October 2013 by ASCPA

NEWSLETTER Arkansas Society of Certified Public Accountants October 2013

President Douglas W. Coy

It’s CPE Season! What Are You Waiting For? Industry, Commerce & Banking

Executive Director Bruce C. Alt

Published Monthly By THE ARKANSAS SOCIETY OF CERTIFIED PUBLIC ACCOUNTANTS 11300 Executive Center Little Rock, Arkansas 72211-4352 Telephone 1-800-482-8739 (In Arkansas) (501) 664-8739 Fax (501) 664-8320

FRAUD October 3-4 ASCPA Conference Center Little Rock In person: http://bit.ly/1a7rUhV

Emerging CPAs

• CPE . . . . . . . . . .2-5 • Financial Literacy . . . . . . . . .8 • Leadership . . . .9-10 • Member Benefits . . . . .12-14 • Member Services . . . . . . . .15

In This Issue

• Emerging CPAs . . .7

In person: http://bit.ly/15zFxZ4 Webcast: http://bit.ly/1dHHLrw

Webcast: http://bit.ly/1dQnyAT

www.arcpa.org

• Classifieds . . . . . .24

October 17-18 ASCPA Conference Center Little Rock

* ASCPA Members ONLY*

Federal Tax Institute December 5-6 Embassy Suites Little Rock

October 25 ASCPA Conference Center Little Rock

http://bit.ly/18ccVVI

http://bit.ly/17FaQhg

• Membership . .16-17 • Peer Review . .18-19 • Practice Management . .21-22 • Technology . . . . . .23

and much more! www.arcpa.org/Content/CPE_Main.aspx

CPE O EA S N I S

L FUL SW

CPE

I S TIPS: HOW TO MAKE THE MOST OF YOUR CPE YEAR!

soot coming from the air conditioner, call the hotel. They can remedy the situation faster than the course administrator. If you want revenge, feel free to cite the hotel on the Society evaluation form. • And have fun doing it! On a scale of one to five... Please fill out an evaluation form following every CPE course you attend. We do read them and take action on legitimate complaints. Your comments also help us to continue providing quality courses and first-rate speakers in as pleasant as possible atmosphere. • And last of all please remember... Our first priority is to provide you with quality education. And although the amenities are important, we can’t lose sight of that responsibility. However, we will promise you this: the Society will always do our very, very best to make you as comfortable as possible.

G IN

Let’s face it. If you’re going to spend at least 40 hours during the year in CPE sessions, you might as well enjoy yourself. And to help you do just that, here are some tongue n’ cheek tips (based on real life situations) on making the most of your CPE. • Register Early The reason we are so persistent about this good advice is simple: failure to heed it means you might not get the courses you really want. Instead, you’ll be forced to take your second or third choices. How early is early? Well, the ideal situation is to register for CPE annually. If registering annually is impossible, the next best thing is to sign up for courses at least two months in advance. That way, classes are less likely to fill up. Also, your registration could determine whether or not we meet minimum numbers to hold a seminar. Here’s another reason for early registration: it allows plenty of time for you to make hotel reservations and for the Society to make appropriate facility arrangements such as seating, lunch, and book orders. Not to mention that you get to take advantage of the early member discounted fee! • Be Prepared. At least one week in advance of your scheduled program, check to see if you’ve received your course confirmation. Have you downloaded your course materials? Increasingly, quality instructional materials will be offered to you in advance via online download. Also, make sure you know the location of the course facility. If not, call the Society and we will fax or e-mail you a map. It’s much easier to follow a map than driving in an unfamiliar town while trying to follow voice directions on your cell phone the day of the course. • Don’t expect Emerill to be the chef. It’s a fact of life, catered food (especially when prepared for 20 to 200 people) is catered food. Some people like it, some don’t. For example, consider these comments elicited by the exact same meal: “The meal was great!” “The food was super bland,” “Slop would be an unfavorably high evaluation of this meal.” The Society makes every effort to choose caterers that serve decent food, but to expect haute cuisine is unrealistic. However, it is realistic to expect chicken or beef. Vegetarian? No problem, just let us know in advance. • Dress in Layers. Most CPE courses are held in a meeting room where there are two basic temperatures: too hot or too cold. Meeting room temperatures are difficult to control; please come prepared and dress accordingly. • Help! If you are staying at a hotel for a two day seminar or conference and you’re facing problems like A) no soap or B) ASCPA Newsletter: October, 2013

2014 Multi-State CPE & Ski Conference Beaver Run Resort & Conference Center Sponsorship: Sponsored by the Colorado Society of CPAs and the following eighteen state CPA Societies: Arkansas Society of CPAs, Connecticut Society of CPAs, Florida Institute of CPAs, Hawaii Society of CPAs, Idaho Society of CPAs, Iowa Society of CPAs, Kansas Society of CPAs, Society of Louisiana CPAs, Massachusetts Society of CPAs, Mississippi Society of CPAs, Montana Society of CPAs, Ohio Society of CPAs, South Carolina Association of CPAs, South Dakota Society of CPAs, Texas Society of CPAs, Utah Association of CPAs, Washington Society of CPAs, Wisconsin Institute of CPAs. The 2014 Multi-state CPE & Ski Conference supported by nineteen state CPA societies is pleased to bring you the very best CPE & Ski Conference. The Conference features six 4-hour sessions on a wide variety of today’s most popular CPE topics. The instructors rank among the top CPE instructors in the United States. To receive an information packet containing detailed course descriptions and instructor biographies, please call K2 Enterprises at (888) 542-9390.

Hotel Accommodations: Reservations can be made by calling Beaver Run Resort at 1-800-525-2253 and identifying as being part of the Colorado Society of CPAs CPE & Ski group and/or K2 Enterprises CPE & Ski and group code: CPA44X www.k2e.com/ski.

CPE Webinars Now Available From K2 Enterprises

Don’t Miss Your Chance to Register for the... Thirty-Third Annual Industry, Commerce and Banking Conference (Live and Webcast) October 17-18, 2013

The ASCPA and K2 Enterprises are partnering to provide online, live Continuing Professional Education (CPE) in the increasingly popular “webinar” format. You can participate in these webinars from the convenience of your home or office, using your PC or Mac. “We are very excited to move into this market and partner with the ASCPA to help serve their members,” said Tommy Stephens, one of the four principals at K2 Enterprises. “Being able to deliver our growing curriculum of CPE programs in this format provides us the opportunity of assisting more accounting professionals than ever in improving their efficiency and productivity through the practical application of technology.” Among the advantages of participating in webinar training are:

Conference Fee: $410.00 Member Discount Fee: $210.00 Featured Topics • Healthcare Reform Compliance • Einstein was Right: Our Tax Code is Too Complex • Entergy Arkansas Inc.’s Perspective on the Changing Electric Utility Business • Leading the Next Generation • Arkansas Sales and Use Tax • Internal Audit as a Strategic Business Partner • The Art of Interrogation • Accounting and Auditing Update for CPAs in Industry • Workers with Disabilities in the Workforce • 2013 Tax Update • What Duck Dynasty Teaches Us About Social Media • The Outlook for Banking in Arkansas • Ethics in Today’s Business World

• Convenience. You can participate in a webinar from a location of your choosing - your home, your office, or a client/customer location. All are perfectly suitable for learning in a webinar environment. All you need is a high-speed Internet connection and a PC or a Mac from which to sign on to the webinar. • Time Savings. Because there is no need to travel to participate in a webinar, you save valuable time. Further, because webinar topics tend to be focused on specific issues and topics, you do not sit through content that may not be relevant to your specific learning needs. • Cost. Webinars may cost less than traditional seminar or conference sessions. Further, because you do not travel to participate in a webinar, you save those costs also. K2 Enterprises has scheduled thirty-eight sessions through August 31, and the company is adding additional sessions continuously. Each session ranges from two to four hours in length. You can learn more about the topics and register for the webinars by visiting www.k2e.com/training.

