|
New MBT Online Q&A Forum,
Mobility Content on MACPA Web Site
With Gov. Jennifer Granholm’s signature last
week, the new Michigan Business Tax became official. The MBT replaces the
expiring Single Business Tax effective January 1, 2008. A new
MBT
question and answer forum, launched last Friday on MACPA’s web site,
will help address member's questions about the new law. Volunteer members of
the MACPA, well versed in the details of the Michigan Business Tax (MBT),
are available to answer member's questions. Questions and answers will be
posted to the site, creating a reference resource for members. You must be
logged in to access the Q&A forum. Members may also find useful a new web
page devoted to the issue of mobility (interstate practice). Launched July
12, the
mobility web page offers numerous resources including articles, links
and timely updates on Michigan’s progress toward easing mobility
restrictions.
 Return to Top
New Provision Would Change
Tax Preparers’ Role and Lead to Likely Increase in Fees for Taxpayers, AICPA
Tells Congress
The AICPA is urging Congress to modify a provision it approved that has
resulted in a fundamental change in the role of tax return preparers and
will likely cause an increase in preparer fees for taxpayers. The provision
is included in the Iraq war funding bill that became law in May. Tom
Ochsenschlager, AICPA vice president – taxation, said the new law’s
requirement – increasing the tax return reporting standards for undisclosed non-tax shelter items from the
“realistic possibility of success” standard to the “more likely than not”
standard – is a major change in tax policy. He noted that the change was
made without a Congressional hearing to study the full consequences of the
provision. Read the AICPA’s press
release,
cover
letter and comments
to Congress.
Return to Top
IRS to Notify Small
Tax-Exempt Organizations of New Information Reporting Requirement
The IRS began mailing educational letters this month to more than 650,000 small
tax-exempt organizations that may be required to submit a
new annual notice, Form 990-N, “Electronic Notice (e-Postcard) for
Tax-Exempt Organizations Not Required to File Form 990 or 990-EZ.” IRS
expects to mail the letters over a period of several months, finishing in
December. With the enactment of the Pension Protection Act of 2006 (PPA),
the majority of small tax-exempt organizations are now required to submit
the e-Postcard. Previously, tax-exempt organizations with gross receipts of
$25,000 or less were not required to submit information returns. The first
e-Postcards are due in calendar year 2008. The IRS intends to have an option
available for free electronic submission of the e-Postcard. Further details,
including frequently asked questions and a copy of the educational letter,
are available in the charities and non-profits section of
IRS.gov.
Return
to Top
Electronic Excise
Tax Filing Is Coming; IRS Will Accept Paper Forms 2290 in Interim
The IRS will add three excise tax forms this year to the ever-expanding list
of federal tax returns and schedules that can be filed electronically. IRS
expects to receive the first
electronically-filed excise tax return this summer, when Form 2290,
Heavy Highway Vehicle Use Tax Return, becomes the first available excise tax
return that can be e-filed. Last year, more than 575,000 Forms 2290 were
filed with the IRS.
Return
to Top
SEC Votes to Adopt
Antifraud Rule Under Investment Advisers Act
The Securities and Exchange Commission last week adopted a
new antifraud rule under the Investment Advisers Act to clarify the Commission's
ability to bring enforcement actions under the Advisers Act. The new
rule applies to investment advisers not only of hedge funds, but also of
private equity funds, venture capital funds, and mutual funds. The new rule
will make it a fraudulent, deceptive, or manipulative act, practice, or
course of business for an investment adviser to a pooled investment vehicle
to make false or misleading statements to, or otherwise to defraud,
investors or prospective investors in that pool.
Return
to Top
GASB Issues Standard on
Intangible Assets
The Governmental Accounting Standards Board (GASB) issued Statement No. 51,
Accounting
and Financial Reporting for Intangible Assets. The Statement
provides needed guidance regarding how to identify, account for, and report
intangible assets. The new standard characterizes an intangible asset as an
asset that lacks physical substance, is non-financial in nature, and has an
initial useful life extending beyond a single reporting period. Examples of
intangible assets include easements, computer software, water rights, timber
rights, patents and trademarks. Statement 51 requires that intangible assets
be classified as capital assets (except for those explicitly excluded from
the scope of the new standard, such as capital leases). Relevant
authoritative guidance for capital assets should be applied to these
intangible assets
Return
to Top
Small Businesses Turn to
Outsourcing
More small businesses are outsourcing certain processes so that workers can
spend more time on other tasks. According to Bismarck State College's
Business and Economics Department Chairman Jim Wright, outsourcing involves
"taking those activities you maybe aren't talented enough to do, or don't
have time to do yourself, and hiring someone to do it for you."
To read this article in
its entirety and much more about developments in technology, access
Technology and
Productivity Weekly, the MACPA's electronic technology newsletter for
industry professionals, sponsored by Information, Inc.
Return
to TopTop
|
Return
to Top