Category: Accounting & Finance

New Definition of a Business

ASU 2017-01, Business Combinations (Topic 805): Clarifying the Definition of a Business revised the definition of a business, which will reduce the number of transactions that are accounted for as “business combinations” versus “asset acquisitions”. The following are two very important...


Decoding the Alphabet Soup of Tax Reform

Did you know the TCJA imposes a GILTI tax, allows a FDII deduction, and has introduced a new BEAT? If you are practicing in the post-tax reform era, you’ve probably heard the new lingo, but may still be trying to understand what it all means. The TCJA (Tax Cuts and Jobs Act) has introduced the...


Court Ruling Gives Surprise Twist to Meaning of Tax Home

If a new Tax Court ruling is correct, it means that a tax return I recently prepared is not correct. The issue for the taxpayer in this case, and for my client, is whether or not they are allowed to deduct “away from home“ expenses under code section 162 (a)(2). Those expenses must be incurred...


View the Latest Becker CPA Exam Review Course & Software Updates

At Becker Professional Education, we’re constantly working to improve and deliver you the best possible preparation for the CPA Exam. Check out the latest exciting updates to our course and software below! 50 New SkillMaster Videos In our SkillMaster Videos, our expert instructors walk you through...


My CPA Exam Story: 13 Failed Sections…and then Becker!

It’s the moment every CPA Exam candidate dreads: a score that falls below 75. It’s also a moment many exam takers will encounter, with the American Institute of CPAs® (AICPA) reporting passing rates below 50% for three out of the four sections in Q1 of 2018. Scott Stacks would encounter this...


SSARS No. 24 – New Requirements for Compilations and Reviews

The purpose of this new omnibus statement is to amend Statement on Standards for Accounting and Review Services (SSARS) in various ways, as briefly highlighted below. Adds AR-C section 100, Special Considerations – International Reporting, which addresses when an accountant is engaged to perform a...


Understanding the New BEAT

The Tax Cuts and Jobs Act added a new provision to the Internal Revenue Code called the “Base Erosion and Anti-abuse Tax” (BEAT). The BEAT acts as a minimum tax and applies to large corporations with at least $500 million in gross receipts. The new tax is effective for taxable years beginning...


My CPA Exam Story: Making Sacrifices for the End Goal

Dory Pluger started studying for the CPA Exam in September 2016, and successfully completed all four parts on the first try* by August 2017 using Becker’s Self-Study CPA Review, as well as CPA Exam Final Review. She took the sections in the following order: REG, AUD, FAR, BEC. She shares more of...


Proposed Ethics Interpretation - Knowing Misrepresentations in the Preparation and Presentation of Information

AICPA Members in business may be involved in the preparation and presentation of information for use both internally and externally to an employing organization. This includes financial and non-financial information, such as performance reports, budgets, forecasts, tax returns, and more. Members who...


Closing the Tax Gap after Tax Reform

Administering and enforcing the tax code is no small task. In 2017, the IRS processed 245 million tax returns, collected $3.4 trillion in taxes, and issued refunds to over 120 million households.  So, how will the Tax Cuts and Jobs Act impact the IRS’s tax administrative duties,...


My CPA Exam Story: Exercise Was Key to Focus

Derek Almich graduated from Minnesota State University in Mankato, Minn., in December 2016 with a degree in accounting and corporate finance. He used Becker’s Self Study CPA Exam Review Format to prepare for the CPA Exam, typically studying for two months before each exam with a little more time...


Becker Launches New Study Tool, CPA SkillMaster Videos

Do you ever wish you had a coach to walk you through the most complex CPA Exam questions? Meet our new CPA Skillmaster Videos! The one-of-a-kind study tool has expert instructors walking you through solutions and strategies for the CPA exam task-based simulations (TBS). It’s like having your own...


My CPA Exam Story: Achieving Success as a Working Mom

Jennifer Garcia is the mother of Olivia, 8, and Emma, 3. She graduated college from Illinois State in 2000, and worked as an auditor until 2002. She recently shared her CPA Exam journey with us, including her experience with Becker’s Self-Study CPA Exam Review: I sat for my CPA exam in college my...


Tax Trends and Federal Receipts for 2018

A recent report by the Joint Committee on Taxation (JCT) highlights some interesting tax trends over the last 75 years and makes important projections about federal tax receipts for 2018.[i] For starters, the individual income tax is expected to account for 50.0% of Federal receipts in 2018.  This...


The AICPA Releases Interpretation on Dual-Audit Reporting

The Auditing Standards Board (ASB), who promulgates generally accepted auditing standards (GAAS), recently released an interpretation to help any auditor of a “nonissuer” comply with reporting requirements under both AU-C Section 700, Forming an Opinion and Reporting on Financial Statements, and...


Tax Provisions Included in the Consolidated Appropriations Act

On March 23, 2018 President Trump signed into law the Consolidated Appropriations Act of 2018. The $1.3 trillion spending bill funds the federal government through September 30. This article explores the tax-related provisions included in this new law. Low-income Housing Credit  The low-income...


Time Management Tips for the CPA Exam

The CPA Exam uses a multistage testing format. If you do well on one testlet, the next testlet will be harder, so time management is key. Here are some tips to keep you on task when you sit for the exam: Move Quickly Through the First Testlet The first testlet is at a level of moderate difficulty....


Managing Stress on the CPA Exam

There is no denying that studying for the CPA Exam is an inherently stressful experience. One cannot completely eliminate that stress, and it probably wouldn’t be a good idea to do so because stress can be a motivator, but you don’t want the time you spend studying to be the worst experience of...


The Latest Independence Impairment Concern – Hosting Your Client’s Data

The AICPA Code of Professional Conduct “Independence Rule” Section 1.295.143 relates to Hosting Services.  Under this newest rule, a CPA’s independence is impaired when taking responsibility for hosting an attest client’s data or records (whether hard copy or electronic).  This action is...


How Tax Reform Has Impacted Foreign Operations

Most U.S. corporations conduct their foreign business operations through foreign subsidiaries. When a foreign subsidiary is owned more than 50 percent by U.S. shareholders, it’s considered a controlled foreign corporation (CFC). If a U.S. corporation controls a foreign corporation in a low-tax...