Audit & Accounting

Bob Levy of New York City-based Levy & Associates called to tell me about a CPA Career Day and The Singing CPA. I thought the idea a superb one. You see, students from the Academy of Finance schools in New York City had the opportunity to get a firsthand look inside the world of accounting at this year’s CPA Career Day, an event that featured speakers from Goldman Sachs as well as music from “The Singing CPA,” who played songs spiced with accounting-related lyrics. Sponsored by the Academy of Finance and the New York Society of CPAs, it was attended by high school students, many of whom are considering the field of accounting in their future. According to Joshelyn Vivas, a junior at John Dewey High School, the event was not only informative but motivating, as well. “After listening to the speakers it makes me want to be a CPA and take the exam. An accounting firm is where I want to be.” Julie Levin, a Goldman Sachs vice president in their tax department, notes that putting in the hours is one of the most surprising things for students. “I kind of tell people that you’re likely to start out working about 55 hours and that doesn’t include email time, coffee, or lunch breaks.” Regina Flannery, Director of the Academy of Finance, points out, “The fact that the students have the opportunity to gain access to successful professionals in the accounting field will prove extremely beneficial. What we’re really trying to do is give the students a three-dimensional look at a potential career choice. While many of these students may not choose accounting as their profession, they’ll at least have had the chance to see what the field has to offer.” This is extremely important says Levin because in the end she feels that it’s really the students who have to decide what they want to do with their future. “No one can make that decision for them. It’s all about taking your career in your own hands. If you want to do international travel, you really have to let people know.” Providing much of the entertainment was Steven Zelin, also known as “The Singing CPA.” He currently works at Societe Generale, a large corporate investment bank, in addition to having his own consulting CPA practice. “I enjoy sharing my experience as a CPA with young people,” says Zelin. “A lot of the students think first off that being a CPA is all about the numbers, but it’s really being able to work well with other people as well as understanding business and accounting concepts.” He adds that becoming a CPA provides a strong foundation for many types of careers in business. “I think that the training you get from studying accounting provides a terrific foundation for developing a good financial perspective on life.” He also stresses that becoming a member of the NYS Society of CPAs would be a sound financial investment to students looking to go into the field. The Academy of Finance is a partnership of the New York City Department of Education, the National Academy Foundation, and the New York business community. The Academy introduces students to a variety of career opportunities in the financial services industry while equipping them with the conceptual and practical tools they need to choose their future profession. The National Academy Foundation creates partnerships between business leaders and education through an innovative educational model. Its small public school-based learning communities empower high school students to successfully go on to higher education and professions of their choosing. Thanks, Bob.

Judge Lewis A. Kaplan, who dismissed charges against 13 of the defendants in the KPMG tax shelter case earlier this week, has issued a temporary stay on his own decision.

The Public Company Accounting Oversight Board said it plans to hold a meeting to consider a new ethics and independence rule concerning communication with audit committees.

Stephen Cooper, a managing director and head of valuation and accounting research at UBS Investment Bank, has been appointed to the International Accounting Standards Board.

Securities and Exchange Commission Chairman Christopher Cox told a Town Hall Los Angeles meeting that he wants Congress to give more power to the Governmental Accounting Standards Board so GASB can police accounting practices at the state and local government level and better regulate the municipal bond market.He would like the SEC to be able to enforce GASB accounting rules when it sees a violation by a state or local government, similar to the way the SEC can take action against companies that flout Financial Accounting Standards Board rules. Texas and Connecticut have both passed bills recently allowing alternative accounting rules, although Connecticut Governor Jodi Rell has vetoed that state’s bill.

A group of companies and organizations in the United Kingdom has responded to the Financial Reporting Council's report on constraints in the audit market that have forced most large public companies to rely on one of the Big Four accounting firms for audit services.

Louisiana accounting firms LaPorte Sehrt Romig Hand CPAs and the Gautreau Group plan to merge on October 1.

A federal judge has dropped the charges against 13 defendants in the KPMG tax shelter case.Judge Lewis A. Kaplan of the U.S. District Court in Manhattan blamed prosecutors for forcing the Big Four accounting firm to stop paying the legal fees of the 13 defendants and said their constitutional rights had been violated.

The Public Company Accounting Oversight Board is forging closer ties with Australian regulators.The PCAOB has signed a statement of protocol with the Australian Securities and Investments Commission to improve cooperation in their oversight of auditors and public accounting firms that practice in the United States and Australia.

The Internal Revenue Service said it has begun mailing educational letters this month to more than 650,000 small tax-exempt organizations to let them know they need to start submitting a new annual electronic notice known as an e-Postcard.Form 990-N, the electronic notice they have to send, is intended for tax-exempt organizations with gross receipts of $25,000 or less. Until the passage of the Pension Protection Act of 2006, charities of that size weren't required to submit either the Form 990 or 990-EZ.