2012 - Page 19 of 19 - Journal of Accountancy

The magazines

January 1, 2012

Banking

The FDIC in October projected that the Deposit Insurance Fund (DIF) would incur $19 billion in losses for failures of insured institutions in the five-year period from 2011 through 2015—less than the estimated $23 billion in losses caused by bank failures in 2010 alone. While the regulator cautioned that these

January 1, 2012

The right sort

Q: I receive large amounts of data that need to be sorted both vertically and horizontally in Excel. I typically accomplish this task by transposing the data onto a separate worksheet (using the Paste Special, Transpose command), where I sort the data vertically (which is actually a horizontal sort because

January 1, 2012

Mortgage interest deduction allowed for home never built

The Tax Court held that a couple could deduct interest paid on a loan incurred to purchase property on which they intended to construct a new home but never did. According to the court, a qualified residence was deemed to be under construction when an existing home was demolished and

January 1, 2012

What 11-letter word do all CPAs spell incorrectly?

Q: Help! I accidently added several incorrectly spelled words to my Word 2010 dictionary, and now they are causing problems. Can you tell me how to remove those incorrect words from my dictionary? A: The words you add to your dictionary are saved in your Custom Dictionaries word list, which

January 1, 2012

A solution for dummies

Q: I frequently prepare document templates (such as newsletters and brochures) in Word 2010, and I often need to insert dummy text to help form the document layout. I usually find some old text and copy it into the document template, but I’ve found out the hard way that using

January 1, 2012

News highlights for January 2012

The SEC staff released reports analyzing the current reporting practices of companies using IFRS and comparing U.S. GAAP and IFRS requirements in specific areas. The first report, An Analysis of IFRS in Practice, is a 65-page joint effort by the SEC’s Division of Corporation Finance and Office of the Chief

January 1, 2012

Top-hat retirement plans

Tax-exempt entities may establish as many as three types of tax-favored retirement plans. They may, of course, establish qualified retirement plans. They may also establish Sec. 403(b) plans, generally known as tax-sheltered annuities. The tax law treats distributions from qualified plans and tax-sheltered annuities similarly, a treatment generally familiar to

January 1, 2012

A bolder folder

Q: I want all of my Windows Vista folders to display the Details view, with my own custom column headings and column widths. Unfortunately, Vista does not seem to consistently remember these settings after I customize the top-level folder’s view using these steps: 1. I select Details from the Views

January 1, 2012

Financial reporting

The AICPA’s Financial Reporting Executive Committee (FinREC) issued a working draft of the AICPA Accounting and Valuation Guide Testing Goodwill for Impairment. The guide provides nonauthoritative guidance and illustrations for valuation specialists, preparers of financial statements, and independent auditors regarding goodwill impairment testing. While the guide includes some guidance

January 1, 2012

Auditing

As a result of the Small Business Lending Fund created by the Small Business Jobs Act of 2010, the AICPA Audit and Attest Standards staff has issued Technical Practice Aid (TPA) 9110.18, “Small Business Lending Fund Auditor Certification Guidance,” to provide guidance on how an independent auditor may certify that

January 1, 2012

IRS provides planning opportunity for accrued bonuses

A recently issued revenue ruling (Rev. Rul. 2011-29) provides accrual-method employers with a potential planning opportunity to secure a current deduction for accrued bonuses paid within 2½ months of their tax year-end. This opportunity can apply even though the bonus plan includes a contingency, that is, a requirement that the

January 1, 2012

Estate tax protective claim procedures detailed

The IRS issued guidance on filing a protective claim for refund of estate tax and notifying the IRS that the claim is ready for consideration. The guidance, in Rev. Proc. 2011-48, provides details on who may file a protective claim, methods by which the claim must be prepared and submitted,

January 1, 2012

Romeo C. Blanquera

Sometimes when people make small talk, they ask, “What’s your favorite television program?” Without hesitation, I answer, “Dancing with the Stars.” My wife and I watch the show almost religiously, because we are ballroom dancers. Dancing, to us, is a way to get away from the stresses of running a

January 1, 2012

New law, proposed regs heighten EITC preparer due diligence

The Sec. 6695(g) penalty for failure by preparers to exercise due diligence with respect to the earned income tax credit (EITC) increased from $100 to $500 effective for returns required to be filed after Dec. 31, 2011. The measure was enacted in late October as part of the U.S.-Korea Free

FROM THIS MONTH'S ISSUE

Flip out with the latest Tech Q&A

The September Technology Q&A column shows how to create dynamic to-do lists with Excel's checkboxes and also how to set up multifactor authentication texts that don't rely on phones. Flip through both items and view a video walkthrough in our digital format.