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The Center for Audit Quality marked its first anniversary with a report on its progress in improving public confidence in the audit process.The CAQ, which is affiliated with the American Institute of CPAs, originated in January 2007. Last year, it began a Public Dialogue Tour to gather ideas from investors about how to accomplish its goal. The CAQ plans two more stops on the tour this year, in Boston and its home base of Washington, D.C.

African-Americans comprise just 3 percent of CPAs nationwide — but Dr. Frank K. Ross is working to help change that.After a 38-year career with KPMG, where he held such posts as mid-Atlantic area managing partner for audit and risk advisory services and managing partner of the Washington, D.C., office, Ross retired and now serves as director of the Howard University School of Business’ Center for Accounting Education, an entity that is focused on boosting the number of minorities in the accounting profession.

IRS SENDS TAX REBATE NOTICE LETTERSWashington, D.C. — The Internal Revenue Service has sent letters to more than 130 million American households reminding them to file a 2007 tax return in order to receive a tax rebate or economic stimulus payment.

A reporter once asked Dr. Arthur Jones, the eccentric inventor of the Nautilus brand of fitness equipment, why he kept such a large gun collection in his home. Jones told the interviewer, “Guns are a lot like tourniquets. You don’t need ’em often, but when you do, you need ’em in a hurry.”Jones’ theory of immediacy conjures up visions of our current trio of presidential contenders attempting to construct any type of meaningful reform, whether it be revamping the Tax Code or establishing a universal health care system. The problem is that none of the triumvirate quite knows whether implementing change of any size will require a gun (figuratively, of course) or a tourniquet. Perhaps both.

Many firms are so awash in business right now that the idea of growing their firms is, quite honestly, kind of scary. Meanwhile, they’re painfully aware that holding onto low-end work may prevent them from moving up-market to attract larger pieces of business.Savvy pruning can help ensure that you have the time and resources to attract new clients that are larger, more technically challenging and in line with your strategic direction.

IRS LAUNCHES E-POSTCARDS FOR TAX-EXEMPTSWashington, D.C. — The Internal Revenue Service has introduced an electronic filing system that allows small tax-exempt organizations to file Form 990-N “e-Postcards” to report their annual income.

If you thought that the tax legislation passed at the end of 2007 — both the Alternative Minimum Tax relief legislation and the mortgage debt forgiveness relief legislation — finally resolved the issues that would have to be addressed for the 2007 tax return filing season, you were mistaken. Congress was not done creating issues that would impact those returns. The Economic Stimulus Act of 2008, signed by President Bush on Feb. 13, 2008, has created additional issues for 2007 return filers.Most of the direct impact will be on lower-income individuals — individuals who are not normally required to file tax returns but who may wish to do so in order to qualify to receive a rebate check authorized under the new legislation.

A large number of organizations are expanding their businesses internationally, either growing organically or via mergers and acquisitions. With growth comes change and additional reporting processes, often followed by confusion and delays in the reporting of financial statements.One area that frequently seems to be an issue is the inter-company accounting process.

FASB PROPOSES GUIDANCE ON NONPROFIT ENDOWMENTSThe Financial Accounting Standards Board has issued a proposed FASB staff position on the endowments of nonprofit organizations that could have large implications for how those organizations recognize their assets and use donor-restricted funds.

Over this first decade of the 21st century, especially since the International Accounting Standards Board went through its reorganization, there has been a lot of talk about the advantages and even the need for convergence on a single worldwide set of standards.Some of it is the usual buzz on the latest news item du jour, and some of it is mere political twaddle with no substance and lots of posturing, predictably positioning the speakers on the side of angels.