The “Don’t Miss” Conference for CPAs in Industry, Commerce and Banking To register, fax or mail the registration form located on page 5, or call the ASCPA office for a CPE Conference Brochure. Visit us online at www.arcpa.org to register conveniently with our online registration system. Can’t afford to miss a day of work?? This program will also be webcast! ASCPA understands how hectic your schedule is on a daily basis. Gain interactive, live CPE from the comfort of your own home or office! Members pay $360. Register online today following the link below. arcpa.acpen.com

SEVENTEENTH ANNUAL TECHNOLOGY CONFERENCE NOVEMBER 7-8, 2013 ASCPA CONFERENCE CENTER LITTLE ROCK

ASCPA Newsletter: October, 2013

CPE October through November CPE Schedule of Courses & Conferences Field Of Study

Date

Acronym

Course Title

CPE Credit

Location

Speaker

Course Fee

OCTOBER

Early Discounted Course Fee

Member Discounted Fee

Early Discounted Member Fee

__________________

QBA

QuickBooks for Accountants

TMO

NEW! The Mobile Office

3-4

FRAUD

Fraud Conference (WEBCAST)

17-18

ICC-33

Thirty-Third Annual Industry, Commerce and Banking Conference (WEBCAST)

DIRS

Handling IRS Disputes

SNPR

Upcoming Peer Review: Is Your Firm Ready

SCORP

S-Corporations Fundamentals

ACAU

Annual Accounting and Auditing Update

IEFP

AA/GOV

A133

The Best Income Tax, Estate Tax, and Financial Planning Ideas of 2013 OMB A-133 from A to Z

AA/GOV

ANFP

Auditing Not-for-Profit Entities: Superior

YCPA

Emerging CPAs Conference (WEBCAST) * Members Only

CGPT

TPGS

RRNS

The Complete Guide to Payroll Taxes and 1099 Issues Surgent McCoy’s 2013 Annual Tax Planning Guide for S-Corporations, Partnerships and LLCs Revenue Recognition

31Nov. 1

FTU-2 day

2-Day Federal Income Tax Update for the Year 2013-14; Individual, Business and Corporate

8 8 16

Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Fort Smith, Beall Barclay Conf. Center Little Rock ASCPA Conference Center Fort Smith, Beall Barclay Conf. Center Jonesboro Hilton Garden Inn Jonesboro Hilton Garden Inn Springdale Holiday Inn Springdale Holiday Inn Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock Embassy Suites

Provided by K2 Enterprises Provided by K2 Enterprises Provided by Jerry Spratt Provided by Industry, Commerce, & Banking Conference Committee Joseph A. Sanford

$345

$315

$245

$215

$345

$315

$245

$215

$665

$630

$465

$435

$440

$410

$240

$210

$365 **

$335 **

$265 **

$235 **

Randy Milligan

$325 **

$295 **

$225 **

$195 **

Joseph A. Sanford

$365 **

$335 **

$265 **

$235 **

Provided by Surgent McCoy Provided by Surgent McCoy Provided by Surgent McCoy Provided by Surgent McCoy Provided by the Emerging CPAs Committee Provided by Surgent McCoy Provided by Surgent McCoy Provided by AICPA

$375

$345

$275

$245

$375

$345

$275

$245

$375

$345

$275

$245

$375

$345

$275

$245

$ 65

$345

$315

$245

$215

$345

$315

$245

$215

$345 **

$315 **

$245 **

$215 **

Vernon C. Hoven and Ron R. Roberse

$720

$690

$520

$490

NOVEMBER

_________________

FASBI

FASB Industry Review

FVA

Fair Value Accounting

EO-AHUD

Advanced Auditing of HUD-Assisted Projects

7-8

MICRO

Seventeenth Annual Technology Conference

TX/GOV

EO-F990

Form 990 Tax Basics

FRA

Ethics and Fraud (8:30am - 12:00pm) (WEBCAST) Fraud (1:00pm - 4:30pm) (WEBCAST)

ITTF

International Taxation

TLLLO

Taxation for LLCs and Partnerships

13-14

AAUW

AICPAs Accounting and Auditing Workshop

MIT

Multi-State Income Taxation

FWM

Family Wealth Management

IFI

Investment Fundamentals for the Individual

FUR4

Annual FASB Update (8:30am - 12:00pm)

ETH4

Ethical Concerns for CPAs (1:00pm - 4:30pm)

ERI

Expand the Role of CPAs

FRT

Financial Reporting: Turn Information Into Action!

Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Springdale Holiday Inn Springdale Holiday Inn Texarkana, TX Courtyard by Marriott Texarkana, TX Courtyard by Marriott Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Jonesboro Hilton Garden Inn Jonesboro Hilton Garden Inn Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center

Gaurav Kumar

$325 **

$295 **

$225 **

$195 **

Provided by AICPA

$345 **

$315 **

$245 **

$215 **

Michele Kemp

$325 **

$295 **

$225 **

$195 **

Provided by K2 Enterprises M. Leon Mourton

$665

$630

$465

$435

$325 **

$295 **

$225 **

$195 **

Jerry E. Spratt

$200

$185

$145

$135

Jerry E. Spratt

$200

$185

$145

$135

Provided by AICPA

$375 **

$345 **

$275 **

$245 **

Joseph A. Sanford

$365 **

$335 **

$265 **

$235 **

Provided by AICPA

$635 **

$605 **

$435 **

$405 **

Charles C. Owen

$365 **

$335 **

$265 **

$235 **

Dennis Gerschick

$375

$345

$275

$245

Dennis Gerschick

$375

$345

$275

$245

Provided by Surgent McCoy Provided by Surgent McCoy Mark A. Conine

$200

$185

$145

$135

$200

$185

$145

$135

$325 **

$295 **

$225 **

$195 **

John Levy

$375

$345

$275

$245

Continued on page 5

ASCPA Newsletter: October, 2013

CPE Date

Field Of Study

Acronym

CPE Credit

Course Title

Course Fee

Early Discounted Course Fee

Member Discounted Fee

Early Discounted Member Fee

Location

Speaker

Little Rock ASCPA Conference Center Jonesboro Hilton Garden Inn Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Jonesboro Hilton Garden Inn Fort Smith, Beall Barclay Conf. Center Little Rock ASCPA Conference Center Fort Smith, Beall Barclay Conf. Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center Little Rock ASCPA Conference Center

