Chair's corner.

• Author: Murphy, Leslie

This month I want to talk about the AICPA's advocacy role in the tax area. The Institute represents us on issues that are important to CPAs and the general public. Through such efforts, we not only bring about meaningful changes, but also demonstrate the profession's expertise and commitment to the public interest. I want to share with you a few of the AICPA Tax Team's activities this past year that affect CPAs and their clients and promote positions that benefit the public.

In one recent instance, the Tax Team provided comments to the Internal Revenue Service on Form 1040, Schedule D instructions involving capital gains transaction recordkeeping. The Tax Team pointed out that, as originally written, the instructions could have been interpreted in a way that would make reporting onerous and excessively detailed. Our advocacy helped reduce the burden on taxpayers and tax practitioners alike, and that's something all members can celebrate.

As a follow up to this issue, the Tax Team staff consulted with the staff of Senator Evan Bayh (D-Ind.) on related proposed legislation. They also held meetings and conference calls with staff from the Government Accountability Office on their review of individual capital gains tax noncompliance for securities.

In another initiative, one with public interest aspects, the Tax Team commented on proposed regulations on the disclosure or use of taxpayer information. And, in response to consumer concerns about the proposal, the team drafted talking points and a memo for the state CPA societies, and background information for the media and the public to clarify what the changes will really mean for taxpayers.

Ethics being a cornerstone of our profession, the Tax Team also has been involved in promoting tax ethics and practice quality control. In an example of helping CPAs maintain competence, it developed educational resources for members on last year's significant...