microsoft Ending Support for Internet Explorer 8, 9 and 10.

Why do you need to care Microsoft ended support on Internet Explorer 8, 9 and 10 on January 12, 2016? We all use web browsers all the time. In fact, you may be reading this with a web browser right now. If you, or your organization, still use any of those versions of Internet Explorer you will no longer receive patches and updates, putting your system and organization at risk.

02/11/2016

Focus on Life Sciences & Technology: 2015 Venture Capital - A Year in Review

In 2015, venture capital (VC) investment reached its highest level since 2000 (but deal count dropped slightly from 2014). According to PriceWaterhouseCoopers’ and the National Venture Capital Association’s MoneyTree™ Report, VC investment in the United States increased 16% in 2015 to $58.8 billion, up from $50.8 billion in 2014 (See our 2014 Year in Review)

02/11/2016

Focus on Risk Services: Changes in Internal Auditing Standards

The Institute of Internal Auditors (IIA) has unveiled proposed changes to its International Standards for the Professional Practice of Internal Auditing (Standards), and announced a 90-day exposure period — February 1 to April 30 — for public comment.

02/05/2016

Focus on Gaming: Cyber Security - Address compliance as part of an Organization Security Program

Hyatt Hotels Corporation’s announcement that guest payment card information was likely accessed by unknown cyber criminals from 250 hotels across the world between August 13 and December 8, 2015, is a reminder of how important cyber security is to your organization.

01/27/2016

Focus On Construction: News From The National Association Of Home Builders 2016 Convention

RubinBrown recently attended the NAHB International Builder’s Show in Las Vegas.

01/26/2016

Focus on Taxation: IRS Provides Relief to Missouri Storm Victims

On January 22, 2016, the Internal Revenue Service (IRS) announced that Missouri storm victims will receive tax relief.

01/25/2016

Focus on Gaming: Monthly Digital Analysis of Commercial Gaming Revenues

RubinBrown’s Gaming Services Group Recently launched a new service – a monthly digital analysis offering valuable revenue stats (both on a national and regional level) and trend insight on the commercial gaming industry.

01/20/2016

Focus on Law Firms: Tax Implications for New Partners

The end of the calendar year usually coincides with law firms announcing partner promotions. When law firms are structured as partnerships, newly promoted partners can expect their tax situation to change for the 2015 filing year.

01/20/2016

Focus on Entrepreneurial Services: 1099 Information Return Requirements & 2016 Payroll Tax Guide

What to Report in 2015 — Payments of $600 or more to individuals, sole proprietorships or partnerships for rent, prizes or awards, or services rendered for a trade or business by individuals, sole proprietorships and partnerships not treated as their employees.

01/18/2016

Focus on Healthcare: CMS Releases 2016 Calendar Year Changes to the Medicare Physician Fee Schedule

In November, the Centers for Medicare & Medicaid Services (CMS) released the new Physician Fee Schedule (PFS). The PFS sets forth the payments physicians and other practitioners receive for their various services, including but not limited to, office visits, surgical procedures, diagnostic tests and certain preventative services. Payments are based on the relative resources that are typically necessary to provide a service. Relative value units are applied to each service provided by the physician, in addition to factoring in practice expense and malpractice.

01/14/2016

Focus on Healthcare: Affordable Care Act Reporting Deadline Extension for Forms 1094 and 1095

The U.S. Treasury and Internal Revenue Service recently extended the 2015 Affordable Care Act (ACA) information reporting deadlines to give employers and payroll service providers more time to fulfill these requirements.

01/07/2016

Focus on Construction: Tax Deductions Restored

On December 18, 2015, Congress passed the Protecting Americans from Tax Hikes Act of 2015 or the PATH Act. This law includes several tax breaks that are beneficial to construction companies and homebuilders.

01/04/2016

Focus on Transportation & Dealerships: President Obama Signs 5-Year Highway Bill

On December 4, 2015, President Obama signed a five-year, $305 billion highway reauthorization bill that will reform a safety performance scoring program for motor carriers and pave the way for employers to rely on alternative testing to screen prospective drivers.

01/04/2016

Focus on R&E Tax Credits: Made Permanent with Improvements Coming in 2016

The Research & Experimentation Tax Credit, also referred to as the “R&E” or “Research” tax credit incentivizes companies to invest in people and technology that can lead to growth in revenues and profitability, as well as to promote job retention and expansion. The credit focuses on three types of expenditures: qualified wages, supply costs and contract research.

Since its inception in the 1980’s, the research credit (along with other so-called “tax extenders”) has existed on a renewable basis; usually for two years, but only for one year in 2014. This made it challenging for companies to track the eligible expenditures for the credit, since it was not known if the credit would be in place when it came time to file for it.

12/28/2015

Focus on Public Sector: Government Finance and Accounting

Within the last week, multiple events have occurred that will affect public sector entities nationwide. Notably, the Federal Reserve, displaying optimism with regards to the U.S. economy’s growth prospects, announced that it would be raising short-term interest rates for the first time since 2006.

12/23/2015

Focus on Not-For-Profits: IRS Proposal to Provide Social Security Numbers of Donors Causes Concern

An IRS Proposed Regulation issued in September concerning donor disclosure options for tax-exempt organizations has caused concern in the charitable giving world.

12/22/2015

Focus on Taxation:  President Obama Signs Tax Extenders Bill

On Friday, December 18, President Obama signed into law the Protecting Americans from Tax Hikes (PATH) Act of 2015.

12/21/2015

Focus on Gaming: Q3 Revenues Set an All-Time High

Organic growth has pushed the gaming industry to record highs. The third quarter of 2015 produced $9.7 billion in gaming revenues which set an all-time high for quarterly gaming revenue performance.

12/08/2015

Focus on Colleges & Universities: Cloud Computing Fees Impact on Higher Education

On April 15, 2015, FASB issued Accounting Standards Update 2015-05, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Fees Paid in a Cloud Computing Arrangement, as part of its simplification initiative to reduce the diversity in practice, and to reduce the costs and complexity of assessing fees paid in a cloud computing arrangement (CCA).

12/07/2015

Focus on Taxation: 2015 Year-End Tax Planning

As we head into the last month of the calendar year, it is important to take note of the over 50 “temporary” individual and business tax provisions that have expired and may or may not be extended and retroactively reinstated before the end of the year.

12/04/2015

Focus on Social Security: Changes Coming with the Bipartisan Budget Act of 2015

Since the passage of the Senior Citizens Freedom to Work Act of 2000, social security beneficiaries were allowed to employ the “File and Suspend” and “Restricted Application” strategies, either exclusively or in conjunction, to attempt to maximize their social security benefits. The Bipartisan Budget Act of 2015 contained changes to the Social Security program that eliminated these claiming strategies.

12/02/2015

Focus on Vendor Management: AICPA Changes to Test Vendor/Service Organization Security, SOC 2–What Service Organizations Need to Know

The American Institute of Certified Public Accountants (AICPA) recently released an updated Service Organization Controls (SOC®) 2 attest guide: Reporting on Controls at a Service Organizations Relevant to Security, Availability, Processing Integrity, Confidentiality, or Privacy (SOC® 2) July 1, 2015.

11/23/2015

Focus on Law Firms: The Current State of Law Firm Cybersecurity

A survey conducted by the American Bar Association (ABA) finds that attorneys are reporting more instances of security breaches within their information technology systems.

11/17/2015

RubinBrown and the CORTEX Innovation Community—1 Year Later

RubinBrown recently celebrated the one year anniversary of its CORTEX Innovation Community office opening. RubinBrown officially opened its satellite office at CIC in the @4240 building in October 2014.

10/27/2015

Focus on Assurance: Changes You’ll Note On Reviews & Compilations

The AICPA Accounting & Review Services Committee released new standards for accounting and review services, titled SSARS No. 21, Statement on Standards for Accounting and Review Services: Clarification and Recodification.

10/21/2015

Focus on Life Sciences & Technology: 2015 Venture Capital Investment - Third Quarter Update

Venture capital (“VC”) investment experienced pull back in the third quarter, following an exceptional second quarter in 2015 and an overall remarkable year so far.

10/19/2015

Focus on Law Firms: The Growing Trend of Law Firm Mergers

In 2013, there were 88 mergers of law firms in the U.S. and that was the most on record at the time. Nearly two years later, law firm mergers and acquisitions continue at a record pace.

10/14/2015

Focus on Manufacturing & Distribution: Takeaways From the AICPA Manufacturing Conference

Partners Jim Mather and Russ White joined several hundred manufacturing industry professionals to gain additional insights and perspectives on the global manufacturing industry. The conference confirmed many of the economic opportunities and challenges that clients are facing today within the local, national and global markets.

10/05/2015

Focus on Life Sciences & Technology: Considerations for the Valuation of Early Stage Entities – Part 3

Part 3 of the series covers specific valuation approaches that can be utilized for early stage companies.

10/01/2015

Focus on Home Builders: News from NAHB’s Fall Board Meeting

RubinBrown recently attended the National Association of Home Builders (NAHB) Fall Board meeting as a member of the Business Management and Information Technology Committee held in Dallas. Some of our observations are highlighted.

09/29/2015

Focus on Gaming: Growth Continues Through the First Six Months of 2015

In the first and second quarters of 2015, the U.S. commercial gaming industry generated $19.18 billion, a 2.7 percent increase over the same six month period in 2014.

09/25/2015

Focus on Manufacturing & Distribution: Summits Summary

RubinBrown was the proud sponsor of the Manufacturing & Distribution Summits in St. Louis and Kansas City—August 26 & 27. Manufacturing and Distribution is an important industry to RubinBrown and we were very pleased to have several hundred clients and guests attend the event to hear from a great lineup of speakers. The following is a brief summary of the key points from the event.

09/21/2015

Focus on Life Sciences & Technology: Highlights from the 2015 Ag Innovation Showcase

On September 14-16, 2015 the Donald Danforth Plant Science Center hosted the 2015 Ag Innovation Showcase. Here are the highlights we took away from the event.

09/08/2015

Focus on Not-For-Profits: Membership Dues or Contributions?

Does your organization have members? Are you sure? You may be surprised to find out you really have contributors. But how can you tell the difference? The Financial Accounting Standards Board (FASB) comes to your rescue in its Accounting Standards Codification (ASC) for not-for-profit entities. FASB ASC 958-605-55, covering revenue recognition, provides implementation guidance and illustrations.

08/28/2015

Key Takeaways from Attract Funding: Stand Out in Front of St. Louis Venture Capitalists

On Thursday, August 27, RubinBrown hosted a panel of St. Louis venture capitalists at Venture Café. Steven Harris, Partner-In-Charge of RubinBrown’s Entrepreneurial Services Group, facilitated a panel discussion featuring Jennifer Ehlen of Prosper Capital, Carter Williams from iSelect Fund, Kyle Welborn from Cultivation Capital and Scott Bernstein of Lewis & Clark Ventures.

The following are highlights from what was a great, interactive discussion.

08/28/2015

Focus on Public Sector: Additional Disclosures for Government Tax Incentives Now Required

On August 14, the Governmental Accounting Standards Board (GASB) issued Statement No. 77 (Statement 77), Tax Abatement Disclosures. The purpose of this statement is to provide financial statement users with further information related to a government’s tax abatement agreements.

08/26/2015

Focus on State and Local Taxation: Alabama Enacts Factor Presence Nexus Standard

Governor Bentley signed legislation establishing a factor presence nexus standard for business activity, effective for tax years beginning after December 31, 2014, for purposes of business privilege taxes, income taxes, and financial institution excise taxes.

08/25/2015

Focus on State and Local Taxation: Kansas Credit for Taxes Paid to Other States to Include Earnings Tax

Based on the recent Supreme Court Ruling, Comptroller of Treasury of Maryland v. Wynne, the Kansas Department of Revenue has advised the Kansas Legislature that they are now interpreting the Kansas Statute allowing credit for taxes paid to other states to include the Kansas City, Missouri earnings tax.

08/21/2015

Focus on Healthcare: CMS Issues Proposed Changes to Medicare Physician Fee Schedule

The Centers for Medicare & Medicaid Services (CMS) issued a proposed rule on July 8, 2015, updating payment policies, payment rates and quality provisions for services furnished under the Medicare Physician Fee Schedule (PFS) for calendar year 2016.

08/07/2015

Focus on State and Local Taxation:  Nevada Commerce Tax Enacted and Modified Business Tax Amended

Governor Sandoval signed legislation enacting a commerce tax based on gross revenue assigned to the state of Nevada.  This annually collected tax applies to entities engaged in business in Nevada who have over $4 million of Nevada gross revenue in the fiscal year of July 1st through June 30th. 

08/06/2015

Focus on Valuation: Proposed Regulations May Limit Valuation Discounts for Interests in Family-Controlled Entities

Recent developments suggest that the IRS has once again prioritized its intent to limit the tax benefits afforded to FLPs and LLCs when transferring minority interests amongst family members.

08/05/2015

Focus on Taxation:  Accelerated Deduction Opportunities

Have you addressed the requirements and evaluated the related opportunities afforded to your business under the Tangible Property Regulations (TPRs)?

07/30/2015

Focus on Life Sciences & Technology: 2015 Venture Capital Investment - Second Quarter Update

Venture capital (VC) investment experienced the strongest quarter in terms of dollars invested since the fourth quarter of 2000, after an exemplary first quarter and an overall remarkable 2014 as both dollars invested and number of deals reached levels not seen in over a decade.

07/24/2015

Focus on State and Local Taxation: Kansas Tax Amnesty Program

Kansas has enacted a 2015 tax amnesty program. This program provides amnesty for all penalties and interest on unpaid taxes through December 31, 2013, if paid in full during the amnesty period of September 1, 2015 through October 15, 2015.

07/23/2015

Focus on Gaming: RubinBrown Published in Casino Journal - First Quarter Review

RubinBrown's Gaming Services team published its most recent industry update in the July edition of Casino Journal, a leading gaming industry trade journal. The update explains in depth why the calm winter and reviving economy yield strong first quarter commercial gaming revenue numbers.

07/21/2015

Focus on Public Sector: GASB Releases Exposure Draft on Accounting For Irrevocable Split-Interest Agreements

On June 2 the GASB issued an exposure draft that provides guidance for irrevocable split-interest agreements.  Split-interest agreements are a specific type of giving arrangement used by donors to provide resources to two or more beneficiaries, including governments. Split-interest agreements can be created through trusts or equivalent arrangements under which a donor transfers resources to an intermediary to hold and administer for the benefit of the government and at least one other beneficiary.

07/17/2015

Focus on Construction: Update From the AGC Meeting

RubinBrown’s Construction Services Group recently attended the National Associated General Contractors’ (AGC) Financial Issues Committee meeting in Colorado Springs, Colorado.

An economic update provided by Ken Simonson, the AGC’s chief economist noted that jobs continue to be added in every segment of both residential and nonresidential construction with growing demand for both public and private sector services.