Mark A. Conine

$325 **

$295 **

$225 **

$195 **

Provided by Surgent McCoy John Levy

$375

$345

$275

$245

$200

$185

$145

$135

John Levy

$200

$185

$145

$135

Provided by Surgent McCoy Joseph M. Rugger

$375

$345

$275

$245

$365 **

$335 **

$265 **

$235 **

Michele Kemp

$325 **

$295 **

$225 **

$195 **

Joseph A. Stanford

$665

$630

$465

$435

John C. Tripp

$425

$395

$325

$295

John C. Tripp

$425

$395

$325

$295

Provided by AICPA

$345 **

$315 **

$245 **

$215 **

NOVEMBER Continued

________________

FFGN

Government and Not-for-Profit Frauds

BTPS

ESP

CBP

BFTU

Make Money For You and Your Clients: Surgent McCoy’s Top Business Tax Planning Strategies Ethics and Substantiability: Profit from Doing Good (8:30am - 12:00pm) Creating the Best Projections You Can: Insights and Techniques (1:00pm - 4:30pm) The Best Federal Tax Update

LAMA

Lean Accounting and Management

SKSB

AICPA’s Annual Update for Controllers

21-22

IITW

1040 Tax Return Workshop by Sid Kess

OGT1

OGTAU

TTAU

Oil & Gas Taxation: Fundamentals (WEBCAST) Oil & Gas Taxation: Advanced (WEBCAST) AICPA’s Annual Update: Top 12 Audit Issues Facing CPAs

4 4 8

8 8

All courses begin at 8:30 a.m. and end at 4:30 p.m. unless otherwise noted. For conference times refer to conference brochures. ** Denotes American Institute of Certified Public Accountants’ Course, AICPA Members May Deduct $30 from the Course Registration Fee. (8 hours AICPA courses only) Denotes Webcast

Special Needs? Please contact the Society office at (501) 664-8739. See Registration Form for Courses and Conferences below.

COURSE & CONFERENCE REGISTRATION FORM (Please Copy Registration Form as Needed)

Name________________________________________________________ Certificate Number____________________________ Firm Name_______________________________________________________________________________________________ Phone Number ______________________ Fax Number ______________________ E-Mail _____________________________ Address/City/State/Zip _____________________________________________________________________________________ Are you a member of your state society? ______ Yes ______ No

If Yes, What State?______________________________

Are you a member of AICPA? ______ Yes ______ No (AICPA Members will receive a $30 per course discount on courses denoted with an **)

If you have a specific need contact the CPE Department at least one week prior to the course or for questions at any time call 501-664-8739 or 800-482-8739 Date

Course Title or Acronym

Fee

•_______________________________________________________________________________________________________ •_______________________________________________________________________________________________________ •_______________________________________________________________________________________________________ Less AICPA Discount $ __________________ (AICPA Discount is $30 off of the course fee listed and is ONLY for AICPA members and ONLY on those courses denoted with an **)

Total Amount Enclosed $ __________________ ( ) Personal Check ( ) AMEX ( ) Visa ( ) MasterCard Payment Method: ( ) Company Check CARD NUMBER: ___________________________________________________ EXPIRATION DATE ___________________ MAIL REGISTRATION WITH PAYMENT TO: ASCPA, 11300 Executive Center Drive, Little Rock, AR 72211-4352 WITH CREDIT CARD INFORMATION, REGISTRATION IS ALSO ACCEPTED BY: FAX: (501) 664-8320 WEB SITE: www.arcpa.org PHONE: (501) 664-8739 or (800) 482-8739 IN ARKANSAS Cancellation Policy: Full refund, less a $10.00 service charge will be made if notice of cancellation is received at least 60 days prior to the course or conference date. Full refund, less a $25.00 service charge will be made if notice of cancellation is received between 10 and 60 days prior to the course or conference date. NO REFUND WILL BE MADE IF NOTICE OF CANCELLATION IS RECEIVE LESS THAN 10 DAYS PRIOR TO THE COURSE OR CONFERENCE DATE. Registrants may not transfer from one course to another. Full Payment Must Accompany the Registration Form

ASCPA Newsletter: October, 2013

EMERGING CPAS Emerging CPAs Conference * ASCPA Emerging CPA Members Only *

Friday, October 25, 2013 ASCPA Conference Center 8 Hours of CPE (includes 2 hours of Ethics) Registration Only $65.00 This conference is designed to meet the professional needs of Emerging CPAs, 40 and younger, or those who have passed the CPA exam within the last 10 years. New Networking Event on Thursday, October 24, 2013 – Welcoming ALL ASCPA Members • 5:30 - 7:00 p.m. E-CPA Networking Reception, Sponsored by Frost PLLC ASCPA Conference Center, Little Rock, AR • 7:30 - 7:30 a.m. • 8:30 - 9:20 a.m. • 9:30 - 10:20 a.m. • 10:20 - 11:10 a.m. • 11:20 - 12:10 p.m. • 12:10 - 12:50 p.m. • 12:50 - 2:30 p.m. • 2:40 - 3:30 p.m. • 3:30 - 3:45 p.m. • 3:45 - 4:35 p.m. • 4:45 p.m.

Friday, October 25, 2013 Continental Breakfast and Visit with Exhibitors Communicating to Non-Accountants Michele Kemp, Accounting & Consulting Advisory Services Salary Negotiation / Resume Building Stephanie Shine, Robert Half Partnering with Your Alma Mater Dr. Phil Brown, Harding University Fraud / Internal Controls Jerry Spratt, Spratt Financial Forensics, Inc. Networking Lunch Professional Ethics Patricia Mounce, University of Central Arkansas Growing Professionally Georgia Mjartan, Our House E-CPA Happy Hour Work / Life Balance Jacob Wells, JPMS Cox Summary and Adjourn

Name: __________________________________________________ Certificate ______________________________ Firm: __________________________________________________________________________________________ Address: _______________________________________________________________________________________ City / State / Zip __________________________________________________________________________________ Phone: __________________________________________ Fax __________________________________________ E-mail: ________________________________________________________________________________________ Payment: _____ Personal Check

_____ Firm Check

___ Visa

Credit Card Number: __________________________________________

___ American Express

___MasterCard

Expiration Date: __________________

Signature ___________________________________________________ Register online at http://bit.ly/1b1LGLW or mail this registration form with payment to: ASCPA, 11300 Executive Center Drive, Little Rock AR 72211-4352 Fax to 501-664-8320 or Call 501-664-8739

ASCPA Newsletter: October, 2013

FINANCIAL LITERACY 4. Understanding Taxes makes teaching taxes as easy as ABC: • Accessible (web-based) • Brings learning to life • Comprehensive 5. It’s easy to add to a school’s curriculum. Teachers can customize the program to fit their own personal style with lesson plans and activities for the classroom. They will also find links to state and national educational standards. 6. The program is available 24 hours a day. All you have to do is access the IRS website and type “Understanding Taxes” in the search box. 7. There are no registration or login requirements to access the program. That means people can take a break and return to a lesson at any time. You can use the Understanding Taxes anytime during the year. The IRS usually updates the program each fall to reflect current tax law and new tax forms.

