Economy

What four words cause public accountants to cringe more than, "Where were the auditors?"

For the third consecutive year, information security - the processes and procedures designed to protect information technology systems from internal and external threats - remained the country's No. 1 technology concern, according to the results of the 2005 Top Technologies Survey of the American Institute of CPAs. The poll, now in its 16th year, attempts to define the 10 most important technology-critical issues for the upcoming year. This year's poll surveyed some 300 participants, 30 percent more than the number surveyed in the 2004 poll. Predictably, in second place for 2005 was document management - reflecting the snowballing trend toward a paperless or less-paper office. Electronic document management captures, indexes, stores retrieves and manages documents in such formats as Adobe's PDF. Data integration - the ability to update one field and have it automatically synchronize between multiple databases - finished as the third most-cited technology issue. Data integration also involves the application-neutral exchange of information - such as the increased use of the Extensible Business Reporting Language, or XBRL by companies worldwide - which provides for an exchange and aggregation of financial data using different applications to read, present and analyze data. The remaining top 10 technology issues for 2005 were: 4. Spam technology 5. Disaster recovery 6. Collaboration and messaging applications 7. Wireless technologies 8. Authentication technologies 9. Storage technologies 10. Learning and training competency. Each year the institute also compiles a "watch list" list of emerging technologies that are currently flying just below the radar screen but have the potential to impact businesses and individuals in the ensuing 24 to 36 months. The top three emerging technologies for 2005 are: 1. Radio frequency identification 2. Search 3. Fuel cells For more information visit: www.aicpa.org/infotech/technologies/toptechs.htm.

The American Institute of CPAs has named California accounting professor Robert S. Roussey as the 2004 recipient of its Special Recognition Award, which is presented to individuals who have made substantial contributions to the accounting profession.

Improving taxpayer service, enhancing enforcement of the tax law, and modernizing the Internal Revenue Service through its people, processes and technology should be the tax administration's top priorities for 2005, according to the American Institute of CPAs.

The majority of tax professionals who enter the financial planning business do so by hooking up with an independent broker/dealer firm, according to a report by market research and consulting firm Tiburon Strategic Advisors.

While he conceded that the current financial reporting system needs lots of improvement, Financial Accounting Standards Board chair Robert H. Herz urged members of the profession to make changes at a measured pace.

On the heels of the Securities and Exchange Commission's decision to temporarily postpone the filing date for smaller accelerated filers' management reports on internal controls, the commission's chief accountant hinted this week that foreign issuers could also get a reprieve on implementing the new rules.

2004 was a banner year for local and regional firms across the U.S., with many reporting salary increases and double-digit revenue growth, according to this year's PCPS/Texas Society of CPAs National Management of an Accounting Practice Survey.

The American Institute of CPAs' marketing arm, CPA2Biz, has expanded its small business banking services program to CPAs in 12 additional states.

Improving taxpayer service, enhancing enforcement of the tax law, and modernizing the Internal Revenue Service through its people, processes and technology should be the tax administration's top priorities for 2005, according to the American Institute of CPAs.

By almost anyone's accounting, accounting is making a comeback.

While specialty credentials, auditor independence and XYZ were thrust to the forefront of member issues during past Council meetings of the American Institute of CPAs, attendees at the 2004 fall confab were urged to take a more proactive role in what is inarguably a new era in the timeline of the profession.

AICPA adopts outsourcing ethics

As part of its multi-pronged educational effort on financial literacy, the American Institute of CPAs has launched a consumer Web portal that offers information and articles organized by a series of life stages, such as college, entrepreneurship, marriage, parenthood, home ownership and retirement.

The American Institute of CPAs has named Thomas J. Purcell III to a two-year term as chairman of its Tax Executive Committee, the tax policy and standards-setting body of the AICPA.

The American Institute of CPAs has adopted ethics rules that place new requirements on members who outsource clients' work to third-party providers and broaden the definition of those providers.

The American Institute of CPAs has named Thomas J. Purcell III to a two-year term as chairman of its Tax Executive Committee, the tax policy and standards-setting body of the AICPA.

The American Institute of CPAs awarded the 2005 Gold Medal for Distinguished Service, its highest honor, this week to former Financial Accounting Standards Board chair Dennis R. Beresford.

In his inaugural speech at the American Institute of CPAs Fall Council meeting here, incoming chairman Robert L. Bunting detailed his priorities for the coming year and called on his fellow CPAs to not only embrace change, but to initiate it.

Members of the Professional Ethics Executive Committee of the American Institute of CPAs acknowledged a series of practitioner's concerns with regard to PEEC's revised interpretation of rules governing members who offer non-attest services to attest clients.