07/15/2015

Focus on State and Local Taxation: Missouri Legislative Update

On July 6, 2015 Governor Nixon signed several bills into law, House Bills 517, 613, 616 and Senate Bill 18. This legislation amends a variety of tax provisions.

07/09/2015

Focus on State and Local Taxation: Indiana Tax Amnesty Program

Governor Pence recently signed a bill creating a tax amnesty program. This program provides amnesty for penalties, interest, and other collection fees, as well as, the release of tax liens, and protection from civil or criminal prosecution on unpaid taxes through December 31, 2012, if paid in full during the amnesty period of September 15, 2015 through November 16, 2015. 

07/07/2015

Focus on Public Sector: GASB Issues Statements Significantly Modifying Financial Reporting for Other Post-Employment Benefits (OPEB)

While the implementation of Governmental Accounting Standards Board (GASB) Statement No. 68 (Statement 68), Accounting and Financial Reporting for Pensions, is currently top-of-mind for many governments this year, the GASB continues to issue new statements that also will significantly impact financial reporting for governments.  In particular, two recent statements addressing other post-employment benefits (OPEB) will dramatically change the way that OPEB is accounted for and presented within governmental financial statements.

06/30/2015

Focus on Transportation & Dealerships: Don’t Think You’re too Small to be Targeted by Cyber Attacks

According to the 2015 Cost of Data Breach Study by the Ponemon Institute, more than 70% of all breaches last year were caused by malicious attacks or human error. Many of these were simple mistakes made by employees unaware of what they were doing.

06/29/2015

Focus on State and Local Taxation: Tennessee Revenue Modernization Act

On May 20, 2015, Governor Bill Haslam signed the Revenue Modernization Act. The Act expands the definition of nexus, changes sourcing rules for franchise and excise tax purposes, places greater weight on the sales factor for franchise and excise tax purposes, and makes other changes.

06/24/2015

Focus on State and Local Taxation: Kansas Tax Changes

Kansas lawmakers have enacted broad tax law changes to balance the state’s $400 million budget shortfall.  Below is a summary of the tax plan passed, which passed in two different bills, H.B. 2109 and S.B. 270, effective July 1, 2015 and applicable as noted.

06/17/2015

Focus on Healthcare: Refresher on the Affordable Care Act and What’s Required for 2015

As we head into the last half of the year, it is important to understand and prepare for the employer reporting requirements of the Affordable Care Act. Many pivotal elements of this law went into effect at the beginning of 2014. While employer information reporting was optional for calendar year 2014, it will become mandatory for all applicable large employers starting in early 2016 for calendar year 2015.

06/11/2015

Focus on Not-For-Profits: FASB’s Proposed Changes to the Not-for-Profit Financial Statement Reporting Model

On April 22, 2015, FASB issued an exposure draft of proposed accounting standards updates that would substantially revise the format and content of the financial statements of not-for-profit organizations, which can be grouped into four broad categories: net asset classification, statement of activities presentation, statement of cash flow presentation or liquidity information.

06/09/2015

Focus on Gaming: Active Cyber Security Threats

Hotels, casinos and resorts are increasingly targeted by cyber criminals using a variety of means to access private data. Recent communications from the FBI indicate Point of Sale (POS) malware is still a significant threat and cyber criminals are using this attack method to infect networks, extract data, and quickly sell the data on cyber criminal markets. 

06/08/2015

Focus on Law Firms: Ransomware is on the Rise

Ransomware is increasingly targeting law firms and the number of victims around the world is growing. Recent news articles state more than 600,000 victims worldwide have been infected.

06/05/2015

Focus on Healthcare: All Healthcare Organizations Are Targets of Cyber Breaches

The largest healthcare security breaches lately have been at payer organizations (e.g., Anthem). The recently announced Beacon Health System breach of 220,000 patient records is evidence that providers are equally targeted. In fact, providers are targeted far more often as cyber criminals go after providers large and small in order to gain access to personally identifiable information and personal healthcare information. 

06/03/2015

Focus on Transportation & Dealerships: Bigger, Better, Faster - Fleet Telematics

Technology and the way its used is constantly and rapidly changing. With these changes come new trends. Fleet telematics are no exception as the technological advances make the possibilities seem endless.

06/02/2015

Focus on State and Local Taxation: Oklahoma Tax Amnesty Program

Governor Fallin recently signed a bill creating a tax amnesty program. This program provides amnesty for penalties, interest, and other collection fees on unpaid taxes through December 31, 2014, if paid in full during the amnesty period of September 14, 2015 through November 13, 2015.  

05/20/2015

Focus on Life Sciences & Technology: Considerations for the valuation of early stage entities – Part 2

In Part 1, we talked about what questions should be answered to help frame the valuation. Identifying the purpose, perspective, and audience will help you establish the type of valuation needed and the appropriate level of effort.

05/18/2015

Focus on Healthcare: Employers with UNDER 50 FTE’s: June 30, 2015 ACA Deadline

For employers with under 50 full time equivalents, June 30, 2015 is the deadline for transitioning employees over to the SHOP marketplace or other insurance that meets the market reform requirements of the Affordable Care Act.

05/13/2015

Focus on State and Local Taxation: Missouri Tax Amnesty Program

Governor Nixon recently signed a bill creating a tax amnesty program and other tax provisions. This program provides amnesty for penalties, additions to tax and interest on unpaid income, sales, withholding, and franchise taxes through December 31, 2014, if paid in full during the amnesty period of September 1, 2015 through November 30, 2015.

05/12/2015

Focus on State and Local Taxation: Single-Sales Factor Election Available to all Missouri Taxpayers

Governor Nixon, on May 6, 2015, signed into law Senate Bill 19 which clarified an existing statute to allow all Missouri companies, including those receiving income from sources other than the sale of tangible personal property, to use the single-sales factor apportionment election enacted in July 2013.

04/30/2015

Focus on Life Sciences & Technology: 2015 Venture Capital Investment - First Quarter Update

Venture capital (“VC”) investment experienced pull back in the first quarter, following an exceptional 4nd quarter last year and an overall remarkable 2014 as both dollars invested and number of deals reached levels not seen in over a decade  (see our 2014 Venture Capital Investment: Year in Review).  According to the PricewaterhouseCoopers / National Venture Capital Association MoneyTree™ Report, VC activity in the United States decreased about 10% in the first quarter of 2015 to $13.4 billion, down from $14.9 billion in the fourth quarter of 2014.  Although, a substantial decrease from the fourth quarter, market participants can still be optimistic as activity in the first quarter is up 26% year-over-year.

04/28/2015

Focus on Transportation and Dealerships: No Tax Homes for Long-Haul Truck Drivers

The United States Tax Court recently upheld the Internal Revenue Service’s (IRS) determination that a long-haul truck driver could not deduct unreimbursed travel expenses because he was not away from home, as he did not have a tax home.

04/23/2015

Focus on Not-For-Profits: FASB Issues Exposure Draft on Presentation of Financial Statements of Not-for-Profit Entities

On April 22, 2015, the Financial Accounting Standards Board (FASB) issued a proposed Accounting Standards Update, Presentation of Financial Statements of Not-for-Profit Entities.

04/03/2015

Focus On Revenue Recognition:  FASB Votes To Propose Deferring Effective Date Of ASU 2014-09

The Financial Accounting Standards Board (FASB) has voted to propose deferring the effective date for the new revenue recognition standard established by Accounting Standards Update (ASU) 2014-09.  This deferral would apply to both public and nonpublic entities.

03/06/2015

Focus on Healthcare: Supreme Court Hears Arguments in Affordable Care Act Subsidies Case

This week the Supreme Court heard arguments in King v. Burwell, a case centered on the issue of the constitutionality/legality of insurance premium subsidies received by individuals purchasing health insurance on the federally run health insurance exchange.

02/27/2015

Focus on Manufacturing & Distribution: Final Tangible Property Regulations in Relation to Property Tax

The Final Tangible Property Regulations address a broad range of capitalization and deduction issues related to tangible property that will impact almost all industries with tangible property, whether owned or leased, including manufacturing and distribution. Specifically, the new rules may provide state and local tax planning opportunities to the manufacturing and distribution industry.

02/24/2015

Focus on Taxation: Time Sensitive Opportunity - Work Opportunity Tax Credit (WOTC) Extension for 2014

The IRS recently issued guidance and transition relief with Notice 2015-13 for those employers claiming the WOTC through December 31, 2014.  The WOTC is a Federal credit for employers that hire individuals from specific targeted groups.

02/19/2015

Focus on Healthcare: New Guidance on Health Coverage Reimbursement Including Employers Increasing Employee Compensation to Allow Employees to Purchase Health Insurance

IRS, DOL, HHS issue further guidance on certain health coverage reimbursement arrangements – including guidance on rules around employers increasing employee compensation to allow employees to purchase their own health insurance.

02/05/2015

Focus on Not-For-Profits: Private Foundations Must Meet the 5% Annual Distribution Requirement While Ensuring the Long-Term Viability of Their Investment Portfolios

Private foundations face a challenge that other foundations and not-for-profit organizations do not. Perhaps the most significant of these is the requirement that private foundations distribute 5% of the fair market value of their assets each year.

02/02/2015

Focus on Life Sciences & Technology: Considerations for the Valuation of Early Stage Entities – Part 1

You’ve probably heard this before, but valuation is both an art and a science. The type of asset, the nature of the valuation, and the purpose of the valuation will dictate how much of that blend is weighted towards art or science.

01/29/2015

Focus on Manufacturing & Distribution: Tangible Property Regulations

All taxpayers that have capital expenditures or incur repair and maintenance costs are impacted by the tangible property regulations that were finalized in September of 2013. These regulations provide guidance regarding the capitalization of the costs to acquire, maintain or improve tangible property and are effective for tax years beginning on or after January 1, 2014.

01/28/2015

Focus on State & Local Taxation: Delaware Franchise Tax May be Reduced by Using Alternative Calculation

Corporations formed in Delaware, regardless of where headquartered or operating, are subject to an annual franchise tax for the privilege of being incorporated in the state.

01/26/2015

Focus on Construction: News & Notes from the International Home Builders Show

Judging by the nearly 125,000 people in attendance at the Home Builders International Builders Show, the home building industry is on its way back to recovery.

01/22/2015

Focus on Life Sciences & Technology: 2014 Venture Capital Investment - A Year in Review

Venture capital activity soared in 2014, with both deals and dollars reaching levels not seen in over a decade.

01/16/2015

Focus on Construction: Update From the AICPA Construction Industry Conference

RubinBrown’s Construction Group recently attended the AICPA’s Construction Industry Conference in Las Vegas, NV. The annual conference focused on instructive guidance for CPA’s in public practice, CFO’s, controllers and other construction industry specialists.

01/12/2015

Focus on Manufacturing & Distribution: Unique Opportunities with UNICAP for 2014 Tax Returns

In recent years, the IRS has dramatically stepped-up its examination activity around the Uniform Capitalization of Inventory rules (UNICAP). Most taxpayers in the manufacturing and distribution industries can benefit from a UNICAP review to proactively identify potential UNICAP exposures before the IRS has a chance to do so upon exam.

01/09/2015

Focus on Law Firms: Tax Implications for New Partners

The end of the calendar year usually coincides with an important time in many law firms – partner promotions. In law firms structured as partnerships, newly promoted partners can expect their tax situation to change for the 2015 filing year. This is primarily due to the way partnerships report income and how the income “flows through” to partners of the firm.

01/07/2015

Focus on Taxation:  What To Do If You Receive Correspondence From a Foreign Bank Asking for Personal Information

Many RubinBrown clients with bank accounts or other financial assets offshore have been receiving correspondence from the institutions holding those assets asking for personal information such as US social security numbers.  This article covers why you may receive these letters and what to do after you receive one.

12/29/2014

Focus on Private Company Financial Reporting: FASB Issues Accounting Standards Update for Private Companies

The Financial Accounting Standards Board (FASB) has issued an update to U.S. Generally Accepted Accounting Principles that provides an alternative for private companies on accounting for intangible assets acquired in a business combination.

12/18/2014

Focus on Construction: Update From the Joint AGC/CFMA National Conference

RubinBrown’s Construction Group recently attended the Joint AGC/CFMA National Conference in Las Vegas, NV.

12/18/2014

Focus on Not-For-Profits: Protecting Your Religious Organization Against Fraud and Abuse

Despite numerous reports of fraud and abuse, most religious organizations are reluctant to admit that they could find themselves a victim of fraud by one of their own members or employees.

Religious institutions strive to build a trusting relationship with their members and employees that are built on the foundation of religious beliefs. This environment, coupled with tight budgets and limited financial oversight, makes religious organizations particularly vulnerable to fraud.

12/18/2014

Focus on Taxation:  One Year Extenders Package

On December 19, the President signed into legislation the Tax Increase Prevention Act of 2014.  The package includes provisions that extend for one year retroactively to January 1, 2014 and through December 31, 2014, some 54 expired tax provisions.  

12/15/2014

Focus on Healthcare: New Guidelines Issued Regarding Employer Compliance with Affordable Care Act

Recently, the United States Department of Labor (DOL), the Internal Revenue Service (IRS) and the Department of Health and Human Services (DHHS) issued new guidance to deter implementation of certain strategies being marketed to employers that reduce costs associated with complying with the requirements of the Affordable Care Act.

12/12/2014

Focus on Life Sciences & Technology: Implement IP Best Practices As You Turn Innovation Into Commercialization

Turning intellectual capital, i.e., what’s in your brain, into intellectual property (“IP”), i.e., a legally protected, transferable asset is not cheap. Organizations invest time, focus and capital to protect innovation through patents, trade secrets and other means.

12/02/2014

Focus on Construction: News From the CFMA Heartland Conference

RubinBrown’s Construction Services Group recently attended the Construction Financial Management Association (CFMA) Heartland Conference in Council Bluffs, Iowa.

There was a busy slate of speakers at the conference covering a range of topics including technology innovation within the construction industry, creating an innovative workplace, and key performance metrics for construction companies.

12/01/2014

Focus on Taxation: Reminders for Year-End Charitable Gifts

The Internal Revenue Service (in IR-2014-110) recently reminded individuals and businesses making year-end gifts to charity that several important tax law provisions have taken effect in recent years.

11/14/2014

Focus on Fraud & Forensics: RubinBrown Joins Movement to Shine a Spotlight on Fraud

Fraud costs organizations worldwide an estimated 5% of their annual revenues, according to a study conducted by the Association of Certified Fraud Examiners (ACFE). If applied to the 2013 estimated Gross World Product, this translates to a potential projected global fraud loss of nearly $3.7 trillion.

11/13/2014

Focus on Taxation:  2014 Year-End Tax Planning

Year-end tax planning for 2014 must consider many important “temporary” tax provisions that have expired and may not be retroactively reinstated and extended before the end of the year. With the election now passed, Congress may or may not act to extend or reinstate various beneficial tax provisions.  