Explore a Quick and Simple Way of Understanding Taxes IRS Tax Tip If you’re a student or teacher, the fall months are a good time to learn something new. A quick and simple way to learn about taxes is by using the IRS Understanding Taxes program. The program is a free online tool designed in partnership with teachers for classroom use. The interactive tool is a great resource for middle, high school or community college students. However, anyone can use it to learn about the history, theory, and application of taxes in the U.S. Here are seven reasons why you should consider exploring the Understanding Taxes program: 1. Understanding Taxes makes learning about federal taxes easy, relevant and fun. It features 38 lessons that help students understand the American tax system. Best of all, it’s free! 2. The site map helps users quickly navigate through all parts of the program and skip to different lessons and interactive activities. 3. A series of tax tutorials guide students through the basics of tax preparation. Other features include a glossary of tax terms and a chance to test your knowledge through tax trivia. Interactive activities encourage students to apply their knowledge using real world simulations.

Additional IRS Resources: • UNDERSTANDING TAXES apps.irs.gov/app/understandingTaxes/index.jsp • IRS YOUTUBE VIDEOS English www.youtube.com/watch?v=9j3UeXGGmQE ASL www.youtube.com/watch?v=gO3dlLDfNyc

A Free Financial Literacy Webinar 360 Degrees of Financial Literacy, in partnership with the AlCPA’s Personal Financial Planning Division, is offering a free consumer webinar series, “Take Charge: Your Money. Your Life.” The latest seminar features speaker Sarah Hughes, CPA, and financial planner who discusses how your tax return is the roadmap to your life goals. So don’t file it and forget it, instead use it. Sarah explains how you can use your tax return to create a comprehensive financial plan. In this plain English web seminar you will learn: • Planning steps to take in the new tax environment • How to ensure your retirement plan delivers • How to evaluate your investment strategy • How to protect your assets • And more ... This is a free, one-hour seminar. To view the seminar recording, presentation materials, and a tax return checklist, go to: www.360financialliteracy.org/ If you have any questions, please contact FinancialLiteracy@aicpa.org.

ASCPA Newsletter: October, 2013

LEADERSHIP Call for Member Nominations

2014 ASCPA AWARDS

Nominate a CPA! 2014 ASCPA Awards

Each year the ASCPA bestows awards in several categories to recognize and honor individual membersâ&#x20AC;&#x2122; accomplishments in various areas of the accounting profession. Nominations for these awards are accepted from the membership. Award winners are selected from your nominations. Please help us identify these exemplary leaders through an award nomination. Recognize your fellow colleagues who serve as outstanding educators, who work in business and industry, or government, and who are active in public service. Send in your nominations today for the following awards

DISTINGUISHED ACHIEVEMENT IN ACCOUNTING EDUCATION AWARD

PUBLIC SERVICE AWARD This award recognizes CPAs who have distinguished themselves in public service activities at the local, regional, state or national level, and through this service have reflected credit upon the CPA profession. Deadline for nominations is December 30, 2013.

This award recognizes full-time college accounting educators distinguished for excellence in teaching and for prominence in the accounting profession. The nominee should be a recently retired, or current accounting educator at a postsecondary educational institution. Deadline for nominations is December 30, 2013.

PUBLIC SERVICE AWARD FOR FIRMS This award recognizes firms for their public service contributions on the local, state, or national level, to encourage more CPA firms to initiate or increase their community service activities, and reinforce the professionâ&#x20AC;&#x2122;s reputation for commitment to public good. Deadline for nominations is March 30, 2014.

OUTSTANDING CPA IN BUSINESS & INDUSTRY AWARD This award recognizes the achievements of CPAs who work in business and industry who have worked to blend information technology, financial decision making and progressive management techniques, helping his or her business move forward. Deadline for nominations is March 30, 2014.

2014 AWARD NOMINATION FORM Name of Award: _________________________________________

OUTSTANDING CPA IN GOVERNMENT AWARD

Nominee: _________________________________________

This award recognizes the achievements of individual CPAs employed in federal, state, or local government. Through this award, the ASCPA recognizes an outstanding CPA who strives to promote the CPA designation as the premier professional credential for accounting, auditing and finance professionals in government. Deadline for nominations is December 30, 2013.

Firm or Company of Nominee: _________________________________________ Your Name: _________________________________________ Your Address: _________________________________________ Your Phone Number: _________________________

OUTSTANDING EMERGING CPA AWARD

Please send by the Appropriate Award Deadline to: Arkansas Society of CPAs 11300 Executive Center Drive Little Rock, AR 72211-4352 Fax: (501) 664-8320

This award recognizes a young CPA that is 40 years of age or younger, and/or that has passed the CPA Exam within the last ten years, who has made significant contributions to the accounting profession, as well as the community at large. Exemplary leadership qualities and skills must be demonstrated, as well as volunteer service within the ASCPA, local chapter, or community. Deadline for nominations is March 30, 2014.

Once we receive the nomination, we will send you a complete Nomination Packet to list the various accomplishments of your nominee. 9

ASCPA Newsletter: October, 2013

LEADERSHIP State Board Elects Officers

What ASCPA Leader is famous for stating “Do the Taxes, Don’t Let the Taxes Do You?

The Arkansas State Board of Public Accountancy has elected new officers for the fiscal year ending June, 2014. The President of the Board of Accountancy is Dr. P. Michael Moore, Dr. Mike Moore CPA; Secretary is Karen E. Garrett, Arkansas State Board CPA; and Treasurer is Allen Wade of Public Accountancy Turner, CPA. Other Board members President are: Jeremy Watson, CPA; Gene Cogbill, CPA; Lloyd Franklin, CFE; and William R. (Bill) Millager, MBA. P. Michael Moore is a Professor of Accounting at the University of Central Arkansas in Conway where he is currently teaching Intermediate I and II accounting classes. Mike obtained an undergraduate degree from Ouachita Baptist University, a PhD in Accounting from the University of Arkansas, and became a licensed CPA in 1974. He lives in Conway with his wife Trish and has two children and four grandchildren. Dr. Moore’s hobbies include golf, hiking, and watching college football on Saturday afternoons. Karen E. Garrett is a Partner at Hudson, Cisne & Company, LLP in Little Rock. Allen Wade Turner is a Partner at Turner, Williams & Associates, PA in Searcy,

E-mail your response to balt@arcpa.org. The 9th correct response wins an ASCPA prize!

