IRS: Status of Family Research Council

August 24, 2022By Smeriglio Associates LLCNews

U.S. House Democrats have asked Treasury Secretary Janet Yellen and IRS Commissioner Chuck Rettig to review the tax status of the Family Research Council (FRC). The group has met IRS requirements to qualify as a church, but House Democrats say the FRC is an advocacy organization that shouldn’t be tax exempt. They argue that many … Read More

How to keep remote sales on point

August 23, 2022By Smeriglio Associates LLCNews

The pandemic has dramatically affected the way people interact and do business. Your company likely undertook various changes to adapt to the initial lockdowns and the ongoing public health guidance over the past two years. An interesting byproduct of the crisis is that it created a somewhat involuntary experiment in remote work. Many businesses that … Read More

CBO: Inflation Reduction Act

August 23, 2022By Smeriglio Associates LLCNews

The Congressional Budget Office (CBO) has estimated that the proposed Inflation Reduction Act would cut federal spending by $14.5 billion and raise $87 billion in revenue, reducing government deficits by nearly $102 billion over 10 years. The figures are a yearly average based on the bill’s projected impact from 2022 through 2031, the CBO said. … Read More

How external confirmations are used during an audit

August 22, 2022By Smeriglio Associates LLCNews

Auditors commonly use confirmations to verify such items as cash, accounts receivable, accounts payable, employee benefit plans and pending litigation. Under U.S. Generally Accepted Auditing Standards, an external confirmation is “a direct response to the auditor from a third party either in paper form or by electronic other means, such as through the auditor’s direct … Read More

The Penn Wharton Inflation Budget Model

August 20, 2022By Smeriglio Associates LLCNews

Can the proposed Inflation Reduction Act deliver much-needed economic relief? In spite of some estimates from Congress, another research group is doubtful. The Penn Wharton Budget Model research tool quantifies the economic impact of government policies. It estimates that the bill would cut federal deficits by $248 billion over 10 years but have little impact … Read More

Evaluating “going concern” concerns

August 19, 2022By Smeriglio Associates LLCNews

Under U.S. Generally Accepted Accounting Principles (GAAP), financial statements are normally prepared based on the assumption that the company will continue normal business operations into the future. When liquidation is imminent, the liquidation basis of accounting may be used instead. It’s up to the company’s management to decide whether there’s a so-called “going concern” issue and … Read More

How to account for collaborative agreements

August 19, 2022By Smeriglio Associates LLCNews

Today, many companies share research or technology to develop new products. For example, manufacturers might enter into a joint venture to conduct scientific research to design a new medical device. Or a watchdog group might work with a production company to create and distribute a documentary film. How revenue and other payments between the parties … Read More

IRS: Extension For Amended Retirement Plan

August 19, 2022By Smeriglio Associates LLCNews

The IRS has extended the deadlines for amending a retirement plan or individual retirement arrangement to reflect recent legislation, including the SECURE Act and the CARES Act. The extended amendment deadline is Dec. 31, 2025, for 1) an IRA or 2) a qualified retirement plan or 403(b) plan (including a collectively bargained plan) that isn’t … Read More

IRS: University Email Addresses

August 4, 2022By Smeriglio Associates LLCNews

Students and staff at educational institutions, beware. An IRS impersonation scam continues to target schools, including people with “.edu” email addresses. This applies to public, private and nonprofit schools. The suspect emails display the IRS logo and may refer to a “tax refund” in the subject line. The sender then tells recipients that, to claim … Read More