11/04/2014

Focus on Law Firms: Recouping Investments in Your Information Technology Department

Increasing information security of sensitive data is a topic that is resonating throughout the legal profession. The growing rate of attorneys electronically transmitting and maintaining sensitive information increases a law firm’s risk surrounding its information security and controls. This risk factor is becoming a principal concern within the legal profession.

10/23/2014

Focus on Not-For-Profits: Consolidation Considerations

As competition has increased in attracting donor funding, many not-for-profit organizations have looked to create separate partnerships and ventures in order to better serve their constituents. When these new entities are created, organizations must evaluate whether generally accepted accounting principles require these entities to be consolidated for financial statement presentation. Whether a not-for-profit should consolidate a related entity depends on two factors: economic interest and control.

10/23/2014

Focus on Life Sciences & Technology: 2014 Venture Capital Investment Q3 Update

Venture capital (“VC”) investment experienced pull back in the third quarter, following an exceptional second quarter and a robust first half of 2014. According to the PricewaterhouseCoopers / National Venture Capital Association MoneyTree™ Report, VC activity in the United States decreased about 24% in the third quarter to $9.9 billion, down from $13.0 billion in the second quarter.

10/22/2014

Focus on Transportation and Dealerships: Report of Cash Payments Over $10,000

Each person engaged in a trade or business that, in the course of that trade or business, receives more than $10,000 in cash in one transaction or in two or more related transactions, must file Form 8300. 

10/06/2014

Focus on Transportation and Dealerships: Illinois Criminal Background Checks 

A new Illinois law prohibits employers from inquiring into a prospective employee’s criminal background on its application or during the early stages of application review.

09/24/2014

Focus on Life Sciences:  RubinBrown Selected To Perform Life Sciences Census Project

RubinBrown is proud to announce that it has been selected by the Heartland Civic Collaborative (“HCC”), in collaboration with BioKansas, Bio Nebraska, BioSTL, IowaBio, Kansas City Area Life Sciences Institute, Inc., and MOBIO, to perform a census of life science assets in the four state region comprised of Iowa, Kansas, Missouri, and Nebraska.

09/23/2014

Focus On Going Concern Uncertainties: FASB Issues Accounting Standards Update

The Financial Accounting Standards Board (FASB) has issued Accounting Standards Update (ASU) 2014-15, Presentation of Financial Statements—Going Concern (Subtopic 205-40): Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern.  The ASU is intended to define management’s responsibility to evaluate whether there is substantial doubt about an entity’s ability to continue as a going concern and to provide related footnote disclosures.

09/10/2014

Focus on Healthcare: Federal Appeals Courts Issue Conflicting Rulings on Healthcare Law

Recently, two federal courts (Court of Appeals for the District of Columbia and Court of Appeals for the Fourth Circuit in Richmond, Virginia) issued conflicting rulings with respect to whether consumers who meet certain income criteria can continue to receive government subsidies for health care coverage bought on the Affordable Care Act’s federal exchange.

09/09/2014

Focus on Public Sector: GASB OPEB Exposure Drafts

The Governmental Accounting Standards Board (GASB) intends to make sweeping changes to the way governments account for other-post employment benefits (OPEB), similar to GASB’s recent changes to the way governments account for pension plans.

09/08/2014

Focus on Law Firms: Tangible Property Regulations – Time for Action

All taxpayers that have capital expenditures or incur repair and maintenance costs will be impacted by the Tangible Property Regulations that go into effect for tax years beginning on or after January 1, 2014.

08/25/2014

Focus on Taxation: Significant Tax Savings Opportunities with the Tangible Property Regulations 

All taxpayers that have capital expenditures or incur repair and maintenance costs will be impacted by the tangible property regulations that go into effect for tax years beginning on or after January 1, 2014.

08/22/2014

Focus on Transportation and Dealerships: Tangible Property Regulations – Time for Action

All taxpayers that have capital expenditures or incur repair and maintenance costs will be impacted by the Tangible Property Regulations that go into effect for tax years beginning on or after January 1, 2014.  For calendar year taxpayers, the last quarter of 2014 is a great time to take action to make the changes required by the Regulations and take advantage of opportunities that they provide.

08/12/2014

Focus on Life Sciences & Technology: Internal Controls

As your start-up or early stage company grows, and you begin adding team members to the employee roster, it is worth considering your internal control environment to ensure that you are protecting the company and its prospects for long-term success.

07/21/2014

Focus on Life Sciences & Technology: 2014 Venture Capital Investment Q2 Update

Venture capital (“VC”) investment gained steam in the second quarter, building upon an already robust start in the first quarter of 2014. According to the PricewaterhouseCoopers / National Venture Capital Association MoneyTree™ Report, VC activity in the United States increased about 37% in the second quarter to $13.0 billion, up from $9.5 billion in the first quarter.

07/14/2014

Focus on Healthcare:  IRS Prohibits Employers from Reimbursing Employees for Health Insurance Premiums on a Pre-Tax Basis

The IRS recently issued a clarifying notice reiterating that employers are prohibited from using employer payment plans to reimburse employees, on a pretax basis, for health insurance premiums that employees pay for individual health insurance policies.

07/10/2014

Focus on Gaming: U.S. Gaming Revenues Experience Sharp First Quarter Decline

As featured in the July issue of Casino Journal, the United States commercial gaming industry endured its worst first quarter since the Great Recession of 2008.

07/03/2014

Focus on Law Firms: Considerations for a Successful Law Firm Merger

Although most studies suggest 70% to 90% of mergers and acquisitions fail to reach their goals, recently there has been a wave of mergers and acquisitions among law firms in an effort to achieve various strategic objectives.

07/02/2014

Focus on Not-For-Profits: Accounting for Private School Capital Projects

An important focus of private schools is the property and equipment which the school uses on a daily basis to educate students and provide extra-curricular activities. Capital projects occur frequently at schools, and the accounting treatment for these capital projects often presents unique challenges.

06/26/2014

Focus on Construction: News From The AGC Financial Issues Forum

RubinBrown’s Construction Services Group recently attended the National Associated General Contractors’ (AGC) Financial Issues Forum in Washington, D.C.

06/17/2014

Focus on Construction: FASB Issues New Guidance On Revenue Recognition

The Financial Accounting Standards Board (FASB) has issued Accounting Standards Update (ASU) 2014-09 bringing to a conclusion its project to clarify principles for recognizing revenue.

06/13/2014

Focus on Fraud & Forensics: 2014 Report to the Nations on Occupational Fraud and Abuse

The Association of Certified Fraud Examiners’ (ACFE) 2014 Report to the Nations on Occupational Fraud and Abuse was recently released detailing the current trends and findings in the areas of fraud detection and prevention. 

06/12/2014

Focus on Dealerships:  Auto Dealer Facility Upgrade Programs

The Internal Revenue Service (IRS) recently stated its position with regard to manufacturer incentives paid to dealers to incentivize them to upgrade their facilities.

As factory image programs have grown in recent years the tax consequences of these payments from the manufacturer have also become more important.

06/09/2014

Focus on Private Company Financial Reporting:  Relief Is Here

It has been a complaint for nearly four decades.  U.S. GAAP (generally accepted accounting principles) can be overly complicated and, in some circumstances, unnecessary for non-public companies.  

In May, RubinBrown hosted four sold-out seminars on this very topic.  Business owners and executives gathered with us to learn more about new alternatives, from both the FASB and the AICPA, that will help simplify private company financial reporting.

05/29/2014

Focus On Revenue Recognition:  FASB Issues Accounting Standards Update

On May 28, 2014, the Financial Accounting Standards Board (FASB) issued an Accounting Standards Update (ASU) bringing to a conclusion its project to clarify principles for recognizing revenue. 

05/15/2014

Focus on Life Sciences: 2014 Venture Capital Investment Q1 Update

Venture capital (“VC”) investment increased in the first quarter of 2014. According to the MoneyTree™ Report, a collaboration between PricewaterhouseCoopers and the National Venture Capital Association, VC activity in the United States increased about 12% in the first quarter to $9.5 billion, up from $8.4 billion in the fourth quarter of 2013.

05/07/2014

Focus on State & Local Taxation: Personal Income Tax Reduction in Missouri

On May 6, 2014, the Missouri legislature voted to override the governor's veto of Senate Bill 509, giving Missouri taxpayers a personal tax reduction for the first time since the 1920's.

04/30/2014

Focus on Public Sector: AICPA Offering Webcasts on GASB Pension Standards Implementation Issues

Because GASB Statement 68, Accounting and Financial Reporting for Pensions—an amendment of GASB Statement No. 27, will significantly change how employers participating in cost-sharing plans account for and report pension amounts, the AICPA’s Governmental Audit Quality Center is offering two webcasts to members and non-members.

04/30/2014

Focus on State & Local Taxation: Annual Reporting Requirement for Illinois Business Incentives Due June 2, 2014

If your company received zone benefits in Illinois during 2013, you must complete the user-friendly, online reporting by June 2, 2014 to secure future benefits.

04/21/2014

Focus on Life Sciences: Generating Value Through IP-Backed Financing

ATTENTION IP OWNERS: Your ability to unlock value through intellectual property (IP) backed financing is increasing. Lenders are becoming more willing to use IP as collateral in secured lending again.

04/09/2014

Focus on Gaming: Casino Gaming Grows, But Regional Revenues Lag

04/03/2014

Focus on Mergers & Acquisitions: EBITDA and Cash Flow, A Tale of Two Metrics

In the worlds of M&A and valuation, companies’ values are often quoted based on multiples of EBITDA. However, its usefulness is limited to the financial sophistication of its user. In fact, in very few instances is EBITDA a reliable indicator of cash flow.

04/01/2014

Focus on Public Sector, Colleges & Universities:  GASB Votes Not to Delay the Implementation of Statement No. 68

On March 24, 2014, the Governmental Accounting Standards Board (GASB) voted unanimously not to delay the implementation of GASB Statement No. 68, Accounting and Financial Reporting for Pensions.  

03/27/2014

Focus on Colleges & Universities:  Student Athletes Allowed To Unionize

In a landmark decision yesterday, the National Labor Relations Board concluded that student athletes receiving football grant-in-aid scholarships are considered employees of Northwestern University, and thereby have the right to hold an election to choose representation to collectively bargain with the university.   

03/27/2014

Focus On Information Technology: Windows XP Support is Ending

After April 8, 2014, your XP computer will no longer receive automatic updates that help protect your personal information. Even if you have anti-virus software, your computer will still not be fully secure.

03/24/2014

Focus on Cyber Security: Cyber Attack Alert

You should be aware of a common type of attack known as a "Man in the Middle." RubinBrown has recently been alerted to a sophisticated cyber fraud scheme perpetrated by a team of foreign fraudsters.  

03/13/2014

Focus on Internal Audit:  Updated Guidance on External Auditor’s Responsibilities When Using the Work of Internal Auditors

The Auditing Standards Board (ASB) has released updated guidance on the use of internal audit work in an external audit.  SAS No. 128 applies to financial statement audits performed for periods ending on or after December 15, 2014.

02/26/2014

Focus on Life Sciences: Public-Private VC Partnerships Creating Investment, Innovation and Jobs in Life Sciences & Technology

By having a presence in Missouri, Kansas and Colorado, RubinBrown has a front row seat to observe the success that not-for-profit organizations are having creating jobs and promoting economic development in the life sciences and technology industries. Three of these organizations are quasi-governmental entities designed to create an extensive network of resources for start-up companies and promote innovation and entrepreneurship. With guidance and support from these organizations, Missouri, Kansas and Colorado are becoming premier locations for start-up life sciences & technology companies.

02/24/2014

Focus on Construction:  News From the AGC Financial Issues Forum

RubinBrown's Construction Services experts recently attended the National Associated General Contractors’  (AGC) Financial Issues Forum in Miami, Florida. 

02/24/2014

Focus on Cyber Security:  New Framework Released To Mitigate Risk of Cybercrime

Cyber attacks have become an everyday reality which now drive home the importance of collaborative business and governmental action. 

02/18/2014

Focus on Mergers & Acquisitions: Considerations With Buying A Company That Owns Real Estate

Many financial buyers prefer to acquire companies free-and-clear of real estate. However, there are times when there is little choice but to acquire a business’ real estate in tandem with the business.

02/18/2014

Focus on Taxation:  Beware of Tax Scams Now That Filing Season Is Here

With the start of the 2014 tax season, the Internal Revenue Service is urging taxpayers to be aware that tax-related scams using the IRS name proliferate during this time of year.

02/12/2014

Focus on Healthcare Reform: Employer Mandate Delayed For Some Businesses Until 2016

On Monday, February 10, The U.S. Department of the Treasury and the Internal Revenue Service issued final regulations implementing the employer responsibility provisions under the Affordable Care Act (ACA) that take effect in 2015. 

02/12/2014

Focus on Construction: News from Las Vegas

The annual Home Builders International Builders Show (IBS) was held in Las Vegas the first week of February. For the first time, IBS was combined with the Kitchen and Bath Industry Show to create a Design and Construction week.

02/03/2014

Focus on Life Sciences: 2013 Venture Capital Investment: A Year in Review

Venture capital (“VC”) investment increased in 2013, both in amounts invested and in deals made. According to PriceWaterhouseCoopers’ and National Venture Capital Association’s MoneyTree™ Report, VC activity in the United States increased by about 7.5% in 2013 to $29.4 billion in VC investment, up from $27.3 billion in 2012.

01/30/2014

Focus on Assurance: RubinBrown Publishes First Audit Quality Report

In January 2014, RubinBrown published its first ever audit quality report. Audit quality reporting is an emerging issue in the public accounting profession. Audit quality reporting is intended to foster greater confidence in the audit process by assisting financial statement users, audit committee members and other stakeholders in understanding how an audit firm’s management and operations support the performance of high quality audits.

01/27/2014

Focus on Taxation: Revised Accounting Method Change Procedures Related to Tangible Property Regulations Issued

In September of 2013 the IRS issued final tangible property regulations that provided guidance on the application of Internal Revenue Code Sections 162(a) and 263(a) to amounts paid to acquire, produce, or improve tangible property. RubinBrown has previously communicated that in order to adopt these new regulations, which are generally applicable to tax years beginning on or after January 1, 2014, change in accounting method filings will be required. On January 24, 2014 the IRS provided revised procedures for making these filings.

01/27/2014

REMINDER! Focus on Small Business: 1099 Information Return Requirements

What to Report in 2013
Payments of $600 or more to individuals, sole proprietorships, trusts or partnerships for rent, prizes or awards, or services rendered for a trade or business. Dividends, interest and royalties must be reported whenever the payment is $10 or more. Payments to corporations for medical services also must be reported on Form 1099-MISC.

01/20/2014

Focus on Small Business: Partnership Fringe Benefits

In certain instances a partner may have to recognize income on normally tax-favored fringe benefits provided to employees. When a partnership provides benefits to a partner the benefit will either be treated as a guaranteed payment to the partner or as a non-taxable fringe benefit other employees benefit from. Instances from both conditions are listed.

