The final regulations are similar to the proposed regulations issued in January, with some changes that the IRS said were made in response to comments.
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NEWS
PEEC seeks feedback on guidance for providing tax services to attest clients
An exposure draft addresses potential threats to independence when members perform tax advisory and tax planning services. The comment deadline is Dec. 15
OMB announces plan to eliminate 60 accounting rules for federal contractors
The White House Office of Management and Budget’s Cost Accounting Standards Board published a final rule and a proposed rule that would eliminate “redundant” requirements.
IRS releases draft form for tip, overtime, car loan, and senior deductions
The IRS on Friday released a draft of Schedule 1-A (Form 1040), a single form that consolidates the calculations of the four temporary deductions for tips, overtime, car loan interest, and seniors that are allowed under H.R. 1.
MAP Survey finds CPA firm starting pay on the rise
Starting salaries increase 17% over two-year period for master’s graduates, 11% for those with a bachelor’s degree.
Skilled for success? Accounting newcomers say yes, managers say no
Employees in their first five years give themselves high ratings on readiness skills, but those who manage new employees don’t see it that way.
IRS warns taxpayers: Social media advice can lead to costly penalties
Misleading posts about credits like the fuel tax credit are landing taxpayers in trouble — with fines up to $5,000 for frivolous returns.
Global tax deal could hurt US companies, says letter requesting OECD guidance
A letter from the Association of International Certified Professional Accountants addresses guidance and recommendations on the Pillar Two framework co-existing with U.S. tax rules for U.S. multinational enterprises in a side-by-side system to the OECD.
Few companies strategically using risk management
Even though most leaders look at risk when evaluating new strategic initiatives and don’t view a lack of value as a barrier to implementation of risk management measures, few put it all together and turn enterprise risk management into a competitive advantage.
Treasury posts preliminary list of jobs eligible for no tax on tips
The list has a variety of occupations that customarily receive tips, including bartenders, dancers, and digital creators.
Business outlook brightens somewhat despite trade, inflation concerns
CPA leaders’ optimism about their own organizations remained the same, and projections for revenue and hiring rose slightly, a quarterly survey shows.
New: Digital assets practice aid addresses auditing of lending, borrowing
A new chapter in Accounting for and Auditing of Digital Assets provides examples of substantive procedures and scenarios for both the lender and borrower perspectives.
Guidance on research or experimental expenditures under H.R. 1 issued
The revenue procedure advises taxpayers how to make various elections, file amended returns, and change accounting methods as provided under Section 70302 of the new law.
PCAOB postpones effective date for new quality control system
The PCAOB announced that QC 1000, A Firm’s System of Quality Control, is set to be effective Dec. 15, 2026, to give firms sufficient time for implementation.
Draft 2026 Form W-2 includes boxes and codes for tips and overtime
The IRS said previously that it will not release a new form for 2025, even though the temporary H.R. 1 provisions are effective this year, but it will provide transition relief.
Out of office: Employers’ push for more office time meets resistance
While the number of days the average employee is expected to work in the office approaches three, the number of days spent in the office lags behind employer expectations.
SEC accepting Professional Accounting Fellow applications
The SEC’s Office of the Chief Accountant is accepting applications for positions that will begin later this year.
IRS seeks to fill ‘critical vacancies’ as workforce declines 25%
The IRS has asked some employees who accepted deferred resignation offers if they want to stay on the job.
Will budget, staff cuts impede IRS modernization? Former commissioner weighs in
Former IRS Commissioner Danny Werfel says the cuts, combined with the need to reengineer systems for the OBBBA, will make it difficult for the IRS to succeed at improving technology.
IRS should be more transparent when communicating phone service metrics, report says
The report by the Treasury Inspector General for Tax Administration called on the IRS to include more phone lines and to cover the entire fiscal year when reporting on its level of service and wait times.
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