The National Public Accountant

The recent California Supreme Court decision on the case of Moore vs. California State Board of Accountancy allows unlicensed public accountants t o use the title 'accountant.' However, a disclaimer would have to be appended to the title. The decision also permits unlicensed accountants to prepare reports ordinarily done by certified public accountants (CPAs). CPAs would find it to their advantage not to restrict the competition posed by unlicensed accountants since this would challenge them ...

Activity base costing for manufacturers.

Method for allocating factory overhead Activity-Base Costing (ABC) is a relatively new system of allocating overhead cost in factories. ABC makes use of several bases to determine overhead costs, unlike traditional cost accounting methods which rely only on direct labor as the basis for overhead. Adoption of the system by manufacturers could determine their companies' profitability in the future. However, ABC is not yet widely known among accounting professionals. Given the effectiveness of the system, it is imperative for account...

Bush, Clinton and small business.

Similarities in President George Bush's and Democratic presidential nominee Bill Clinton's policies toward small business - Capital Corridors There are striking similarities in the policies of Pres George Bush and Democratic presidential aspirant Bill Clinton toward small businesses. Both aspirants advocate lesser government regulation of the small business sector, which would mean the stimulation of job creation in that sector. However, there is a significant difference in their policy toward health care. Nevertheless, both candidates recognized the importance of small businesses in the future.

Connecticut tightens noose on unlicensed accountants.

Accounting practice - Washington Comment - Column The 1992 Connecticut accountancy law imposes restrictions on the practice of unlicensed accountants in the state. The law seeks to prohibit the use of the title accountant or auditor by unlicensed accountants. However, this measure does not, in any way, remedy the frauds being committed in industries. Licensed accountants compete with the unlicensed ones in the market for accounting services but the public should have the choice to employ accountants, licensed or not, who are best suited for ...

Deductions for use of residence by day care providers.

Tax deductions The use of the home, or portions of it, by day care service providers are tax-deductible under certain conditions provided for in the tax code. However, day care providers must meet some requirements before they can be given deductions. They must have the appropriate license giving them the authority to provide day care services for children and aged or physically and mentally handicapped persons.

Harmonization of international accounting standards.

A harmonization of international accounting standards is necessary for a full realization of the benefits offered by a world economy. Among the steps necessary for harmonization to proceed would be the the adoption of a standard reporting requirement for national securities regulators. Also, regional accounting associations have been organized in other parts of the world to promote standardization. Developing countries would be spared the cost of instituting their own accounting standards if ...

One class of stock requirement: final regulations.

Tax code provisions on S corporations A provision in the tax code stipulates that an S corporation cannot have more than one stock. This simplifies the structure of the corporation. The code also stipulates that a corporation has only one class of stock if the stocks of that corporation have similar distribution and liquidation rights. A corporation's governing provisions, such as its articles of incorporation and charter, defines the nature of the stocks of a corporation.

Strengthening employers' hands: the ABCs of tax smart fringe benefit program design.

Fringe benefits available under federal income tax law - Cover Story Fringe benefits refers to compensation other than salary given by employers to their employees. The fringe benefits a company offers its employees can go a long way toward enhancing workers' satisfaction. Fringe benefits are perceived to be tax-free, although in reality, they are tax-free only if there is an express provision in the tax code that says so. There are three types of fringe benefits. These are insurance benefits, deferred compensation plans and incidental benefits. Companies can ...

Tax expert systems and benefits from using them.

Development and use of tax expert systems - Debits and Credits - Column Tax expert systems are computer programs which approximate the thinking capability of human experts. They are increasingly being used by accounting firms and even by federal agencies such as the Internal Revenue Service because of their many advantages. Among these advantages are enhanced productivity and uniform performance. There are several such systems in the market today and others are in the stage of being develop. It is predicted that these systems will be the accountants' tool for the...