01/17/2014

Focus on Private Company Financial Reporting: FASB Issues Accounting Standards Updates For Private Companies

On January 16, 2014, the Financial Accounting Standards Board (FASB) issued two updates to U.S. Generally Accepted Accounting Principles that provide alternatives for private companies on accounting for goodwill and interest rate swaps. Both of these Accounting Standards Updates had been proposed by the Private Company Council and subsequently endorsed by the FASB.

01/15/2014

Focus on Taxation: Expired Tax Provisions

While you are pulling together your information to prepare your 2013 income taxes, you should know about the tax provisions that expired at the end of the year. The following are among the more significant of these provisions.

01/13/2014

Focus on Private Company Financial Reporting: FASB And PCC Issue Private Company Framework

As part of their ongoing commitment to consider the needs of users and preparers of private company financial statements, the Financial Accounting Standards Board (FASB) and the Private Company Council (PCC) have issued the Private Company Decision-Making Framework (Guide). Such a framework was a recommendation of the Blue-Ribbon Panel on Standard Setting for Private Companies in January 2011. As part of the process of establishing the PCC, the Financial Accounting Foundation had determined that one of the responsibilities of the PCC would be to develop, jointly with the FASB, criteria for determining whether and in what circumstances alternatives within U.S. generally accepted accounting principles (GAAP) are warranted for private companies.

12/20/2013

Got Revenue?

In a number of recent financial due diligence engagements, RubinBrown's advisors noticed probable misstatements of a target's reported revenue. Revenue misstatements usually result in a reduction to revenue (and EBITDA), but not always. The following is a list of revenue misstatements that have been uncovered, as well as the usual direction of any adjustment necessary to bring a company's reported revenue in line with reality.

12/19/2013

Focus on Life Sciences: Intellectual Property as Loan Collateral – Primer to a Growing Form of Asset-Backed Borrowing

The exposure and press dedicated to the use of intellectual property as loan collateral has increased dramatically in recent years. This article highlights similarities and differences between IP-based lending and traditional forms of lending, possible reasons for the growth in IP-based lending, and recent high-profile examples of loans secured by intellectual property.

12/18/2013

Focus on Not-For-Profits: Should Your Church Be Audited?

The answer to that question depends upon the needs of your church. Do the church's by-laws require an audit? Does your church have a loan covenant that requires an audit or are there plans for a future facility or renovations that will require financing? Would the additional accountability provided by an external audit provide comfort to your congregation and the community? Is the church interested in the by-products of an audit, such as suggestions to strengthen internal controls surrounding cash processes? Or, is your church required by a voluntary membership organization to conduct an audit as a condition of membership and accreditation?

12/16/2013

Focus on Construction: How Final Tangible Property Regulations Affect the Construction Industry

The Final Tangible Property Regulations address a broad range of capitalization and deduction issues related to tangible property that will most likely impact all industries, including construction. Specifically, the new rules may provide tax planning opportunities to the construction industry.

12/09/2013

Focus on Taxation: Final Regulations for Qualified Stock Dispositions Issued

The Internal Revenue Service (IRS) recently issued final regulations under Code Section (Sec.) 336(e) that allow individuals and partnerships, in certain circumstances, to step-up their basis in business assets acquired by stock acquisition.

11/18/2013

Focus on Transportation & Dealerships: How Final Tangible Property Regulations Affect Transportation Industry

While the recently released final tangible property regulations provide comprehensive guidance on capitalization of tangible property, the new rules also provide tax planning opportunities specific to the transportation industry.

11/18/2013

Focus on Life Sciences: Intellectual Property – Patent Demands, Venture Capital, and IP Legislation: Part 2

Intellectual Property ("IP") and innovation is becoming increasingly important to the U.S. economy, a key reason why IP and IP litigation is getting significant attention recently.

Part 1 of this article highlighted two separate reports focusing on patent demands and the potential consequences. Key takeaways from these reports were that litigation by patent assertion entities ("PAEs" or "patent trolls") is not insignificant, has recently increased in frequency, and seems to be particularly concentrated within the technology and life sciences industries. Separate reports have found that abusive litigation by PAEs limits investment in start up companies and reduces innovation. If true, it is reasonable to infer that constraints on innovation have ripple effects throughout the broader economy.

11/13/2013

Focus on Taxation: What to do Before Year End to Implement the New Tangible Property Regulations

The IRS issued the final tangible property regulations on September 13, 2013, modifying and superseding the temporary regulations that were issued on December 23, 2011. The tangible property regulations will apply to all taxpayers. It does not matter what form of business one is in, whether a "C" corporation, an "S" corporation, a partnership, an LLC, a sole proprietorship (Schedule C on individual return), or a rental (Schedule E on individual return); these new rules and requirements will apply. Taxpayers will be required to file one or more Form(s) 3115 for each accounting method change for each separate entity, or trade or business.

11/11/2013

Focus on Life Sciences: Intellectual Property – Patent Demands, Venture Capital, and IP Legislation: Part 1

The U.S. economy is becoming more reliant on innovation to drive growth. Patenting for example, is correlated with high productivity growth, lower unemployment, and business creation.¹ Strong intellectual property ("IP") rights, like patents, are critical to incentivizing innovation and ensuring that capital flows to support innovative activity. As a result, the prosecution and litigation of patents have taken center stage in IP strategies and discussions.

11/06/2013

Focus on Healthcare: Self Referral Situations For Physicians

Two recent reports from the US Government Accountability Office (GAO) and the Office of Inspector General (OIG) stress the importance of understanding self referral situations.

The GAO report found that the rate of Intensity-Modulated Radiation Therapy (IMRT) used by self referring urologists grew from 13.1% to 32.3% from 2005 to 2010 as compared with growth of 14.3% to 15.6% among non-referring urologists for the same period.  There has been some disagreement about the validity of the data and this may stem from the question of who should perform radiation therapy procedures, oncologists or urologists.

10/28/2013

Focus on Transportation & Dealerships: State Income Tax Apportionment of Interstate Trucking Businesses

The Uniform Division of Income for Tax Purposes Act (UDITPA) equally weighted three-factor property, payroll and sales apportionment formula was designed to apportion the income of multistate manufacturing and mercantile businesses, and may not fairly apportion the income of businesses in other industries, including interstate trucking companies.

10/16/2013

Focus on Private Company Financial Reporting: Private Company Council Votes to Finalize Two Private Company Standards

The Private Company Council (PCC) has voted to finalize two alternatives within U.S. Generally Accepted Accounting Principles (GAAP) for private companies related to accounting for interest rate swaps and, separately, accounting for goodwill in a business combination.

10/07/2013

Focus on Not-For-Profits: Responding to Information Technology Risks

Not-for-profit organizations face numerous risks, and in the information age, the threat to online security is becoming more and more prevalent. Per Symantec Corporation’s “Internet Security Threat Report 2013”, traditional threats are expanding into new forums such as social media and mobile devices, with an approximate 42% increase in targeted attacks noted in 2012. Particularly relevant for not-for-profit organizations is the fact that 31% of overall targeted attacks were against companies and organizations with fewer than 250 employees, up from 18% in 2011. Not-for-profit organizations can no longer assume that based on their size, they would not be a target for attackers.

10/07/2013

Focus on Life Sciences: The FASB to Propose Improvements to Financial Reporting for Development-Stage Entities

The Financial Accounting Standards Board recently announced plans to issue an exposure draft in the coming weeks with proposals to improve financial reporting about public and private development-stage entities, easing the requirements for revenue recognition and measurement and other areas.

09/24/2013

Focus on Public Companies: SEC Votes to Propose Rules for Pay Ratio Disclosure

The Securities and Exchange Commission (SEC) has voted 3-2 to propose a new rule that would require public companies to disclose the ratio of the compensation of its CEO to the median compensation of its employees.

09/23/2013

Focus on Taxation: Final Tangible Property Regulations Issued

Should expenditures related to tangible property be expensed or capitalized?

This is the question that the IRS has addressed with its tangible property regulations, which has been the source of much confusion for many years.

09/20/2013

Focus on State & Local Taxes: Missouri Adopts for 2012 Returns New Single Sales Factor Income Tax Apportionment Formula

On September 18, the Missouri Department of Revenue announced the new single sales factor formula (enacted in HB 128) may be elected on corporate tax returns which have not been filed for the 2012 tax year. The new formula should be a benefit to Missouri corporations which market their goods and services outside of the state of Missouri.

09/18/2013

Focus on Healthcare Reform: Employers Should Provide Notice to Employees by October 1 Regarding Insurance Exchanges

On October 1, 2013, the health insurance marketplaces created by the Affordable Care Act will open. Under the law, it is required that employers provide notice to their employees about these marketplaces, also known as exchanges.

09/09/2013

Focus on Life Sciences: Midwest Focusing on STEM Education to Help Attract and Support Life Sciences Companies

Life sciences companies thrive in regions that emphasize the importance of science, technology, engineering, and mathematics (STEM) education. States within the Midwest are focusing on improving STEM education, recognizing that a workforce with STEM talent helps attract businesses to the region and helps existing businesses remain competitive. The development of STEM talent begins with the education system and requires collaboration between business leaders, educators, and the government.

08/29/2013

Focus on State & Local Taxes: Missouri Enacts “Amazon” Nexus Law for Sales and Use Taxes

Missouri has enacted a law to allow the enforcement of tax collection on remote sellers/retailers of taxable product and services through catalog or internet sales.

08/26/2013

Focus on Risk Services: Exposure Draft for Service Organization Controls

Principles related to the testing of controls at Service Organizations have been updated. Examples of Service Organizations include entities providing technology services and/or information processing services. The Trust Principles relate to the service organization controls that are non-financial and would typically be reported in a Service Organization Control report (SOC 2). A SOC 2 report can include one or more of the five Trust Principles: Security, Availability, Processing Integrity, Confidentiality and Privacy.

08/21/2013

Focus on State & Local Taxation: New Illinois Law Eliminates Composite Return Filings and Changes Nonresident Withholdings and Corporate Income Tax Apportionment

On August 16, 2013, Gov. Pat Quinn signed into law legislation (H.B. 3157) containing important changes to Illinois treatment of nonresident taxpayers and how to apportion income by corporate income taxpayers to the state.

08/16/2013

Focus on State & Local Taxation: New Missouri Law Changes Economic Incentive Programs

Legislation has been enacted that provides income and franchise tax credits and training program incentives under the"Missouri Works Program". The legislation also revises the process for designating an enhanced enterprise zone for income tax and property tax incentive purposes, and makes sales, use and transient guest tax changes. The "Missouri Works Program" replaces the Development Tax Credit program, the Rebuilding Communities Tax Credit program, the Enhanced Enterprise Zone Tax Credit program and the Missouri Quality Jobs program.

08/07/2013

Focus on Mergers & Acquisitions: Top Ten Actions to Take Before Going to Market

Presuming that you've made the decision to sell your company and are fully committed to seeing it through, the below items represent what we feel are the Top 10 actions to take before putting your company up for sale. Many of these actions are best undertaken years ahead of a potential sale, yet we often find business owners scrambling to complete these action items during a buyer's due diligence process.

08/05/2013

Focus on Taxation: New Guidance for Domestic Production Activities Deduction

Internal Revenue Code Section 199 provides for a tax deduction equal to 9% of the lesser of the qualified production activities income of the taxpayer for the taxable year or taxable income for the taxable year. The taxpayer entitled to this deduction is often not clear when a contract manufacturing arrangement exists.

07/31/2013

Focus on Small Business: Tips For Employers Which Outsource Payroll

If your company outsources its payroll and related tax duties to a third-party, there is a new fact sheet you will want to review.

07/31/2013

Focus on Not-For-Profits: Accounting Standards Update and Compliance Study on 457(b) Plans

In April 2013, the FASB issued Accounting Standards Update (ASU) 2013-06, Not-for-Profit Entities: (Topic 958): Services Received from Personnel of an Affiliate. The standard was developed as a result of the current diversity in practice of recording the services of people who work for an organization but are employees of a separate affiliated entity.

07/22/2013

Focus on Not-For-Profits: Key Cash Controls at Events and Activities

Fundraising events are often held by non-profit organizations to promote the mission of the organization and raise funds to support the organization and its programs. Sporting events and activities are also very common, especially at secondary-level schools.

07/19/2013

Focus on Public Sector & Not-For-Profit: OMB Proposes Changes to Single Audits

Earlier this year, the U.S. Office of Management and Budget (OMB) proposed a number of significant changes to the way Single Audit engagements will be conducted going forward.

07/18/2013

Focus on Entrepreneurial Services: Missouri Federal Interest Assessment on Employers

Missouri's current statutes require that employers pay additional interest amounts on their second quarter 2013 Contribution and Wage Reports, which are due July 31, 2013. The additional payments are required to pay the interest on an outstanding loan from the federal government to the state of Missouri for unemployment benefits.

07/18/2013

Focus on Taxation: Healthcare Law Imposes Excise Tax on Employers & Insurance Carriers

A new fee enacted through the new healthcare law to help fund the Patient-Centered Outcomes Research Institute (PCORI) must be paid by certain employers that sponsor self-insured health plans by July 31, 2013.

The first year of the fee is $1 per covered life per year, the second year the fee adjusts to $2 per covered life and then it's indexed to national health expenditures thereafter until it ends in 2019.

07/15/2013

Focus on Private Securities: 80-Year-Old Ban Lifted

The SEC recently voted to lift the 80-year-old ban on advertising for certain private securities offerings, such as private equity and hedge funds. As part of the SEC's JOBS Act, the SEC has relaxed rules on hedge fund and private equity funds ability to use general solicitation to advertise as part of their fundraising efforts.

07/08/2013

Focus on Law Firms: New Trust Account Rules

On October 30, 2012, the Missouri Supreme Court amended Rule 4-1.15 regarding duties related to the safekeeping of property.

06/20/2013

Focus On Private Company Financial Reporting: AICPA Issues New Financial Statement Framework

The American Institute of Certified Public Accountants (AICPA) has released the Financial Reporting Framework for Small-and Medium-Sized Entities (FRF for SMEs) to help the small business community with its financial reporting needs. The FRF for SMEs represents a new accounting option for preparing financial statements for privately-held, owner-managed businesses that are not required to use U.S. generally accepted accounting principles (GAAP) for financial reporting purposes.

06/17/2013

Focus On Small Business: Baker Tilly International Provides Initial Results For Succession Planning Survey

Baker Tilly International, in co-operation with Baker Tilly Pitcher Partners and Swinburne University, has taken a closer look at both the sociological and economic implications for the family business succession process.

06/13/2013

Focus on Life Sciences: White House Task Force Releases Patent Initiatives

On Tuesday, June 4, 2013, the White House issued an initiative on patent issues designed to facilitate continued innovation and help ensure the continued development and delivery of high-quality patents in the United States.