WEBCAST

FRAUD CONFERENCE OCTOBER 3-4, 2013 ASCPA CONFERENCE CENTER LITTLE ROCK

Contribution Level: ❏ $1,000 (Firm Sponsor: 5 tickets, signage & recognition) ❏ $500 ❏ $300 ❏ $100

2013 PAC Breakfast Friday, December 6, 2013

Payment Type:

7:30 a.m. - 9:00 a.m. Embassy Suites Hotel • Little Rock, AR

❏ Check

❏ AMEX ❏ VISA ❏ MasterCard

Credit Card Number:__________________________

Special Speakers to be Announced

Security Code:_______________________________ Expiration Date:______________________________

Firm or Individual Name: ___________________________________________

Payment Method: ❏ Mail: ASCPA PAC, 11300 Executive Center Dr. Little Rock, AR 72211

Billing Address: ___________________________________________ City:_______________________________________ State:__________________ Zip ________________

❏ Fax: (501) 664-8320

Phone Number: _____________________________

❏ To register or make a contribution online, go to: www.arcpa.org/Content/60404.aspx

Email Address: ______________________________

ASCPA Newsletter: October, 2013

MEMBER BENEFITS Largest database of privatecompany information now available for free exclusively to accounting firms

Put Sam’s Club® to Work for Your Business ASCPA members can enjoy many benefits available through Sam’s Club Business memberships! A Sam’s Club Business Membership gives you all of the privileges of the regular Advantage membership, with access to: • Shop during the early, extended store hours of 7:00 a.m. to 10:00 a.m. • A free card for a spouse or other household member • Warehouse club savings • Click ‘n’ Pull (order online by 5:00 p.m., and have your items ready for pick up anytime the next day) • Industry-specific merchandise • Apply for Sam’s Discover membership/credit card

Sageworks, maker of ProfitCents www.profitcents.com and the leader in the financial analysis of privately held companies, announced it will be making its database of industry statistics on privately held companies available for free to all U.S. accounting firms. The Sageworks database is reportedly the country’s largest warehouse of accurate, realtime private-company financial statement information. Scott Ogle, chief executive officer of Sageworks noted, “Our vision has always been to help businesses succeed by giving them information they can use and understand. We are achieving this goal through our relationships with accounting firms, which use this data to consult their clients, deepen their client relationships and expand their service offerings.” “Accounting firms have helped us compile this peer benchmarking data and we’re now giving it back to them so they can use it to show their business owner clients both what they can do better and where they stand out compared to their peers,” Ogle continued. To sign up for access to the free industry benchmarking data, visit the industry data homepage at www.sageworks. com/cpa/industry-data.aspx.

To sign up for a Sam’s Club Business membership, ASCPA members should contact Robin Harris at the ASCPA office at (501) 664-8739 or rharris@arcpa.org.

Member Benefit: Credit Card Processing ASCPA and TSYS Merchant Solutions have partnered to provide ASCPA members with discounts on their credit card processing. TSYS, a top ten payment processor, offers first-rate service, more than 55 years of experience in the industry, and many great advantages. For more information, visit www.myduescredit.com/ or call 888-749-7860.

2013 Directory of Arkansas CPAs and PAs www.arkansas.gov/asbpa/pdf/2013_Directory.pdf

ORDER YOUR 2014 U.S. Master Tax Guide through CCH and SAVE 25% ASCPA is offering the 2014 U.S. Master Tax Guide, published by CCH, for a limited time at a 25% discount off the single copy list price when ordered online. All orders for the 2014 U.S. Master Tax Guide must be placed online, and your order will be shipped directly from CCH, our publications partner. No billing will occur until your book order ships (shipping expected to occur in late November). ASCPA will not be taking orders directly. To purchase your copy, go online to: CCHGroup.com/members/arcpa At top of web page click on Member Order Direct Program to search for products. Please see the box on the right hand side for Ordering Instructions and enter the ASCPA Member Discount Code — Y5645. Orders are shipped and billed to customers as soon as the book is published and becomes available for public distribution. If you have any questions, please contact Robin Harris at the Society office at 501-664-8739 or 800-482-8739 in Arkansas.

ASCPA Newsletter: October, 2013

MEMBER BENEFITS What’s your identity worth? Everything you have.

Identity thieves want it all — your finances, your credit, and your good name. Your identity needs protection. That’s why ASCPA has partnered with LifeLock – the industry leader in identity theft protection. As a member of ASCPA you can get LifeLock® identity theft protection or LifeLock Ultimate™ protection for 2 months free, plus 10% off!* Visit www.1800members.com/LifeLock/ASCPA and enroll today! * Discount represents two months free included with purchase of annual plan. Valid for first year only.

QUICKBOOKS

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ASCPA members can take advantage of the member discount agreement with Quickfinder.® Be sure to mention the ASCPA member discount code G517 when ordering by phone 800-510-8997 or online www.quickfinder.com. For more information, please call Robin Harris at the Society office at 501-664-8739 or 800-482-8739.

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ASCPA Members Cut Costs on Copiers & Document Solutions

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Standard Business Systems, Arkansas’ leader in superior customer service with the latest technology in the copier and printing industry, offers special pricing and service to ASCPA Members! As a preferred provider of document hardware and software solutions, SBS offers a full portfolio of document management hardware from trusted technology partners Toshiba, Xerox, Lexmark, and Fujitsu. These modular systems can be configured to your specific needs to print, copy, scan, or fax. For more information or to explore ways to increase office efficiency, increase your bottom line, enhance your published image, and increase functionality, contact Douglas Gulley at 501-7667280, e-mail: dougg@standardbusiness.com. Ask for a complimentary document workflow analysis.

ERP InterDyn BMI

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Local office in Little Rock, Arkansas Contact us at 501-664-1180 or visit us www.interdynbmi.com

ASCPA Newsletter: October, 2013

MEMBER BENEFITS RIA 2014 FEDERAL TAX HANDBOOK SPECIAL DISCOUNT AVAILABLE FOR ASCPA MEMBERS ONLY!

The RIA Federal Tax Handbook, 2014 Edition will help in preparing 2013 federal income tax returns and provide specific guidance to tax consequences of transactions. The RIA Federal Tax Handbook, 2014 Edition will reflect all tax laws enacted up to the time of its publication. The Handbook continues to be the premier source for today’s federal tax law. This year’s book is more extensive than ever, providing you with the precise explanations of tax changes affecting your business. But it’s more than just a comprehensive tax resource written in terms you know and use. Use the handbook as a valued resource for you and your staff to resolve the tax problems that arise in everyday business and personal transactions. Put this insightful advice and guidance on the latest tax topics and changes right at your employees’ fingertips. The Handbook offers: • Detailed coverage of the latest tax legislation • Current and future income tax rates, current estate, gift and excise tax rates, and Social Security tax thresholds • Guidance on which forms to use to report transactions • Extensive professional guidance based on the experience of RIA’s expert editorial team Whether it’s used as a resource for your employees or a quality premium for your clients, the RIA Federal Tax Handbook is the only tax resource for all of your day-to-day tax questions. For late or yet-to-be-enacted legislation that may affect current and future tax years after you receive your Handbook, go to: ria.thomsonreuters.com/federaltaxhandbook. Order your RIA Federal Tax Handbook through the ASCPA for $45, including shipping costs, while supplies last!

