Professional Accounting Blog

Accounting For Your Prosperity

U.S. House Passes Tax Bill for Individuals and Businesses

Posted by Karen McCarthy on Nov 20, 2017 1:15:34 PM

Topics: Tax Planning & Strategies

On November 16, the U.S. House of Representatives passed the Tax Cuts and Jobs Act by a vote of 227 to 205. What are tax reform’s next few steps? On November 17, the Senate Finance Committee approved its own tax reform bill, and the full Senate is expected to weigh in on the bill after the Thanksgiving holiday. If the Senate passes its bill, the House and Senate will work to reconcile their two bills into a final piece of legislation.

Here’s an overview of some of the most significant provisions for individual taxpayers and businesses in the House bill. Most of the changes will go into effect in 2018 if they’re included in reconciled legislation.

Read More

What is Accounting Automation and Does it Make Sense for You?

Posted by Carlin Culbertson on Nov 14, 2017 9:15:00 AM

Topics: Accounting & Auditing

If you didn’t have a stack of invoices that need keyed into your accounting system and coded to expense accounts would you be sad? Hopefully not unless you’re one of those people that really likes typing. If you aren’t one of those people and want to avoid getting carpal tunnel, then you may be interested in accounting automation using artificial intelligence (AI) tools and how it can streamline your processes, free up time, and increase accuracy.

Read More

Increase in Plastic and Rubber Manufacturing is Expected as Prices of Raw Materials Decrease

Posted by Lloyd Bell on Nov 1, 2017 1:55:56 PM

Topics: Accounting & Auditing, Corporate Finance

The following overview of the plastics and rubber manufacturing industry trends is part of a larger series of industry reports that will be published between August and November 2017 for the benefit of our subscribers. Data and information provided is cited from IBIS World, a global business intelligence leader specializing in industry market research.

In 2016, Meaden & Moore clients in the plastics and rubber manufacturing industry experienced a 9.8% decrease in revenue. This decrease in revenue caused the net income for the clients in this industry to fall 15.0%. The plastic manufacturing industry as a whole experienced revenue growth of 1.9% over the past five years. This growth is expected to increase slightly to 2.5% over the next five years.

Read More

Deal Price Doesn’t Always Represent Fair Value

Posted by Meaden & Moore on Oct 23, 2017 9:22:05 AM

Topics: Investigative and Forensic Accounting

In appraisal rights claims, the price paid in a merger may not represent “fair value,” especially when the deal involves related parties. This article summarizes a recent Delaware Chancery Court case, where the judge concluded that a deal price is only as reliable as the process that was used to negotiate the transaction. In the absence of a “competitive and fair auction,” the court will rely on other valuation methods instead.

Read More

Are You Ready for e-Discovery in the IoT Age?

Posted by Meaden & Moore on Oct 19, 2017 8:30:00 AM

Topics: Investigative and Forensic Accounting

Today, attorneys face a new frontier in discovery — the so-called “Internet of Things” (IoT). This article discusses the implications for e-discovery as society becomes increasingly connected to the Internet. A sidebar showcases how the IoT has become part of our everyday lives, creating opportunities and risks for clients.

Read More

Understanding Financial Misstatement

Posted by Meaden & Moore on Oct 17, 2017 8:00:00 AM

Topics: Investigative and Forensic Accounting

The least common type of fraud can also be the costliest

When a dishonest CFO or controller cooks the books, it can be devastating for the victim organization. This article provides surprising statistics on financial statement fraud from the latest ACFE Report to the Nations on Occupational Fraud and Abuse and explains the importance of creating awareness about and reducing the motive to commit this type of occupational fraud.

A recent study proves that the association may be flawed. In fact, smaller organizations need to understand how misstatement scams operate and work to reduce motives to commit this type of occupational fraud.

Read More

What Would the Republican Framework for Corporate Tax Reform Mean for Your Business?

Posted by Jonathan Ciccotelli on Oct 16, 2017 10:27:17 AM

Topics: Tax Planning & Strategies

Corporate tax reform has been a hot topic for many months and it’s now beginning to be addressed in Washington in a little more (but not a lot more) detail. On September 27, the President and Republican congressional leaders released the nine-page “Unified Framework for Fixing Our Broken Tax Code,” which includes a framework for corporate tax reform. Many businesses and their owners are wondering how corporate tax reform could affect them. The framework is a bit sparse on details, but let’s shed some light on those it does include.

Read More

A Closer Look at How the New Tax Reform Proposal May Affect Individual Taxpayers

Posted by Natalie Takacs on Oct 13, 2017 12:34:14 PM

Topics: Tax Planning & Strategies

In the days following the release of the proposed Republican “framework” for implementing tax reform, issues have been raised about its contents. For example, some analysts and organizations have argued that large tax cuts would significantly increase the deficit if the economic growth projected by Republicans fails to materialize.

President Trump has said his plan, released in a nine-page document titled “Unified Framework for Fixing Our Broken Tax Code,” is aimed at cutting taxes and creating jobs. It also strives to make the Internal Revenue Code simpler. Let’s take a closer look at how the proposal may affect individual taxpayers.

Read More

Expert Report Fends Off Daubert Attacks

Posted by Meaden & Moore on Oct 13, 2017 9:00:00 AM

Topics: Investigative and Forensic Accounting

From divorces to business disputes, the linchpin in all types of litigation often turns out to be expert testimony. But, before they’re able to testify, many expert opinions must first survive a Daubert challenge. This article summarizes a recent federal district court case that demonstrates how a detailed written report can be the deciding factor in persuading the court to admit an expert’s opinion.

Read More

Despite Expected Near-Term Revenue Increase, Chemical Manufacturing Industry Continues to Face Major Hurdles

Posted by Lloyd Bell on Oct 3, 2017 3:59:17 PM

Topics: Accounting & Auditing, Corporate Finance

The following overview of the chemical manufacturing industry trends is part of a larger series of industry reports that will be published between August and October 2017 for the benefit of our subscribers. Data and information provided is cited from IBIS World, a global business intelligence leader specializing in industry market research.

In 2016, Meaden & Moore clients in the chemical manufacturing industry experienced an average decrease in revenue of 1.2%, but due to a decrease in costs of sales, gross margins increased 1.1% and net margins by 1.2%. The chemical manufacturing industry as a whole has matched the decrease of 1.2% in revenue over the last five years. This downturn is expected to reverse and turn into an average increase of 1.7% over the next five years.

Read More