06/06/2013

Focus on Assurance: Baker Tilly International Catches Up With The Fraudsters

Corporate fraud is on the rise and companies of all sizes need to take better steps to prevent it. Addressing delegates at Baker Tilly International’s annual North American conference, held in May, reformed 1960’s fraudster Frank W. Abagnal.

06/05/2013

Focus on Risk Services: COSO Framework Updated

The Committee of Sponsoring Organizations of the Treadway Commission (COSO) issued its updated Internal Control–Integrated Framework (Framework) and related illustrative documents on May 14, 2013. On December 15, 2014, the Framework will officially replace the original Internal Control – Integrated Framework (the original framework), which dates back to 1992. The original framework has been used by companies, non-profit organizations, governments, and regulators, becoming the global standard used to design, implement, and assess the effectiveness of a system of internal controls.

05/20/2013

Focus on Lease Accounting: FASB Issues Revised Exposure Draft

The Financial Accounting Standards Board (FASB) has issued its second Exposure Draft as part of its project to change the manner in which entities account for lease transactions. The first Exposure Draft was issued in August 2010 and generated over 800 comment letters. The FASB conducted extensive redeliberations on this topic prior to releasing the second Exposure Draft. The International Accounting Standards Board (IASB) issued its proposal simultaneously with the FASB's action. The revised Exposure Drafts for both organizations are nearly identical.

05/13/2013

Focus on Life Sciences: U.S. Supreme Court's Unanimous Ruling Supports Monsanto's Patent Rights

On Monday, May 13, 2013, the U.S. Supreme Court ruled unanimously in Bowman v. Monsanto Co. et al. that Indiana farmer Vernon Hugh Bowman infringed upon Monsanto's patents by planting soybean seed containing Monsanto's technology outside the scope of an executed technology license agreement signed by Mr. Bowman.

05/06/2013

Focus on Private Equity: The State of Mergers & Acquisitions Activity

The blistering pace set in the 4th quarter of 2012 has passed, but deal flow, while slow in early 2013, looks to be picking up. The middle market¹ continues to be a bellwether for the greater M&A market. Secondary buyouts² represent an increasing share of private equity exits.

04/25/2013

Focus on Risk Services: State of the Internal Audit Profession

The Institute of Internal Auditors (IIA) Audit Executive Center recently released the Spring 2013 Pulse of the Profession for North America.

The results of the semiannual survey provide information about the state of the internal audit profession, as well as emerging issues and trends. The results are compiled from the responses of 554 Chief Audit Executives and Managers.

04/22/2013

Focus on Not-For-Profits: Trends in Financial Statement Reporting

Not-for-profit organizations often receive advertising or other promotional materials at no charge in order to help promote their mission or solicit donations.

03/29/2013

Focus on Internal Audit: Proposed Rule Change Would Require Internal Audit Function for NASDAQ Listed Companies

On February 20, 2013, NASDAQ submitted a proposed rule change to the U.S. Securities and Exchange Commission (SEC) that would require NASDAQ listed companies to establish and maintain an internal audit function.

The proposed rule, open for comment through March 29, 2013, would bring the NASDAQ into alignment with the New York Stock Exchange (NYSE), which already requires its listed companies to have an internal audit function.

03/22/2013

Focus on Life Sciences: MOSIRA Passage Ruled Unconstitutional by Missouri Supreme Court

On Tuesday, March 19, 2013, the Missouri Supreme Court upheld a February 2012 Cole County court ruling that the Missouri Science and Innovation Reinvestment Act ("MOSIRA") was not properly passed by the Legislature because of language that made its implementation contingent upon the passage of another bill.

03/21/2013

Focus on Not-For-Profits: IRS Doesn't Allow Two Parsonages

One of the largest tax benefits available to "ministers of the gospel" (priests, rabbis, ministers, pastors, etc.) is the parsonage exclusion. This provision allows these individuals to receive the value of lodging or a cash allowance used to provide lodging on an income tax-free basis.

03/20/2013

Focus on State & Local Taxation: Delaware Unclaimed Property Voluntary Disclosure Programs

If you have a business operating out of or incorporated within the state of Delaware, you may benefit from applying to the newly enacted unclaimed property voluntary disclosure agreement programs.

02/22/2013

Focus on Not-For-Profits: Alternative Investments & Unrelated Business Income

Over the past two decades, many not-for-profit organizations, including foundations and endowment/investment funds, have begun investing more regularly in alternative investments. Alternative investments are defined for financial reporting purposes as investments for which a readily determinable fair value does not exist.

02/11/2013

Focus on Taxation: Actions To Take Now Related To The New Tangible Property Regulations

The new tangible property regulations will provide the most dramatic change in tax law in the area of expenditure capitalization to affect for-profit businesses since the overhaul of the Internal Revenue Code in 1986.

02/07/2013

Focus On Not-For-Profits, Public Sector and Colleges and Universities: OMB Proposes Changes to Single Audit Requirements

On January 31, 2013, the U.S. Office of Management and Budget (OMB) issued Proposed OMB Uniform Guidance: Cost Principles, Audit, and Administrative Requirements for Federal Awards, a publication which contains proposed regulations that would significantly modify the requirements associated with Single Audits conducted pursuant to OMB Circular A-133.

02/01/2013

Focus on International Business: Baker Tilly International Reports Revenue Growth

RubinBrown is a proud to be an independent member of Baker Tilly International, the world's 8th largest accounting network in the world.

This week, Baker Tilly International reported annual revenues of US$3.3bn for the financial year ending June 30 2012, a year-on-year increase of 3%.

01/31/2013

Focus on Life Sciences: The Importance of Intellectual Property Protections in the Plant Sciences Industry

Intellectual property ("IP") can be a source of significant change in an industry. The innovation that flows from new inventions, processes, or designs can have a tremendous impact on the direction and growth of industries. Of equal importance are the protections that creators place on their IP. IP protections help establish a framework that provides incentives to innovate.

01/28/2013

Focus on Not-For-Profits: Rise of Groupon and Other Deals

With more than 22 million Groupons sold in the United States and a user base exceeding 50 million, many businesses, as well as not-for-profit organizations, have turned to Groupon, as well as other "deal sites" such as Living Social.

01/28/2013

Focus on Tribal Gaming: Native Nations Policy Summit 2013 – A Review of Policies Discussed

On Saturday, January 20, 2013, the National Indian Gaming Association (NIGA) held a policy summit in Washington D.C. to discuss a variety of issues relating to Indian Sovereignty. The session was well represented with tribal leaders from around the country participating in the discussions and advocating for the recognition and freedoms due to sovereign Indian Nations. The discussions were highlighted by the participation of a Freshman Senator, Heidi Heitkamp of North Dakota, and Freshman Congressmen, Dan Kildee of Michigan (District 5) and Markwayne Mullin of Oklahoma (District 2).

01/17/2013

Focus on Professional Services: Implications of the New Tax Law

As a service to RubinBrown’s professional services clients, we have summarized the prominent provisions of the new tax law that are most applicable to your businesses.

01/16/2013

Focus on Construction: Summary of the American Taxpayer Relief Act for the Construction Industry

On January 1st, 2013 Congress passed the American Taxpayer Relief Act. Below is a summary prepared by RubinBrown's Construction Services Group to highlight many of the implications to the Construction Industry.

01/11/2013

Focus on Manufacturing & Distribution: Summary of 2012 Taxpayer Relief Act for the Manufacturing & Distribution Industry

On January 1st, 2013 Congress passed the American Taxpayer Relief Act. Below is a summary prepared by RubinBrown's Manufacturing and Distribution Industry Group to highlight many of the implications to the Manufacturing and Distribution Industry.

01/10/2013

Focus on Not-For-Profits: The American Taxpayer Relief Act of 2012 and Beyond

On January 2, 2013, the President signed the American Taxpayer Relief Act of 2012 (the "Act") into law. From the viewpoint of many charitable organizations, the majority of the provisions of the Act related to not-for-profit organizations target temporary extensions of various donation benefits.

01/09/2013

Focus on Taxation: Colorado Pre-Certification of Enterprise Zone Credits

RubinBrown reminds its clients and contacts that for all businesses located in Enterprise Zones, Colorado requires pre-certification of eligibility for Enterprise Zone Credits. This became effective January 1, 2012.

01/08/2013

Focus on Life Sciences: Provisions of New Tax Legislation Affect Life Sciences

On January 1, 2013, the Senate and House of Representatives passed the American Taxpayer Relief Act, which the President signed into law on January 2, 2013.

01/04/2013

Focus on Benefit Plans: Provisions of New Tax Legislation Affect Qualified Retirement Plans

On January 1, 2013, the Senate and House of Representatives passed the American Taxpayer Relief Act.

01/02/2013

Focus on Taxation: American Taxpayer Relief Act

On January 1, 2013, the Senate and House of Representatives passed the American Taxpayer Relief Act ("Act"). The President signed the Act into law on January 2, 2013. The summary below has been prepared by RubinBrown tax executives to highlight many of the implications of this legislation.

11/09/2012

Focus on Fraud & Forensics: Fraud Awareness Week Casts Spotlight on White Collar Crime

RubinBrown is promoting International Fraud Awareness Week, November 11-17, 2012 to increase businesses anti-fraud awareness and offer education resources.

11/08/2012

Focus on State & Local Taxation: California Passed Various Ballot Initiatives on November 6, 2012 and Relief Announced for Victims of Hurricane Sandy

Proposition 30 retroactively increases income taxes effective January 1, 2012. The following rate increases are effective for seven years.

10/23/2012

Focus on Taxation: What Will Change If Congress Doesn't Act

U.S. tax law will significantly change for both individuals and businesses as many tax provisions either expired at the end of 2011 or will expire at the end of 2012.

Unless new legislation is passed, the provisions of the Economic Growth and Tax Relief Reconciliation Act of 2001 and the Jobs and Growth Tax Relief Reconciliation Act of 2003, other than those made permanent or extended by subsequent legislation, sunset and won’t apply to tax years 2012, as well as subsequent years.

10/22/2012

Focus on Tribal Gaming: NIGC Minimum Internal Control Standard Changes

On October 22, 2012, the National Indian Gaming Commission (NIGC) revisions of two critical regulations became effective: 25 CFR Part 543 Minimum Internal Control Standards (MICS) for Class II Gaming (MICS) and 25 CFR 547 Minimum Technical Standards for Class II Gaming Systems and Equipment.

The new standards are critical to tribal gaming regulators as the standards provide much needed updates to the control regulations, which had recently fallen behind technology, and will ensure the integrity of Indian Gaming is upheld for years to come.

10/17/2012

Focus On Internal Audit: New Revisions to The International Standards for Professional Practice of Internal Auditing

The Institute of Internal Auditors (IIA) has approved changes to the International Standards for the Professional Practice of Internal Auditing (Standards). The revised standards will go into effect Jan. 1, 2013. In total, 18 revisions were made.

10/16/2012

Focus on Life Sciences: Valuation Issues Unique to Life Sciences Companies

Companies in the Life Sciences industry require valuations for various reasons: transactions (raising investment funds, compensating employees, licensing intellectual property, etc.), tax purposes, financial reporting, or litigation purposes.

09/24/2012

Focus on Manufacturing & Distribution and Public Companies: SEC Issues Final Rule on Section 1502: Conflict Minerals

The following serves as an update to a previously published E-Focus Newsletter on the same topic in October 2011. Click here to view the previously published article.

09/13/2012

Focus on Life Sciences: Implications of the Current U.S. Drought

The United States is experiencing a drought of historic proportions, and despite recent precipitation brought on by Hurricane Issac's landfall, there is no end in sight. The current drought has far-reaching implications, many of which are yet to be felt by U.S. consumers and businesses.

08/15/2012

Focus on Healthcare: Medical Loss Ratio Rebate Checks

As a part of the Affordable Care Act, health insurers providing coverage that do not meet the medical loss ratio (MLR) must provide an annual rebate to each enrollee under such coverage, on a pro-rata basis.

08/10/2012

Focus on State & Local Taxation: Updates For Missouri, Colorado, and Kansas

Every year in December, RubinBrown is proud to host our Year-End Tax & Accounting Updates in Denver, Kansas City, and St. Louis.

08/08/2012

Focus on Life Sciences: Revisiting Missouri's Strategic Initiative for Economic Growth

In 2010, the state of Missouri initiated a strategic planning process to assist in mapping the direction of, and investment in, the economic future of the state.

08/02/2012

Focus On Estate Planning: Time May Be Running Out On Major Estate Planning Benefit

While many sunsets are fantastic, there is one on the horizon that could prove costly to your estate.

07/26/2012

Focus On Not-For-Profit Social Service Agencies: Fundraising Events Reporting on Form 990 or 990-EZ, Schedule G, Part II

The primary purpose of a fundraising event is to raise funds to support the mission of a social service agency or other not-for-profit organization by selling goods or services.

07/25/2012

Focus on Public Companies: SEC Staff Publishes Final Report on Work Plan for Global Accounting Standards

On July 13, 2012, the Securities and Exchange Commission (SEC) issued a Work Plan for the Consideration of Incorporating International Financial Reporting Standards (IFRS) into the Financial Reporting System for U.S. Issuers (Work Plan).

07/20/2012

Focus On Not-For-Profit Private Schools: Implications of School Raffles

Raffles are becoming a popular way for private schools and other tax-exempt organizations to raise funds.

There are potential pitfalls to be aware of, so before holding your first raffle, or even if you’ve already had a raffle or two, consider the following questions and answers.

07/02/2012

Focus on Broadcasting: ASCAP & BMI License Agreement Settlements

The following are updates from recent agreements reached between the Radio Music License Committee (RMLC) and Television Music License Committee (TMLC) with American Society of Composers, Artists, and Producers (ASCAP) and Broadcast Music Industry (BMI).

06/27/2012

Focus on Life Sciences: Kansas Tax Relief Measures

Kansas Governor Sam Brownback recently signed one of the largest tax relief measures in Kansas history. At the heart of the tax changes is a reduction of individual tax rates and a shift from a three-bracket to a two-bracket system.

06/26/2012

Focus On Public Sector: GASB Approves Issuance of New Pension Accounting and Financial Reporting Standards

On June 25, The Governmental Accounting Standards Board (GASB), voted to approve two new standards that will substantially improve the accounting and financial reporting of public employee pensions by state and local governments.

06/20/2012

Focus on Media & Entertainment: The Latest Trends In The Media Industry

A few weeks ago, RubinBrown Leaders Larry Rubin and Jessica Sackman of the Media & Entertainment Group attended the Media Financial Management Association’s Annual Conference.

06/18/2012

Focus on Manufacturing & Distribution: Economic Survey Results

RubinBrown has teamed up with the Missouri Association of Manufacturers to conduct a survey that assesses the manufacturing industry's economic conditions.

06/12/2012

Focus on Life Sciences: Funds Flow into Renewable Energy Projects

According to recent reports, Goldman Sachs Group Inc. will invest more than $40 billion over the next decade into renewable energy projects.