2014 RIA FEDERAL TAX HANDBOOK ORDER FORM Name________________________________________________________________________________________ Firm/Company ________________________________________________________________________________ Street Address (No PO Boxes Please) ______________________________________________________________ City/State/Zip __________________________________________________________________________________ Phone _______________________________________________________________________________________ Please place my order for the following: __________ RlA 2014 Federal Tax Handbook @ $45 per copy = $__________ Payment Method: (

) Company Check

(

) Personal Check

(

) AMEX

(

) Visa

(

) MasterCard

Credit Card Number:_____________________________ Expiration Date: _______________________________ Please mail order form along with payment to: ASCPA, 11300 Executive Center Drive, Little Rock, AR 72211-4352 Or fax order form and credit card payment to: (501) 664-8320

ASCPA Newsletter: October, 2013

MEMBER SERVICES Help Your Staff Succeed: Suggest They Join ASCPA as an Associate Member! How can you help your non-CPA employees access the resources they require to keep your company competitive? Suggest the non-CPA staff in your office join the ASCPA today! As Associate members, they will receive quality professional development, leadership training, and life-long learning. They will be eligible for steep discounts on continuing professional education and CPA Exam review courses, as well as have the chance to network with other professionals. This non-CPA membership category welcomes: • Non-Certified individuals who have passed the CPA Exam, but have not met the one-year experience requirement; • Persons who have graduated and are actively sitting for the CPA Exam; • Professional staff employees who are engaged in an accounting capacity and directly supervised by an ASCPA member; • Non-CPA Educators of an Arkansas college or university. Associate members can actively participate in the Society and can take advantage of the many benefits and services. Help your employees get started - associate dues are just $90 annually. To find out more, visit www.arcpa.org or contact the ASCPA at (800) 482-8739 in Arkansas or (501) 664-8739 to request an ASCPA membership application.

Staff Spotlight

Marsha Moffitt Marsha Moffitt is ASCPA’s Peer Review and Membership Manager. She has been with the ASCPA since September, 1995. Her duties include administering the AlCPA’s Peer Review Program for approximately 200 AICPA member firms, as well as taking care of the Society’s membership, which includes everything from maintaining accurate database information to collecting annual membership dues for over 3,400 members. Before coming to the Society, she worked for the Jacksonville CPA firm, McAlister & Associates, PA, for three and a half years. Marsha grew up in “rice and duck country” in the Southeast Arkansas town of Almyra, and graduated from DeWitt High School in 1982. After attending college at Southern Baptist College in Walnut Ridge (now known as Williams Baptist College), she lived in Memphis, TN where she worked in the Trust Department at First American Bank. Marsha has been married to Alan Moffitt for 22 years. They live in Jacksonville with their two black labs, Maddie and Mason, two boxers, Millie and Samson, and three cats, Curtis, Mocha, and Black-Black. Their son, Alex, lives in St. Louis, MO, where he is finishing a Master’s Degree in Psychology at Missouri Baptist University. Marsha and Alan have been active members of Second Baptist Church in Jacksonville, where Marsha served as church pianist for ten years, and is currently a member of the Adult Choir and Praise Team. During Marsha’s tenure with the Society she has worked very closely with the Peer Review Committee and has seen many changes to the Peer Review Program and the Peer Review Standards. Due to the “aging pool” of peer reviewers in Arkansas, Marsha urges public accounting owners, partners and senior management professionals, especially those in larger firms, to consider getting the necessary training and adding peer review to their list of client services.

EMERGING CPAS CONFERENCE OCTOBER 25, 2013 ASCPA CONFERENCE CENTER LITTLE ROCK

ASCPA Newsletter: October, 2013

MEMBERSHIP NEW MEMBERS

PENDING MEMBERS

We welcome the following professionals who have been approved for membership in the Society and look forward to their participation in ASCPA activities.

The following persons have made application for membership in the ASCPA since the publication of the September Newsletter. Should there be an objection to the admission of these applicants, notice must be submitted to the Society office within thirty days thereof.

CERTIFIED MEMBERS TRAVIS LEE BOLTON Belmont Management Company Fort Smith KEVIN WARD CROWDER Thomas & Thomas, LLP Texarkana, TX NICKLAUS PHILIP FREYALDENHOVEN (Formerly Student Member) HoganTaylor, LLP Tulsa, OK KELLY JO MILLWOOD AR Division of Legislative Audit Little Rock KENNETH D. MULLINAX Internal Revenue Service Fort Smith DANIEL B. SEALE Hudson, Cisne & Company, LLP Little Rock JEANNINE SMILEY WHEELER Rockfish Interactive Rogers

WHITNEY HOLY Thomas & Thomas, LLP Texarkana, TX

CERTIFIED MEMBERS

CHRISTINE A. MURPHY EGP, PLLC Bryant

J. CHRIS CHENEY CBIZ MHM, LLC Memphis, TN

LEE ANN C. WILSON S. F. Fiser & Company, CPAs Springdale

JENNY M. ERICKSON Jenny Erickson, CPA, LLC Mountain View

STUDENT MEMBERS

MARC STEPHEN JOHNSON Dillardâ&#x20AC;&#x2122;s, Inc. Little Rock

BRITTANY L. BIGGERS DeVry University Chicago

BILL P. SCOGGINS Dallas Police & Fire Pension System Dallas, TX

THOMAS JAMES BUSH, III University of Arkansas Little Rock

JENNIFER D. TRUJILLO Wal-Mart Stores, Inc. Bentonville

JASON T. GRANT University of Central Arkansas Conway

REINSTATING MEMBER SANGSHIN PAE (Associate Member) Arkansas State University Jonesboro

C. F. HORTON University of Arkansas Little Rock

ASSOCIATE MEMBERS

AMY ELIZABETH HOUSTON University of Central Arkansas Conway

DANA L. WILLS Dana Wills, CPA Conway MICHAEL SCOTT WILSON Unemployed Temporarily Bentonville ASSOCIATE MEMBERS MICAH FRIDAY Thomas & Thomas, LLP Texarkana, TX ANGELA MICHELLE GADBERRY L. Cotton Thomas & Company Little Rock

KRYSTAL D. ELDER Thomas, Speight & Noble, CPAs Osceola

BLAKE A. LENSING University of Arkansas Little Rock

GREGORY JAMES TUCKER Ellis, Tucker & Aldridge, LLP Little Rock

DEBORAH SUE PINCKARD University of Arkansas Little Rock

STUDENT MEMBERS KATY MARIE ALDERMAN University of Arkansas Little Rock

TODD RICHARD Hendrix College Conway

JUSTIN O. AUSTIN University of Arkansas Little Rock CHRISTINE BELCHER University of Arkansas Little Rock

