TEC initiatives.

• Author: Purcell, Thomas J., III
• Position: Tax Executive Committee of the AICPA

As a senior technical committee of the AICPA, the Tax Executive Committee (TEC) is authorized to speak for the Institute on tax matters and to act as a standard-setting body, as designated by the governing Council. However, numerous other committees, technical resource panels (TRPs) and task forces initiate and develop proposed solutions to policy issues and technical and tax administration problems, for consideration and approval by the TEC. They also initiate proposals for products and services valuable to members in tax practice.

Since the last cut-off date for this column (March 1, 2003; see Purcell, "TEC Initiatives," TTA, May 2003, p. 288), the TEC met once (June 2-3, 2003) and exercised its review function on several projects. TEC actions taken after June 9, 2003, will be reported in a future column.

Administrative Issues

The Tax Division Strategic Planning Task Force II Strategic Implementation (chaired by Tom Purcell) met May 5-6, 2003, to develop strategies and tactics to implement the goals of the Tax Division's proposed strategic plan. These were discussed by the TEC at the June meeting. The TEC will consider adoption of the final plan at its August 2003 meeting.

Self-Governance Activities

At the June meeting, the TEC received a report from Mike Mares, chair of the Statements on Standards for Tax Services (SSTS) Tax Shelter Task Force, on its review of SSTS Interpretation 1-2, Tax Planning, which was exposed to the membership on Dec. 11, 2002. The draft can be found at www.aicpa.org/members/div/tax/ sstsint.asp. After reviewing the public comments, the TEC will consider the Interpretation at the August meeting.

Technical Activities

Tax practice. On March 11, 2003, the TEC provided comments to the IRS on the policy questions raised on the (final) amendments to Circular 230, released on July 26, 2002 (REG-122380-02).The comments, prepared by the Tax Practice Responsibilities Committee (chaired by Dan Mendelson), focused on (1) the reorganization of the Office of the Director of Practice; (2) the definition of practice and who may practice; (3) enrolled agents and eligibility for enrollment; (4) sanctions and disciplinary proceedings; (5) contingent fees; and (6) confidentiality agreements. The comments may be found at www.cpa2biz.com/ ResourceCenters/Tax/Tax+Practice/ AdvNoticeComments.htm.

On April 8, 2003, the TEC submitted comments (prepared by the IRS Practice and Procedures Committee, chaired by Jim Dougherty) to the IRS on...