05/30/2012

Focus on State & Local Taxation: Kansas Tax Relief Measures

Kansas Governor Sam Brownback recently signed one of the largest tax relief measures in Kansas history. At the heart of the tax changes is a reduction of individual tax rates and a shift from a three-bracket to a two-bracket system.

05/23/2012

Focus on Private Company Financial Reporting: FAF Makes Decision Regarding New Advisory Body

The FAF established a new body, the Private Company Council (PCC) which will have two main responsibilities. The PCC will determine whether exceptions or modifications to existing nongovernmental U.S. Generally Accepted Accounting Principles (GAAP) are necessary to address the needs of users of private company financial statements. Any changes proposed by the PCC will be subject to subsequent endorsement by the FASB and submitted for public comment before being incorporated into GAAP. The PCC will also be the primary advisory body to the FASB on the appropriate treatment for private companies for items under active consideration on the FASB’s technical agenda.

04/02/2012

Focus on Not-For-Profit Trade & Membership Organizations: Taxable Versus Nontaxable Fringe Benefits

Fringe benefits and their taxability is a complex issue many nonprofits do not fully understand. In fact, this area is often overlooked and organizations are often surprised to learn that some of the perks they provide to their employees and board members should be reported as compensation, even if no cash is involved. The consequences for not properly reporting taxable fringe benefits can be detrimental not only to the organization but also to the individual. Additional employment taxes may be due on the benefits. Note that board members who are not otherwise employed by the organization are considered independent contractors, not employees. Many benefits require an employer-employee relationship.

04/02/2012

Focus on Not-For-Profit Religious Organizations: Centralization of Administrative Functions

As religious organizations face a decline in the number of individuals entering their orders, the capacity to handle administrative functions to run their organizations becomes more difficult to manage.

03/30/2012

Focus on Life Sciences: New Excise Tax on Medical Devices

The Patient Protection and Affordable Care Act and the Health Care and Educational Reconciliation Act of 2010 will impose a new tax on medical devices. The new tax goes into effect January 1, 2013.

03/12/2012

Focus On Public Sector: OMB Issues Proposed Rule Changes For Single Audits and Grant Administration

Since 2009, the current administration has issued a number of memorandums with a common theme of maintaining accountability over the $600 billion in federal grants spent each year, while at the same time reducing the onerous requirements that have not necessarily produced better outcomes.

02/24/2012

Focus On Taxation: Payroll Tax Cut Extension Signed – Now Through 2012

On February 22, President Obama signed legislation that extends the 2% payroll tax holiday that was enacted by the 2010 Tax Relief Act that was set to expire on March 1, 2012.

02/20/2012

Focus on Business Advisory Services: Basel Committee on Banking Supervision Assesses the Effectiveness of the Internal Audit Function in Banks

On December 2, 2011, the Basel Committee on Banking Supervision (the Committee) issued revised guidance for assessing the effectiveness of the internal audit function in banks.

02/17/2012

Focus on Colleges & Universities: Changes to Student Financial Aid Provisions

The President’s Federal budget request for the 2013 fiscal year was released earlier this week. It contained several important provisions that are expected to encompass the Student Financial Aid program, Federal research grants, and the overall higher education landscape.

02/15/2012

Focus on Life Sciences: Protect Your Intellectual Property and Intangible Assets

According to the US Trade Administration and the US Department of Commerce, Companies in the United States lose between 200 and 250 billion dollars from intellectual property (IP) and more broadly intangible asset (IA) theft every year.

02/13/2012

Focus on Taxation: Clarification on the 1099 Reporting Rules

Last year the President signed the 1099 Repeal Act, which eliminated two burdensome provisions related to 1099 reporting that were originally enacted in two separate tax acts passed in 2010. Accordingly, we have received several questions requesting guidance on the 1099 reporting requirements

02/09/2012

Focus on Taxation: IRS E-Filing Requirements and Mailing Prohibition

As tax season kicks off, RubinBrown reminds our clients of the IRS e-filing requirements, as well as the IRS’ prohibition on specified tax return preparers mailing individual income tax returns to the IRS on behalf of clients after December 31, 2011.

02/07/2012

Focus On International Business: The Continued Strength of the Baker Tilly International Network

In order to better serve our clients with international operations, RubinBrown proudly serves as an independent member of Baker Tilly International.

Baker Tilly International is one of the world’s leading networks of independently owned and managed audit, accounting and business advisory firms.

02/01/2012

Focus on Professional Services: New Audit Technique Guides Issued

Over the last year, the IRS released revised comprehensive Audit Technique Guides (ATG) for auditors to use in conducting exams of individuals in professional service industries.

01/18/2012

Focus on Colleges & Universities: Governor’s 2013 Budget Proposes Reduction of Funding for Higher Education

The Governor’s budget contained provisions to maintain relatively level funding for several crucial State Scholarship programs, including Bright Flight, Access Missouri and A+. In terms of core funding to the State’s Community Colleges and Four-Year Colleges and Universities, the Governor’s budget for 2013 proposes the following reductions from the 2012 appropriation levels

01/18/2012

Focus on Business Advisory Services: COSO Integrated Framework

In December 2011, the Committee of Sponsoring Organizations of the Treadway Commission (COSO) issued for public comment an updated Internal Control – Integrated Framework (Framework). Comments are due by March 31, 2012 and can be submitted via the COSO website at www.coso.org. After evaluating the comments received, COSO plans to release the final Framework in the Fall of 2012.

01/12/2012

Focus on Public Companies: XBRL Filing Compliance

As companies continue their XBRL filings and move into the detail level of filing (tagging) and as the SEC’s modified liability provisions on XBRL (Extensible Business Reporting Language) data begin to expire, public companies are looking for accuracy, efficiencies and value in the process.

01/09/2012

Focus on Construction: Revised Exposure Draft on Revenue Recognition

The Financial Accounting Standards Board (FASB) and The International Accounting Standards Board (IASB) (collectively, the Boards) have issued for public comment a revised Exposure Draft on revenue recognition.

01/05/2012

Focus on Healthcare: An Overview of the 2012 Office of Inspector General Work Plan on Healthcare Providers

The U.S. Department of Health and Human Services Office of Inspector General (OIG) recently published its 2012 Work Plan.

12/23/2011

Focus on Taxation: Payroll Tax Cut Extension Signed

On December 23, 2011, President Obama signed legislation that extends the 2% payroll tax holiday that was enacted by the 2010 Tax Relief Act that was set to expire on December 31, 2011.

12/20/2011

Focus on Not-For-Profit Foundations: Private Foundations Penalty Taxes

Good intentions and even profitable transactions can lead to significant tax liabilities when a tax-exempt private foundation is a party to the transaction.

12/14/2011

Focus On Small Business: Guide To Starting A Business

RubinBrown's Entrepreneurial Services Group is pleased to present the "Guide To Starting A Business." This resource assists entrepreneurs who are contemplating starting or buying a business. The guide includes information on entity structuring, business planning, operations, tax planning and compliance, and much more.

11/21/2011

Focus on Contractors: Repeal of the 3% Government Contractor Withholding

President Obama signed legislation today, November 21, 2011, repealing the 3% government contractor withholding requirement. The withholding requirement was added as part of the Tax Increase Prevention and Reconciliation Act of 2005 and would have mandated that all federal, state and local governments with total annual expenditures of $100 million or more withhold 3% on all government payments for products and services.

11/21/2011

Focus on Public Sector: Repeal of the 3% Withholding

President Obama signed legislation today, November 21, 2011, repealing the 3% government contractor withholding requirement. The withholding requirement was added as part of the Tax Increase Prevention and Reconciliation Act of 2005 and would have mandated that all federal, state and local governments with total annual expenditures of $100 million or more withhold 3% on all government payments for products and services.

11/02/2011

Focus on Manufacturing & Distribution: Section 1502 (Conflict Minerals) of the Dodd-Frank Act

The Dodd-Frank Act, formally named the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010, focuses on financial regulatory reform. The act was signed into law in July 2010 by President Obama.

10/27/2011

Focus on State & Local Taxation: Promoting Employment Across Kansas (PEAK)

With the legislative changes to the Kansas Business and Jobs Credit and the High Performance Incentive Program, many businesses may mistakenly believe that the state of Kansas no longer provides incentives to expand or relocate an existing business to Kansas or locate a new business in Kansas.

10/05/2011

Focus on Public Sector & Not-For-Profit: 2011 OMB Compliance Supplement and FFATA

In March 2011, the Office of Management and Budget (OMB) issued the 2011 edition of the A-133 Compliance Supplement. The supplement is effective for Single Audits of fiscal years beginning after June 30, 2010, and it supersedes the 2010 Compliance Supplement. 

09/29/2011

Focus on State & Local Taxation: Colorado (and the City and County of Denver) Tax Amnesty Programs Available

The Colorado Department of Revenue has issued guidance on the tax amnesty program that is operative from October 1, 2011 through November 15, 2011. The amnesty program allows taxpayers to pay the following overdue taxes without additional penalties.

09/26/2011

Focus On Life Sciences: MOSIRA Passes, Now Moves For Governor Signature

The Missouri Science and Innovation and Reinvestment Act (MOSIRA) has been approved by both houses of the Missouri legislature and will be sent to Governor Nixon for his signature.

09/02/2011

Focus on Taxation: Businesses Should Prepare Now For Year-End Tax Provisions

As we approach the end of 2011, businesses should consider taking a fresh look at some of the tax incentives that are currently available but may expire at the end of the year, or may be modified if they survive.

08/23/2011

Focus on Public Sector: GASB Issues Statements No. 63 & 64

In June 2011, the Governmental Accounting Standards Board (GASB) issued two new pronouncements.

08/18/2011

Focus on State & Local Taxation: Illinois Law Lowers Requirement for Unclaimed Property Reporting

Illinois Governor Pat Quinn signed into law HB 1560 (P.A. 097-0270), Uniform Disposition of Unclaimed Property Act. This law shortens the holding period of unclaimed wages and salary to one year.

08/17/2011

Focus On Life Sciences: Recent Tax Legislation

Due to the current economic environment, Congress has passed and signed into law numerous tax-related bills that impact businesses.

08/10/2011

Focus on Public Sector: GASB’s Proposed Changes to Pension Accounting

On June 27, 2011 the Governmental Accounting Standards Board (GASB) issued exposure drafts of two statements that will supersede existing guidance on financial reporting for defined benefit pension plans.

08/02/2011

Focus on State & Local Taxation: Missouri "Big Government Get Off My Back Act" To Become Law on August 28

Missouri Governor Nixon’s recently signed into law, House Bill 45, which modifies the so-called “Big Government Get Off My Back Act.”

08/01/2011

Focus on Contractors: FASB Approves Additional Multi-Employer Plan Disclosures

As RubinBrown has previously reported, the Financial Accounting Standards Board (FASB) has been considering requiring additional disclosures for multi-employer pension plans for the past several years.

07/25/2011

Focus on Automotive: Revised Cash Reporting Form

The IRS has recently revised its Form 8300, which businesses must file within 15 business days when they receive over $10,000 in cash from a single transaction or related transaction.

06/27/2011

Focus On Retirement Plan Administration: Can an Employee Stock Ownership Plan (ESOP) Help You Finance the Sale of Your Business?

Obtaining financing to fund and operate a business in today’s economic climate can be challenging. It may be even tougher for the owner of a closely-held business to find a buyer with sufficient financing to purchase the business.

07/18/2011

Focus on Automotive: Proposed Tax Law Changes for LIFO

For several years there has been talk about eliminating the last-in, first out (LIFO) inventory accounting method for income tax purposes.

06/29/2011

Focus on Healthcare: Availability of Medicare Data for Performance Measurements

The Department of Health and Human Services (HHS) continues to draft regulations to support the implementation of The Patient Protection and Affordable Care Act (a.k.a. “Health Care Reform”).

06/22/2011

Focus on Contractors: Update on Multi-Employer Plan Disclosures

As we reported back in September 2010, the Financial Accounting Standards Board (FASB) issued Exposure Draft 715-80 on September 1, 2010 titled “Disclosure About An Employer’s Participation In A Multi-Employer Plan”.

06/16/2011

Focus on State & Local Taxation: Colorado Announces Amnesty Program

The Colorado Department of Revenue has announced a tax amnesty program under which taxpayers will be allowed to pay the full amount of overdue personal, corporate, partnership or fiduciary income tax; sales and use tax; gasoline tax; special fuels tax; cigarette and tobacco tax, or severance tax without penalty.

06/03/2011

Focus on State & Local Taxation: Michigan and Connecticut Increase Tax Rates

If your company has operations in Michigan and Connecticut, be aware that recently passed legislation in these states will change your tax burden.

05/05/2011

Focus On Business Advisory Services: Controls at Third Parties You Rely Upon

Does your company outsource any services? Do you rely on outsourced services? If so, there is new guidance and reports which may be of interest.

04/15/2011

Focus on Taxation: 1099 Repeal Bill Signed Into Law

President Obama signed into law the Comprehensive 1099 Taxpayer Protection and Repayment of Exchange Subsidy Overpayments Act of 2011 (“1099 Act”) on April 14, 2011.

03/24/2011

Focus on Public Sector: Begin Planning for GASB Statements No. 61 and No. 62

A few weeks ago, RubinBrown provided summary guidance on Governmental Accounting Standards Board (GASB) No. 59 and No. 60. This alert provides similar information regarding Statements No. 61 and No. 62.

03/17/2011

Focus on Public Sector: Begin Planning for GASB Statements No. 59 and No. 60

The Governmental Accounting Standards Board (GASB) issued Statements No. 59 and No. 60 in late 2010.

03/07/2011

Focus on Business Advisory Services: Approaches to Successful Enterprise Risk Management Programs

Enterprise Risk Management, commonly known as ERM, is the identification and mitigation of risks associated with a company’s strategic goals. An organization must align strategic goals and resources when implementing and maintaining a successful risk management program.

03/01/2011

Focus on Not-For-Profit Religious Organizations: Ministers’ Housing Allowances

By taking some simple actions, a well-informed church can help its minister save money. The parsonage exclusion and housing allowance (also called rental allowance) is the largest tax benefit available to ministers. This exemption allows a minister to exclude from Federal taxable income either the value of a home provided by the church or payments specifically allocated as a housing allowance.

02/16/2011

Focus on State & Local Taxation: Employers Required to Verify St. Louis Earnings Tax Refund Claims of Employees

Individuals requesting an earnings tax refund from the City of St. Louis not only are required to use a new form, but they also now need employer verification and sign off.

02/09/2011

Focus on State & Local Taxation: Health Care Costs for Children Under Age 27 May Be Subject to State Taxation

It may come as a surprise to employers, but many states are not conforming with the new healthcare reform legislation, which requires insurers that provide group health coverage for dependent children to continue such coverage until the dependent turns 26 years old.

02/07/2011

Focus on Media & Entertainment: RubinBrown Survey Reveals Economic Stabilization on the Horizon

RubinBrown’s Media & Entertainment Services Group is proud to serve many clients in the media and entertainment industry.

