4 minute read
Advocacy
Coronavirus-related advocacy continues
As rules and regulations emerge for addressing the coronavirus pandemic and business reopening, the VSCPA continues to monitor legislative and regulatory developments as well as advocate for issues important to CPAs across the state. We’re also watching best practices from CPA societies around the country. Here’s a snapshot of our most recent efforts.
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ENHANCED COMMUNICATIONS
To ensure you receive the news you need during the pandemic, we began sending a weekly email update containing COVID-related news to all members. Updates have included breaking news as well as resources and educational opportunities on remote working and leading, Virginia reopening guidance and more.
We also started a biweekly town hall series broadcasted live on the VSCPA Facebook page. These 30-minute conversations, such as an interview between VSCPA President & CEO Stephanie Peters, CAE, and Virginia Deputy Secretary of Commerce & Trade Cassidy Rasnick on Virginia’s Phase II reopening, give you quick tips on pressing issues. You can watch the video replays anytime at facebook.com/vscpa.
CONTINUING CONVERSATIONS
The VSCPA Advocacy Team stays connected to the Virginia Secretary of Finance and Virginia Board of Accountancy with meetings every other week. The Society also continues to lobby at the federal level on issues to protect the profession, including talking with Sen. Tim Kaine’s office about CPA priorities surrounding the Coronavirus Aid, Relief and Economic Security Act and Paycheck Protection Program. Hot topics include agent fees and loan forgiveness.
POSITIONS AND LETTERS
Withdrawing IRS Notice 2020-32: We
joined other state societies to urge U.S. senators to support the withdrawal of IRS Notice 2020-32, which states that no tax deduction will be allowed for listed business expenses paid using funds from forgiven PPP loans.
Supporting “The Small Business Expenses Protection Act” (S.3612): Along with the American Institute of CPAs (AICPA), we pushed for U.S. senators to support this bill to clarify the deductibility of PPP-funded expenses.
Impact of tax penalty relief on pass-through entity withholding: The VSCPA Tax Advisory Committee sent a letter to Virginia’s Tax Commissioner Craig M. Burns to request that penalty relief be granted for nonresident withholding payments on pass-through entities (PTEs) that were due April 15. We heard from several members who relied on the guidance in Tax Bulletin 20-4, which did not clearly specify that nonresident withholding tax payments reported on Form 502 were not eligible for the payment extension to June 1. This was later clarified in Tax Bulletin 20-5, issued on April 27, which was after the April 15 payment deadline, making no recourse available.
Fiscal State of the Nation Resolution: We asked Virginia Sens. Tim Kaine and Mark Warner to co-sponsor the Fiscal State of the Nation Resolution, which would provide members of Congress and the American people an annual update on the long-term financial health of the United States.
What issues are you seeing in your daily practice as a CPA? We want to hear from you. Email VSCPA Public Affairs Director Tim Barry at tbarry@vscpa.com with any questions or feedback. n
Virginia Board of Accountancy news
At its meeting on May 21, 2020, the Virginia Board of Accountancy (VBOA) acted on several items of interest to CPAs and CPA firms.
CPA EXAM
In response to the COVID-19 testing center closures and reduced capacity, the VBOA joined with most other U.S. accounting jurisdictions by voting to extend all Notices to Schedule and Exam credits expiring from April 1 to Dec. 30, 2020, until Dec. 31, 2020.
OFFICER UPDATES
The VBOA also elected its officers for the July 1, 2020 – June 30, 2021, fiscal year. Brian Carson, CPA, of Gold Key/PHR Hotels & Resorts in Virginia Beach, will again serve as chair. Laurie Warwick, CPA, of Ernst & Young in McLean, was elected to continue as vice chair and was reappointed by Gov. Ralph Northam for her second term. Northam also appointed Wendy Lewis, CPA, partner at KPMG in McLean, to her first term.
The VBOA also voted with the intent to approve more options for the Virginia-Specific Ethics Course beginning with the 2021 course.
ETHICS COURSE COMPARISON
Amount of ethics CPE annually Sponsor and course approved by VBOA Content requirement
VBOA-appointed Ethics Committee
CURRENT
At least 2 hours
Yes
Same course for all
Yes
BEGINNING IN 2021
At least 2 hours
Yes
Required content must be included, remaining content can vary Yes The two-hour annual requirement will remain the same for all Virginia CPAs. All licensees (excluding those approved for the Inactive status) will still need to complete a VBOAapproved ethics course annually that complies with VBOA regulation 18VAC5-22-90.
Currently, there is only one Virginia-Specific Ethics Course offered each year and all CPAs are required to take the same course. Beginning in 2021, the VBOA intends to approve a variety of different ethics courses that will provide options for CPAs to take about different areas and topics.
The VBOA will also continue to approve all sponsors and courses ahead of time and it will be the CPA’s responsibility to choose an ethics course from a VBOA-approved sponsor. All VBOA-approved ethics course sponsors are listed on the VBOA website.
Please note that the 2020 requirement remains as is and all Virginia CPAs must take the one approved Virginia-Specific Ethics Course from an approved provider. n
HIGH-QUALITY ETHICS FROM THE VSCPA
The VSCPA will continue to offer high-quality courses that you can depend on to meet this requirement. We will have a slate of new ethics courses that meet the VBOA requirement available in early 2021.
More information about the 2021 changes to the Virginia-Specific Ethics Course will be available later this year from the VBOA. And watch for information from the VSCPA on our exciting new ethics offerings when it becomes available!