OIL AND GAS TAXATION: FUNDAMENTALS

MATTHEW BEYER University of Arkansas Fort Smith

NOVEMBER 21, 2013

SHELBY BLAIR Southern Arkansas University Magnolia

OIL AND GAS TAXATION: ADVANCED

MEGAN BRIDGES Southern Arkansas University Magnolia

NOVEMBER 22, 2013

JUDA F. BROWN Southern Arkansas University Magnolia

EMBASSY SUITES LITTLE ROCK

ASCPA Newsletter: October, 2013

LY K. BUI University of Arkansas Little Rock CLAYTON MATTHEW CARR Drury University Springfield, MO ZHONGSHI CHEN University of Central Arkansas Conway JONATHAN MARK CURRY Ouachita Baptist University Arkadelphia JOLEEN E. DANLEY University of Arkansas Little Rock VANESSA A. DAVIS University of Arkansas Little Rock ROSE MARY ECKERSLEY University of Arkansas Little Rock MATTHEW D. FRITZ Arkansas State University Jonesboro SHALANDRICE FULLER University of Arkansas Little Rock AMY M. GOOCH Arkansas State University Jonesboro CHARITY D. GREGORY University of Arkansas Fort Smith HARMONY L. HARROW University of Arkansas Little Rock JARRED WAYNE HILL University of Central Arkansas Conway RITA M. HILL University of Arkansas Little Rock CHAD DAVID HOLT University of Arkansas Little Rock MICHELLE HOYT University of Arkansas Little Rock KAYLEIGH HUNTER University of Arkansas Little Rock

MEMBERSHIP STUDENT MEMBERS CONTINUED JAKE W. JACKSON, JR. University of Arkansas Little Rock CUIYU JIN University of Arkansas Little Rock JEREMY DAVID KING University of Arkansas Little Rock PAUL MADER University of Arkansas Little Rock JORDAN MIKAYLA MATLOCK Southern Arkansas University Magnolia MAKYLA LYNN MCDOUGAL Arkansas State University Jonesboro SAMUEL TANNER MCKNIGHT Arkansas State University Jonesboro PATRICK MAURICE MOORE University of Arkansas Little Rock KELLEY ELIZABETH NORTON University of Arkansas Little Rock SHENQUIA CHARMAINE PATTERSON University of Arkansas Little Rock

CHAIRMAN EMERGING CPAS COMMITTEE

JACQUELINE POTTS University of Arkansas Fort Smith TINA M. RIVAS Southern Arkansas University Magnolia

PR FILE

D. KYLE ROWLAND Arkansas State University Jonesboro CALEB MARTIN SMITH Arkansas State University Jonesboro TONYA M. STINSON University of Arkansas Fort Smith

Chris Flynt

ASHTON E. WILBURN Arkansas State University Jonesboro

Firm/Company: Daniels & Flynt Position: Partner Time In Current Position: 6 Years Birthplace: Fayetteville, Arkansas First Job Ever: Farm Hand (cattle & chickens) First Job As a CPA: Accounting Manager, DaySpring Cards, Inc. Alma Mater: University of Arkansas and University of Kentucky Year I Passed the CPA Exam: 2006 Professional/Community Activities: Northwest Arkansas Emerging Leaders, Finance Team - FBC Centerton, Benton County Rural Development Authority Board, Horses for Healing Volunteer, ASCPA Emerging CPAs Committee Marital Status/Children/Pets: Married, 4 Kids Ages 3, 4, 4, 7 My Best Asset Is: My Work Ethic Favorite Food: Steak My Favorite Author Is: James Patterson The Last Book I Read Was: Killing Kennedy by Bill O’Reilly/Martin Dugard Favorite Movie of All Time: The Thomas Crowne Affair Favorite Television Show: Anything on Discovery Channel Dream Vacation: Cattle Drive Guests At My Fantasy Dinner Party Would Be: My Grandpa Johnny, Brian Regan, Stephen Colbert, Johnny Cash The Best Advice I Ever Received Was: Remember Where You Came From The Worst Advice I Ever Received Was: That Haircut Looks Good on You (in reference to a mullet) If There’s One Thing I Won’t Do, It’s: Sing in Public You’ll Never Catch Me Wearing: Skinny Jeans My Pet Peeve Is: People Who Love to Hear Themselves Talk Though I Was Proven Wrong, I Once Said I’d Never: Eat Sushi What Would Surprise People About Me: I Had a Mullet in Middle School If I Weren’t a CPA, I Would Be: A Farmer What I Like Best About My Job: Helping Clients Understand Their Businesses Future Goal: Become a College Professor Goals for the Society: Engage the Next Generation of CPAs One Word To Sum Me Up: Relaxed Words of Wisdom: “Do the Taxes, Don’t Let the Taxes Do You”

RACHEL LOY WILLIAMS Ouachita Baptist University Arkadelphia JUSTIN D. WITHROW University of Arkansas Little Rock MALLORY N. WOOTEN Southern Arkansas University El Dorado ROCHELLE WOOTEN Arkansas State University Jonesboro

Facebook: Young CPA Network Have you “liked” AlCPA’s Young CPA Network: a networking and information sharing group for young CPAs? The goal of the Young CPA Network is to provide a place where new professionals can forge valuable relationships, and find the information and resources they need to help enrich and support their careers. The AICPA launched the Young CPA Network in 2005 in an effort to address and support the needs of young professionals, and inspire the profession’s future leaders. The demands placed on young professionals make it difficult for them to find and tap the resources of their professional associations, but with a rapidly changing and increasingly global business environment, it has never been more important.

ASCPA Newsletter: October, 2013

PEER REVIEW ASCPA BOARD APPROVES INCREASE OF PEER REVIEW FEES FOR 2013

Committee for evaluation and acceptance. After the Peer Review Committee evaluates the review, the firm is then billed an Evaluation Fee, which is based on the type of peer review performed (engagement or system review), as well as the size of the firm reviewed (on system reviews).

At its February 13, 2013 meeting, the ASCPA Board of Directors (Board) approved a $5.00 increase on the peer review annual assessment “per professional” fee, to be applied to the 2013 annual billing. The Board also approved a yearly base rate increase of $5.00 per firm, beginning in 2014 and going forward. The 2013 annual assessments have been mailed, and are due September 30, 2013 as follows:

Peer Review Annual Assessment Fees are billed every September to all firms that are enrolled in the AICPA Peer Review Program for the current fiscal year. Revenue collected from the annual assessment is used to cover a majority of the expenses and overhead allocations incurred by the Society’s administration of the Peer Review Program for the AICPA. Enrolled firms are billed a base rate, which is dependent on whether or not the firm’s owner or partners are Society members, plus a “per professional” fee for each firm employee that is a CPA (full- or part-time) or is seeking CPA status. The “per professional” fee should be paid for any employee of the firm that has received a CPA certificate and is working in an accounting capacity within the firm, whether on a full- or parttime basis, as well as any professional employees who are seeking to obtain “certified” status. The “per professional” fee also applies to sole practitioners with no staff. Many firms overlook this fee when remitting payment. Please help the Society eliminate extra billing time and expense by including this amount with your original payment.