01/31/2011

Focus on Not-For-Profits: Strategies and Updates for the New Year for Arts and Cultural Organizations

For many arts and cultural organizations, the winter months mark the halfway point in their year and provide a good opportunity for management to review the results of last year and make sure they are on target to meet this year's revenue and budget goals as well as strategic objectives.

01/28/2011

Focus on Accounting: Blue-Ribbon Panel Issues Report on Standard Setting for Private Companies

On Wednesday, January 26, 2011, the Blue-Ribbon Panel (BRP or Panel) issued a much anticipated report on recommendations to the Financial Accounting Foundation (FAF), the parent organization of the Financial Accounting Standards Board (FASB), regarding the future of accounting standards for private companies ^{i ii}.

01/18/2011

Focus On Internal Audit: Foreign Corrupt Practices Act Compliance

What risks facing your company keep you up at night?

If your company conducts business beyond the US borders, the Foreign Corrupt Practices Act (FCPA) should be close to the top of the list.

01/13/2011

Focus on State & Local Taxation: Illinois Proposes Hefty Tax Increase on Individuals aAnd Businesses

On January 13, 2011, Illinois Governor Pat Quinn signed into law a bill which increases taxes for individuals, estates, trusts and corporations nearly 67 percent. These tax increases serve as an effort to close what is expected to be a $15 billion dollar state budget gap.

01/12/2011

UPDATED! Focus on Law Firms: Unlimited FDIC Insurance Coverage For IOLTA In Jeopardy

Many law firms maintain Interest on Lawyers Trust Accounts (IOLTA) on behalf of their clients.

Through December 31, 2010, these accounts receive unlimited FDIC insurance coverage if held at financial institutions participating in the FDIC’s Transaction Account Guarantee (TAG) Program.

01/12/2011

Focus on Media and Entertainment: Personal Property Tax Considerations

While all states authorize the imposition of a tax on real property, only thirty-eight (38) states authorize a tax on personal property.

01/11/2011

Focus On Accounting: RubinBrown Survey Reveals Uncertainty With New Lease Accounting Rules

As previously reported, the Financial Accounting Standards Board (FASB) has published an exposure draft of proposed accounting changes which will require the recognition of assets and liabilities on the balance sheet of entities to reflect lease obligations.

01/03/2011

Focus on Not-For Profits: Tax Act Extends Charity-Related Provisions and UBTI Exception

The Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 (“Act”) was signed by the President on December 17, 2010. Several provisions in the Act may impact not-for-profit organizations

12/27/2010

Focus on Healthcare: Registration to Apply for EHR Incentives Will Begin January 3rd, 2011

As you may recall, the American Recovery and Reinvestment Act of 2009 ("Act"), which was signed into to law on February 17, 2009, provided financial incentives to those eligible health care providers that deploy and use certified electronic health record (EHR) technology.

12/22/2010

Focus on Healthcare: Physician Fee Schedule Cuts Postponed

During 2010, physicians had to deal with the uncertainty of the Medicare physician fee schedule being cut by 25%.

12/21/2010

Focus On Taxation: Tax Extenders Bill Signed Into Law

President Obama signed into law the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 on Friday, December 17, 2010 (the "Act").

12/16/2010

Focus On Internal Audit: The International Professional Practices Framework (IPPF) Is Updated

The International Professional Practices Framework (IPPF), the blueprint of knowledge and guidance for the practice of internal auditing, undergoes a required review every three years by the Institute of Internal Auditors (IIA). This review keeps the Standards relevant and focused to address the needs of stakeholders.

12/16/2010

Focus on Accounting: FASB and IASB Convergence Update

The International Accounting Standards Board (IASB) and the US Financial Accounting Standards Board (FASB) recently issued a progress report on the efforts to converge IFRS and US GAAP.

12/16/2010

Focus On Public Sector: Missouri’s Energy Revolving Fund

Now in its 21st year, the Energy Revolving Fund has saved an estimated $117 million in energy costs for Missouri’s schools, universities, and government buildings.

12/16/2010

Focus on State & Local Taxation: New Oklahoma Tax Enacted

Recently, the state of Oklahoma enacted a business activity tax (BAT) that will be in effect for tax years beginning in 2010, 2011, and 2012. In conjunction with the new BAT, Oklahoma has put a moratorium on their currently imposed franchise tax.

12/16/2010

Focus on Contractors: Proposed Revenue Recognition Changes

The Financial Accounting Standards Board (FASB) recently issued an exposure draft, Revenue from Contracts with Customers, which potentially could have significant affects on Contractors.

12/16/2010

Focus on Not-For-Profits: IRS Filing Relief Program

A number of small nonprofit organizations are at risk of losing their tax-exempt status because they failed to file required returns for 2007, 2008 and 2009.

12/16/2010

Focus on Healthcare: Final Electronic Health Record Incentive Program Regulations

If you deploy and use certified electronic health record (EHR) technology, you may be eligible for financial incentives.

12/16/2010

UPDATED! Focus on Accounting: Lease Accounting Rules

The Financial Accounting Standards Board (FASB) has published an exposure draft of proposed accounting changes which will require the recognition of assets and liabilities on the balance sheet of entities to reflect lease obligations. The concept of an “operating” lease will be essentially eliminated.

12/16/2010

Focus on Public Companies: Progress Update on IFRS

While there aren’t specifics related to the U.S. implementation date for International Financial Reporting Standards (IFRS), the Office of the Chief Accountant for the SEC recently issued a progress update to the previously issued work plan.

12/16/2010

Focus On Real Estate: Tax Deal Provisions Affecting The Real Estate Industry

On Monday, December 6, 2010, President Obama announced a tentative deal with the Congressional Republicans on the tax cut package.

12/15/2010

Focus on Contractors: Update on Multi-Employer Plan Disclosures

The Financial Accounting Standards Board (FASB) recently issued an Exposure Draft, Disclosure About An Employer’s Participation In A Multi-Employer Plan, which potentially could have significant affects on the construction industry. Many contractors contribute to multi-employer plans. The Exposure Draft proposes significant new disclosure requirements for companies participating in these multi-employer plans.

12/15/2010

Focus on State & Local Taxation: Current Tax Amnesty Programs

States and other taxing jurisdictions often offer amnesty programs to accelerate the collection of revenue. Some programs are only for non-filers, some are for only certain tax types and others may accept any outstanding tax due, even those previously assessed. Often under these programs, assessment of penalties are waived.

12/15/2010

Focus on Taxation: New Rules For 1099 Reporting

A little known Section in the Health Care Reform Act of 2010 will change the face of 1099 Information Reporting. Section 9006 of the Patient Protection and Affordable Care Act mandates 1099 reporting for services AND goods purchased in excess of $600 for all payees other than exempt organizations. The new law includes corporations that under current regulations are generally exempt from receiving a Form 1099.

12/15/2010

Focus on Not-For-Profits: Health Insurance Premium Credits

The IRS recently announced the process for small not-for-profit entities to claim a tax credit for the health insurance premiums you pay on your employees.

12/15/2010

Focus On Real Estate: RubinBrown Publishes 2010 Apartment Statistical Analysis

It is with great enthusiasm that RubinBrown presents the 2010 Apartment Statistical Analysis. For over 30 years, our Real Estate Services Group has completed annual evaluations of financial operations and trends within the multifamily real estate industry both in the Midwest and throughout the country.

12/15/2010

Focus on Benefit Plans: Participant Plan Loans

On September 16, 2010, the Financial Accounting Standards Board (FASB) approved the issuance of a new Accounting Standards Update (ASU), Reporting Loans to Participants by Defined Contribution Pension Plans.

12/06/2010

Focus on Automotive: 2010 Accounting & Tax Dealership Checklist

RubinBrown highly values our relationships with automotive dealerships throughout the Midwest.

12/06/2010

Focus on Home Builders: The RubinBrown Blueprint Volume 7

There has been much discussion related to a tax on home sales that resulted from recently enacted health reform legislation. The new 3.8% Medicare contribution tax on net investment income does not take effect until years beginning after December 31, 2012.

12/06/2010

Focus On Real Estate: New Recommendations For Missouri Tax Credit Programs

This past July, Missouri Governor Jay Nixon created a commission to review the state’s current tax credit programs and make recommendations for greater efficiency and enhanced return on Missouri’s investments in these programs.

12/06/2010

Focus On Taxation: Small Business Jobs Act of 2010 Signed Into Law

On Monday, September 27, President Obama signed into law the Small Business Jobs Act of 2010 (the Act). The Act includes a number of important tax provisions that are expected to affect large and small businesses, as well as individuals.

12/06/2010

Focus On Real Estate: 1099 Reporting On Rental Property

A provision of the recently signed Small Business Act of 2010 now requires additional tax reporting to the IRS.

12/06/2010

Focus On Taxation: W2 Reporting Of Health Coverage

The Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act of 2010 (2010 Healthcare Reform Act) have brought about many changes. This legislation will require employers to report the value of employer-sponsored health coverage on each employee’s W-2. Reporting for 2011 is optional. Guidance on future reporting is expected before year end from the IRS.

12/06/2010

Focus On Small Business: Health Insurance Tax Credit

As you may know, the Patient Protection and Affordable Care Act and the Health Care and Education Reconciliation Act of 2010 (2010 Health Care Reform Act) became law in March of 2010.

12/06/2010

Focus On Small Business: IRS Eliminates Federal Tax Deposit Coupons

The US Treasury Department has begun an initiative to increase electronic transactions. Beginning January 1, 2011, most businesses currently using paper Federal Tax Deposit (FTD) coupons will be required to make their federal tax deposits electronically.

12/06/2010

Focus on Hospitality & Gaming: RubinBrown Publishes 2010 Country Club Statistical Analysis

Our survey results represent responses from 16 St. Louis metropolitan area clubs with fiscal year ends that ranged between September 30, 2009 and March 31, 2010.

12/06/2010

Focus On Public Sector: New Three Percent Withholding For Government Entities

Starting on January 1, 2012, all Federal, state, and local government entities will be required to withhold tax at a rate of three percent from payments for property or service, deposit these withholdings with the IRS, and report them to the IRS and the payees. The requirement was originally set to go into effect in 2011 but was delayed for a year.

12/06/2010

Focus On Accounting: Small Public Companies Exempt from SOX 404(b) Requirement

On Thursday July 15th the Senate narrowly approved a major financial regulatory reform package. The legislation was approved by the House on June 30th and President Barack Obama is expected to quickly sign it into law.

12/06/2010

Focus on Automotive: New Ruling on Uniform Capitalization Costs Will Benefit Auto Dealers

The Internal Revenue Service (IRS) has finally issued its long awaited final ruling on uniform capitalization costs under Code Section 263A, also referred to as UNICAP.

06/23/2010

Focus on Colleges & Universities: Proposed Federal Student Aid Rules

Designed to protect college students and taxpayers from abusive and fraudulent practices, the Department of Education has released a set of proposed rules related to federal student aid.

06/22/2010

Focus on Professional Services: Proposed Legislative Changes Could Affect S Corporations

Congress is considering legislation that could have a major effect on S Corporations, specifically those involved in professional services.

06/15/2010

Focus on Taxation: Illinois Legislators Pass Tax Amnesty Program; Bill Awaits Governor’s Action

On May 27th, a tax amnesty and collections bill (SB0377) passed both legislative houses adding Illinois to the list of states trying to accelerate tax receipts.

06/15/2010

Focus on Colleges & Universities: IRS Report on Compliance Project

The IRS recently issued an interim report on their findings from questionnaires received in late 2008 from 344 organizations. The subjects covered in the questionnaire dealt with a wide variety of topics as discussed below.

06/08/2010

Focus on Not-For-Profits: Healthcare Reform & Not-For-Profit Organizations

With the signing of the two landmark bills comes sweeping changes to healthcare in the United States.

05/27/2010

Focus on Taxation: New Missouri Law on the “Resale” Exemption Enacted

On May 12, 2010, Governor Nixon signed into law Missouri Senate Bill 928. The law became effective immediately.

05/27/2010

Focus On Internal Audit: Changes To International Professional Practices Framework (IPPF)

The International Professional Practices Framework (IPPF) serves as the blueprint of knowledge and guidance for the practice of internal auditing.

05/26/2010

Focus on Not-For-Profits: 2009 Revisions to Form 990

The 2009 version of Form 990 is not as radically different as the 2008 version (which had been changed significantly from the 2007 version), but there are several important changes; and in many places, the instructions have been revised to clarify how organizations are to complete the Form and Schedules.

05/11/2010

Focus on Manufacturing: Advanced Energy Manufacturing Tax Credits

The “Security in Energy and Manufacturing Act of 2010,” otherwise known as the SEAM Act, was introduced last week in the U.S. Senate. A similar, now companion, bill was introduced in the House in mid-April.

04/13/2010

Focus On Audit Standards: New Service Organization Reporting Standard Replacing SAS 70

Statement on Auditing Standards No. 70, Service Organizations (SAS 70) has served as the standard for service organizations’ internal control over financial reporting since 1992.

04/01/2010

Focus On Governmental Accounting: GASB Issues Exposure Draft On Accounting for Component Units

The Governmental Accounting Standards Board (GASB) recently issued an Exposure Draft (ED) of a proposed Statement, The Financial Reporting Entity. The proposed Statement would amend GASB Statements No. 14 and No. 34 to improve guidance for the inclusion, presentation, and disclosure of information about component units and equity interest transactions of a governmental entity.

03/26/2010

Focus On Real Estate: JUST RELEASED! Guidance On Section 1602, Low Income Housing Tax Credits

The IRS has just released Notice 2010-18 related to Section 1602 of the American Recovery and Reinvestment Act of 2009.

03/25/2010

UPDATED! Focus On Tax: The New Healthcare Reform Bill

The Patient Protection and Affordable Care Act (H.R. 3590), was passed by Congress on Sunday and signed into law today, March 23, 2010, by President Obama.  This new healthcare legislation contains numerous tax provisions which may impact individuals and businesses. 

03/18/2010

Focus On Tax: Hiring Incentives to Restore Employment (HIRE) Act

On March 18, 2010, President Obama signed into law the “Hiring Incentives to Restore Employment Act” (“HIRE Act”). The principal purpose of the HIRE Act is to create an immediate incentive for businesses to hire unemployed individuals.

03/08/2010

Focus on Not-For-Profits: Arts Organizations – Identifying Potential Unrelated Trades or Businesses

Given the wide variety of activities conducted by arts organizations, it becomes increasingly difficult to distinguish which activities fall under the IRS’s definition of an unrelated trade or business.

03/05/2010

Focus On Real Estate: First Annual Report on the Economic Impact of the Federal Historic Tax Credit

An encouraging new study of the federal historic tax credit (HTC) was just released by Rutgers University Center for Urban Policy Research.

03/04/2010

Focus on Not-For-Profits: Important Update on 403(b) Employee Benefit Plans

Many not-for-profits organizations are now subject to additional compliance requirements related to the sponsorship and oversight of 403(b) employee benefit plans. Regulations were passed in late 2007 by the Department of Labor (DOL) which eliminated previous exemptions related to the Form 5500 for 403(b) plans.

