Mobility continues to make tremendous progress on the national front. To date, 38 states have enacted mobility legislation, plus two more states have granted mobility privileges only for CPAs from states that have passed mobility. That’s 40 total licensing jurisdictions on board.

In addition:

• Three state legislatures have passed mobility bills; they await gubernatorial approval.
• Legislation is pending in six other states.

The total is likely to be as high as 49 by the end of 2009 – significant progress from the four original states with mobility provisions in place in 2006. Read more about mobility on the MACPA website.

Washington Listens
Members of the MACPA Executive Committee and Legislative Advisory Group met with 13 members of Michigan’s U.S. Congressional Delegation in Washington in late April. This was a tremendous two days of building new relationships and continuing to strengthen relationships with influential members of Congress, including U.S. Senator Debbie Stabenow and Congressmen Dave Camp and Gary Peters. Read more in the Chair’s Message (link) in this issue of Leaders’ Edge.

MBT Penalty Relief
A little closer to home, MACPA is hard at work on the tax front. Our legislative team was successful in negotiating and securing an amendment to identical bills – House Bill 4496 sponsored by State Representative Sarah Roberts and Senate Bill 98 sponsored by State Senator John Pappageorge – both addressing the issue of penalty relief for underpayment of estimates filed under the Michigan Business Tax (MBT). The threshold in the original bill provided for 85% accuracy in estimating total liability. MACPA’s amendment lowered the threshold to 75%. Additionally, the MACPA’s amendment ensured equal application of the provisions to fiscal-year filers by changing the affected time period to tax years ending prior to December 1, 2009. The bill was signed into law on April 9.

The Association continues to review all proposals, debates and conversations relative to changes to the MBT, which could be significant in 2009, and engage in the debate where appropriate. MACPA is currently working with members of the State and Local Tax Task Force and subcommittee on Business Tax Restructuring to target ambiguities and necessary technical corrections in the MBT and communicating with appropriate individuals inside the State Legislature and at the Department of Treasury.

Michigan’s Tax Structure
Speaker of the House Andy Dillon has indicated a desire to rework the entire state tax system, examining real and personal property, sales and use and individual income taxes, as well as the MBT. A group of MACPA members recently participated in a focus group with the Speaker of the House and will be scheduling another soon.

Tracking Other Initiatives
Finally, the MACPA is always tracking policy proposals that may impact CPAs, working diligently to protect the profession’s interests. Although no legislation has been introduced, efforts undoubtedly remain afoot here in Michigan to create a licensing or regulatory structure for paid tax preparers, a proposal that flies in the face of MACPA’s mission to protect both the public and the CPA profession. Initiatives have also surfaced in recent years to require audit partner and/or firm rotations for specific sectors (i.e. school districts, area agencies on aging, etc.). The MACPA is committed to defeating any such proposals.