By Frank Sands CPA, National President, NCCPAP
The first week of May NCCPAP was in Washington DC. This is the first time since Covid we were able to meet with representatives to discuss our tax agenda in person. Our goal is to recommend fixes to issues arising from tax administration and regulations. We had three teams and eleven appointments. If you were not able to attend this year, I highly recommend you do so at your next opportunity. We have had success with our ongoing efforts which are coordinated with other professional groups such as the AICPA. Being in the halls of congress is a special experience, one which I recommend for everyone.
At the end of July NCCPAP had its regular joint meeting with the AICPA during which the 150-120 pipeline initiative, peer review, the Beneficial Ownership Information (BOI) reporting and the IESBA exposure draft on ethics were discussed.
We just completed our summer meeting at Mystic, CT. Attendance was good and the discussions lively. Take aways were many. Strategic planning is embarking on a project to produce a 3–5-year plan. The objective is to provide a path to the future by enhancing communications, improving response times to arising issues and consider reorganization if required. A more responsive and vibrant organization will be a benefit to our existing and future members. I believe this will also provide a greater level of satisfaction from volunteer efforts.
The International Ethics Standards Board (IESBA) has issued an exposure draft proposing new ethics requirements applicable to tax services. The proposal has the potential to affect all CPA’s. NCCPAP sent a comment letter as did the AICPA and others, opposing this provision. The draft is currently under review. Check out this link; https://www.ethicsboard.org/publications/proposed-revisions-code-addressing-tax-planning-and-related-services.
The fun did not stop there. The new Beneficial Ownership Information reporting rules were a hot topic. These FinCen required reports are detailed. There are significant penalties for failure to report. It is not clear what a CPA’s client’s responsibilities are, if any. NCCPAP and the AICPA are pushing for clarity in the rules. We will continue to follow this and work for simplification and clarity. Check out these links; https://www.fincen.gov/boi, https://legal.thomsonreuters.com/blog/how-will-beneficial-ownership-information-requirements-impact-financial-institutions.
While these issues may seem daunting, they present an opportunity for positive change. The last couple of years have changed the way business is done. New technology is at the fore. We need to embrace it and make the changes needed to maximize the benefits it brings for our members and our organizational operations.