02/28/2010

Focus on Accounting: SEC Approves Statement on Global Accounting Standards

On February 24, 2010, the SEC announced their support for a single set of high-quality globally accepted accounting standards, indicating that it would benefit U.S. investors.

01/31/2010

Focus on Health Care: Electronic Health Record Incentive Program

As a part of the American Recovery and Reinvestment Act of 2009 ("Act"), which was signed into to law on February 17, 2009, financial incentives were made available to those eligible healthcare providers that deploy and use certified electronic health record (EHR) technology.

01/26/2010

Focus On Taxes: Haiti Relief Donations Qualify as 2009 Tax Deduction

People who make charitable contributions providing for earthquake relief in Haiti can take a tax deduction for the contribution on their 2009 tax return instead of their 2010 return. This means you can receive an immediate tax benefit, rather than having to wait until you file next year’s return.

01/25/2010

Focus On Entrepreneurial Services: Procedures for S-Corporations

The following list contains procedures and reminders for treatment of specific items for S Corporations and S Corporation owners.

01/24/2010

Focus On Taxes: Roth Conversions

In 2010, Roth IRAs may become the retirement arrangement of choice for many taxpayers. This is because new tax rules now make these types of plans available and more attractive to many additional taxpayers.

01/20/2010

Focus on Not-For-Profits: Selling More Scrip

Many not-for-profit organizations, including churches and other religious organizations, already sponsor scrip programs. A recent IRS ruling adds a potential new benefit to this fundraising tool. Scrip is substitute money. It is usually in the form of cards or certificates that can be used as cash at various merchants.

01/11/2010

Focus On Taxes: Illinois Repeals Previous Replacement Tax Code Change

On December 16, 2009, Illinois Gov. Pat Quinn (D) signed legislation, effective immediately, repealing a law change that would have subjected businesses operating as professional service partnerships, LLPs or LLCs to an additional tax on profits.

12/03/2009

Focus on Healthcare: Medicare’s Recovery Audit Contractor Program for 2010

For the past three years, the Center of Medicare and Medicaid Services (CMS) has been piloting a program to review claims paid under the Medicare program.

11/10/2009

Focus on Home Builders: The RubinBrown Blueprint Volume 6

The President signed the Worker, Homeownership, and Business Assistance Act of 2009 on Friday, November 6th, which is expected to boost the housing recovery and help struggling businesses recover.

10/19/2009

Focus on Home Builders: The RubinBrown Blueprint Volume 5

Having attended the Fall NAHB Board meeting last week, the mood of industry appears to provide some glimpse of optimism.

10/08/2009

Focus on Healthcare: Proposed Regulations Reduce the Physician Fee Schedule by 21 percent in 2010

As Congress debates healthcare reform, the Center for Medicare & Medicaid Services (CMS) continues to issue regulations to implement laws that are currently in place.

05/06/2009

Focus on Automotive: Recent Missouri Income Tax Ruling Affects Dealerships

A recent ruling by the Missouri Supreme Court adds some clarity to the calculation of a Missouri dealership’s taxable income.

05/05/2009

Focus On Real Estate: Affordable Housing Update

On May 4th, the Department of Housing and Urban Development (HUD) and Treasury Department released much anticipated guidance on the Tax Credit Assistance Program (TCAP) and Exchange Programs created by the American Reinvestment and Recovery Act of 2009, signed by President Obama on February 17, 2009.

05/03/2009

Focus on Not-For-Profits: FASB Staff Position No. 117-1

On August 6, 2008, the Financial Accounting Standards Board (FASB) issued FASB Staff Position No. 117-1 (FSP 117-1). This pronouncement clarifies various financial reporting matters related to donor-restricted endowments held by not-for-profit organizations operating in states that have enacted the Uniform Prudent Management of Institutional Funds Act of 2006.

03/16/2009

Focus on Health Care: American Recovery and Reinvestment Act of 2009

On February 13, 2009, Congress passed the American Recovery and Reinvestment Act of 2009 ("Act").

03/10/2009

Focus On Public Sector: GASB Issues New Statement on Fund Balance Reporting

On March 11, 2009 the Governmental Accounting Standards Board (GASB) issued GASB Statement No. 54, Fund Balance Reporting and Governmental Fund Type Definitions. Statement 54 is intended to provide financial report users information about fund balance by making available more structured fund balance classifications, and by clarifying the definitions of existing governmental fund types.

02/18/2009

Focus on Contractors: American Recovery and Reinvestment Act of 2009

On February 13, 2009, Congress passed the American Recovery and Reinvestment Act of 2009 (“Act”). President Obama signed the Act into law on February 17, 2009. The Act provides a series of direct spending and tax incentives for individuals and businesses to jump start the U.S. economy.

02/18/2009

Focus on Automotive: American Recovery and Reinvestment Act of 2009

On February 13, 2009, Congress passed the American Recovery and Reinvestment Act of 2009 (“Act”). President Obama signed the Act into law on February 17, 2009. The Act provides a series of direct spending and tax incentives for individuals and businesses to jump start the U.S. economy.

02/17/2009

Focus on Real Estate: American Recovery and Reinvestment Act of 2009

On February 13, 2009, Congress passed the American Recovery and Reinvestment Act of 2009 ("Act"). President Obama signed the Act into law on February 17, 2009. The Act provides a series of Housing Credit provisions designed to stimulate the stalled affordable housing industry.

02/16/2009

Focus on Manufacturing & Distribution: Making Your Sustainability Initiative Profitable

The Environmental Protection Agency defines “sustainability” as “meeting the needs of the present without compromising the ability of future generations to meet their own needs.” Often, corporate management has viewed green initiatives as expensive propositions that ultimately reduce the profitability of the business.

01/14/2009

Focus on Contractors: Cash – The Difference between Thriving and Surviving

For contractors, cash is far more than just dollars and cents. In these challenging economic times, more contractors will go out of business because of poor cash flow than from a lack of work or fading profits. In the leanest of times, a strong cash flow can be the difference between success and failure for a construction company.

01/14/2009

Focus on Health Care: Managing a Physician Practice in Uncertain Times

In July, Congress passed the Medicare Improvement for Patients and Provider Act of 2008. On July 1, 2008, the Medicare physician fee schedule was set to be reduced by 10.6 percent, with another 5.4 percent cut on Jan. 1, 2009.

01/13/2009

Focus on Manufacturing & Distribution: Research and Development Tax Credit

As part of the Emergency Stabilization Act of 2008 (Bailout Bill) passed by Congress Oct. 6, 2008, the Research and Development Tax Credit was extended through 2009. The credit was set to expire at the end of 2007, but with this extension, companies will be eligible to claim the credit in the 2008 and 2009 tax years.

01/13/2009

Focus on Not-For-Profits: Compensation Reporting Changes for the 2008 Versions of IRS 990 Forms

The new Form 990 has changed the requirements for reporting of compensation of officers, key employees and board members. There also are changes for reporting the top paid employees other than officers and key employees and for reporting the top paid independent contractors.

01/11/2009

Focus On Public Sector: Detecting And Deterring Fraud In Local Governments

When one thinks of fraud, the corporate sector is typically the segment of the economy that first comes to mind. Fraud schemes at Enron, WorldCom and other companies have grabbed the headlines during the last decade, and in the process they have cost investors billions and resulted in major accounting overhauls, including the adoption of the Sarbanes-Oxley Act.

01/11/2009

Focus on Home Builders: Looking Up From the Bottom

The best statement that can be made about 2008 is that it is finally over! The worst economy in our lifetimes has certainly left much carnage to the national and local home building industry. Inconsistent to infrequent sales through the year seemed to be the norm.

01/11/2009

Focus on Home Builders: Economic Stimulus Update

House and Senate conferees completed work on final elements of the stimulus legislation early this morning. I would like to provide you with a brief overview of what is in the final legislative package, particularly as it relates to the housing community.

01/06/2009

Focus On Media & Entertainment: FAS 141R – Business Combinations

The new guidance under Statement of Financial Accounting Standards (SFAS) No. 141(R) – Business Combinations is a major change in the accounting treatment of acquisitions and mergers of businesses.

10/26/2008

Focus on Health Care: Highlights of the 2008 AICPA National Healthcare Industry Conference

The American Institute of Certified Public Accountants (AICPA) recently held the 2008 National Healthcare Industry Conference in San Diego, California.

09/09/2008

Focus on Not-For-Profits: Preventing and Detecting Fraud

The St. Louis Division of the Federal Bureau of Investigation recently announced that the former Chief Financial Officer of a well-respected worldwide charitable organization plead guilty to a scheme to defraud the organization of more than $800,000. In light of this news, it is instructive and timely to address the important role the Board of Directors of not-for-profit organizations have in strengthening internal controls.

09/01/2008

Focus on Manufacturing & Distribution: International Tax Traps for the Unwary - Part II

This article is the second installment of a periodic series that addresses common fact patterns involving international business operations that can result in unforeseen, adverse U.S. tax consequences. The topic of this installment is the “thin capitalization” provisions related to interest expense deductions for foreign subsidiaries on loans from their U.S. parent companies.

08/26/2008

Focus on Not-For-Profits: OMB Issues New Data Collection Form and Online Instructions

Every 3 years the Office of Management and Budget has the opportunity to revise the Data Collection Form (the Form or DCF) used for submitting to the Federal Clearing House A-133 report packages.

08/26/2008

Focus On Public Sector: OMB Issues New Data Collection Form and Online Instructions

Every 3 years the Office of Management and Budget has the opportunity to revise the Data Collection Form (the Form or DCF) used for submitting to the Federal Clearing House A-133 report packages.

08/25/2008

Focus on Not-For-Profits: Get Ready for the Redesigned Form 990!

The IRS has released advance copies of the redesigned Form 990 and the related instructions. For tax years beginning on or after January 1, 2008, the new Form 990 filed by most tax-exempt organizations will involve additional disclosures.

08/04/2008

Focus on Manufacturing & Distribution: First "Lean and Green" Summit

RubinBrown recently attended the first Lean and Green Summit in Boulder, Colorado. Discussions at the Summit were focused on implementing green practices into manufacturing and distribution businesses. The primary message of the Summit was to improve environmental sustainability while growing the bottom line.

07/30/2008

Focus on Real Estate: Victory for Housing and Financial Markets

On July 30, 2008, President George W. Bush signed into law H.R. 3221, the Housing and Economic Recovery Act of 2008.

07/29/2008

Focus on Home Builders: Housing Act Provides Tax Credits and Deduction for Home Owners

On July 30, 2008, the President signed the landmark housing bill H.R. 3221, Housing and Economic Recovery Act of 2008 (the Housing Act).

07/22/2008

Focus on Public Sector: GASB Issues Statement No. 53

The use of derivatives in the Public Sector is becoming more common, specifically when it comes to issuing variable rate long-term debt. These financial arrangements are often highly complex and require specialized knowledge, but can be useful to governments by more effectively and predictably managing their exposure to a specific risk.

03/10/2008

Focus on Automotive: IRS Provides Safe Harbor LIFO

Over the years as truck and crossover vehicles have become more popular; most dealers have seen a shift in their mix of inventory from cars to trucks. Most recently, this trend has begun to reverse.

10/12/2008

Focus on Media & Entertainment: Are You in Compliance with Payment Card Standards?

Credit and debit payment cards are convenient for consumers and businesses. They are used to pay for everything including concert tickets, cable and phone, newspaper and magazine subscriptions and many forms of advertising.

02/10/2008

Focus on Manufacturing & Distribution: International Tax Traps for the Unwary

This article is the first in a series that will address common fact patterns involving international business operations that can result in unforeseen, adverse U.S. tax consequences. We welcome Richard Shapland, Partner, International Tax Services, of Virchow Krause & Company, LLP as a guest author in this series.

11/09/2007

Focus on Manufacturing & Distribution: Transfer Pricing - A Double-Edged Sword

For federal income tax purposes, related party transactions with foreign entities must be at arms length. Many states have adopted these federal principles. Most foreign countries also have specific transfer pricing rules. The theory of transfer pricing looks at the relative profit and cost recognized by two related parties.

10/17/2007

Focus on Manufacturing & Distribution: Missouri Enacts Manufacturing Inputs Exemption

On June 13, 2007, Governor Matt Blunt signed into law Senate Bill 30 (SB 30), which became effective on August 28, 2007. SB 30 modifies several provisions of Missouri’s sales and use tax laws.

08/01/2007

Focus on Home Builders: Section 199: Domestic Production Activities Deduction - New Rules and Clarifications

The Domestic Production Activities Deduction (Section 199) became effective for the calendar year 2005 tax returns. Legislative changes as well as additional regulations issued by Treasury have provided some additional guidance on this deduction.

08/17/2006

Focus on Not-For-Profits: New Tax Law Affects Exempt Organizations

On August 17, 2006, the President signed the Pension Protection Act of 2006. Included within this bill are many of the 2005 Senate Finance Committee proposals for charities and other tax-exempt organizations. Some of the changes provide incentives for donors.

07/03/2006

Focus on Manufacturing & Distribution: 199 Production Activities Deduction New Rules

At this time, many of us have filed our 2005 tax returns reflecting the first year of the Production Activities Deduction. Legislative changes as well as additional regulations issued by Treasury have provided interesting guidance on the Production Activities Deduction. This e-focus article includes a description of some of these changes for manufacturers.

02/01/2006

Focus on Automotive: IRS Announcement Affects Heavy Equipment Dealers

The IRS recently announced that it will allow heavy equipment dealers to value their parts inventories using replacement cost.

10/01/2005

Focus on Home Builders: Safe Harbor in Code Sec. 199 Proposed Regs Gives Home Builders and Developers Some Relief

For tax years beginning after 2004, taxpayers can claim a deduction to offset income from domestic manufacturing and other domestic production activities.

10/01/2005

Focus on Home Builders: News From the NAHB Convention and Managing Direct Construction Costs

Welcome to this special edition of FOCUS on Home Builders, a newsletter service RBG provides to our valued clients. This enews provides an update of the January National Association of Home Builders annual convention held recently in Orlando.

02/01/2005

Focus on Not-For-Profits: St. Louis County Personal Property Tax

Many charitable and educational organizations (section 501(c)(3) organizations) that did not receive a personal property tax declaration in prior years have received such a form from the St. Louis County assessor's office in the past few weeks.

01/01/2005

Focus on Home Builders: New Reporting Requirement

The Financial Accounting Standards Board (FASB) issued a new financial reporting requirement that may have a farreaching impact on home builders. Home builders often enter into lot option contracts and joint ventures as a normal course of business.

11/01/2004

Focus on Not-For-Profits: New Tax Law Affects Charities and Donors

The American Jobs Creation Act contains provisions which may affect tax exempt organizations. In particular, organizations that receive deductible charitable donations and their donors will have additional reporting burdens.