SOCIETY MEMBERS Sole practitioner with no professional staff: $300.00 + $30.00 per professional (applies to sole practitioners) Example: $330.00 minimum due Firms with two or more professionals: $300.00 + $30.00 per professional Example: $420.00 (firm with four professionals)

Revenue collected from the above-mentioned fees solely funds the Society’s administration of the Peer Review Program, which covers all overhead expenses including staff salary/benefits/training, publication and mailing expenses, facility and equipment allocations, taxes, etc. A portion of the revenue collected also covers expenses incurred by the Committee during its telephone conference and in-person meetings, as well as the fees that are paid to committee members who perform the minimum four (4) oversights that are required annually by the AICPA, and the hourly rate and expenses that are charged per review by the Society’s contract Technical Reviewer. The Society’s peer review division is completely selfsupporting, and the fees collected barely cover the expenses and overhead allocations. The Society is committed to continue offering this valuable service because we know how important peer review is to the success of the accounting profession. If you have any questions regarding the peer review process, please contact Marsha Moffitt at the Society office.

NON-SOCIETY MEMBERS Sole practitioner with no professional staff: $350.00 + $30.00 per professional (applies to sole practitioners) Example: $380.00 minimum due Firms with two or more professionals: $350.00 + $30.00 per professional Example: $470.00 (firm with four professionals) Peer Review Administrative Fees are billed during the year in which a peer review is performed, which is every three (3) years. When a firm’s peer review scheduling is confirmed by the ASCPA Peer Review Manager, a Scheduling Fee of $100 is billed to the firm. After the peer reviewer performs the review and submits the working papers and peer review report to the ASCPA, the peer review then goes through a technical review process before it is submitted to the ASCPA Peer Review

2013-2014 Peer Review Committee Schedule September 25, 2013 Policy & Planning Meeting ASCPA Facility November 20, 2013 Phone Conference

ASCPA Newsletter: October, 2013

FIFTY-SECOND ANNUAL ARKANSAS FEDERAL TAX INSTITUTE

January 22, 2014 Phone Conference

DECEMBER 5-6, 2013

March 19, 2014 Phone Conference

EMBASSY SUITES LITTLE ROCK

PEER REVIEW the AICPA staff who disseminate the information to us. ‘Bucket list’ or not, I’ll look forward to next year’s conference.

CPA Checks Off Peer Review Conference From ‘Bucket List’

Ronald E. Meyers is a partner with the public accounting firm of L. Cotton Thomas & Company in Little Rock. He has been a member of the ASCPA Peer Review Committee since 2008 and currently serves as Chairman.

By: Ronald E. Meyers, Chair ASCPA Peer Review Committee

Get Prepared for Your Peer Review

Ron E. Meyers

In August, I attended the annual AICPA Peer Review Conference in Providence, RI. The conference was arguably the largest gathering of peer reviewers in the nation. While attending a peer review conference may not be on anyone’s ‘bucket list’, it always proves to be both enjoyable and educational. The focus of the conference is self-explanatory. The topics covered impact all firms affected in any way by peer review. During the course of the conference, I found myself at times wearing the hat of a peer reviewer, and at other times wearing the hat of a practicing CPA. As a peer reviewer, I was listening to the issues in terms of how they would affect the peer reviews that I perform. As a practicing CPA, I was listening to the issues in terms of how best to implement them and make sure my firm’s work complies with professional standards; and by extension, to make sure my firm will be ready for our next peer review. Following are just a few items discussed at this year’s conference: • The AICPA recently issued its Financial Reporting Framework for Small and Medium Entities (FRF-SMEs). The new framework is an ‘other comprehensive basis of accounting’ and is expected to be embraced by certain clients and their bankers who don’t want to jump through the hoops of full-GAAP financial reporting. Proper application of the framework will likely be an area of concern in future peer reviews. • One common issue in recent peer reviews has been a failure to fully implement the Clarified auditing standards. (Remember, the Clarified standards became effective for client years ending on or after December 15, 2012.) Additional information on the auditing clarity project is available at www.aicpa.org/SASClarity. • The AICPA’s Accounting and Review Services Committee is currently working on a clarity project for compilation and review standards, similar to the clarity project, for auditing standards. The projected implementation is expected to be for years beginning after December 15, 2014. • Two members of the AICPA’s Technical Hotline team gave a presentation on the most common questions addressed by the team during the past year. The questions covered variable interest entities, subsequent events, related parties, fair value measurements, and supplementary information. The presentation served as a reminder of the great resource the Technical Hotline is to AICPA members. To reach the AICPA Technical Hotline, please call (919) 402-4502, Ext. 3, or contact them by e-mail at prptechnical@aicpa.org. AICPA conferences are a great opportunity to interact with the people who author our professional standards, as well as

If your firm will have a peer review due in 2014, then you need to make preparations now to have an effective quality control system that will lead your firm to receive a peer review report with a Pass rating. Consider attending “Upcoming Peer Review: Is Your Firm Ready?” This course will help get you prepared for your next peer review by learning what can be done on a daily basis to create a strong quality control environment for your firm; identify the most common, significant deficiencies that peer reviews uncover and what you can do to prevent them from occurring in your own firm; consider the process for selecting the appropriate peer reviewer; and determine the right review year-end for your firm. If you have specialized engagements, such as governmental units, not-for-profit organizations, construction contractors or employee benefit plans, this course will examine the additional issues that might come into play. You will learn how to create a firm environment that focuses on quality control, understand the basic steps for monitoring and inspections, establish quality control systems based on the Quality Control Standards, and recognize significant recurring engagement deficiencies and how to prevent them. In summary, this course will teach you how to prepare for your next peer review, what decisions to make, and how to pull together the right information. Title: “Upcoming Peer Review: Is Your Firm Ready?” Date: Monday, October 21, 2013 Time: 8:30am - 4:30pm Location: ASCPA Conference Center, Little Rock CPE Credit: 8.0 Hours in Accounting, Auditing & Assurance Instructor: John M. Andres Fee: $225 ASCPA Members, $325 Non-Members Early Bird Fee: $195 ASCPA Members, $295 Non-Members through 10/7/2013 AICPA Member Discount: ($30)

ASCPA Newsletter: October, 2013

PRACTICE MANAGEMENT • Patterns of failing to follow and/or ignoring advice; • Consistently negative reactions to points of improvement raised by the CPA firm; • Lack of management integrity; • Lack of internal controls; • High accounting and management turnover; • Poor treatment of CPA firm staff; • Poor treatment of the client’s own accounting department or evidence that accounting/fiscal oversight is not a priority for the client’s management; • Potential and actual conflicts of interest between the CPA and the client (e.g., divorcing or divorced clients).

Clients: The End is Near By: Amy Waldron, CPA Evaluating clients annually is good practice management for a professional services firm. A firm’s strategies, areas of practice, and risk profile change over time. As a result, certain clients may no longer be a desirable fit for the firm. Similarly, some client behaviors become problematic and can harm the staff’s morale, creating issues for partners, and causing lost opportunities to serve clients who complement the firm’s business model. Effective practice management includes recognizing the need to discontinue certain client relationships. The art of identifying when to end a relationship and how to terminate a client requires experience and should be embedded into firm culture. When the need to terminate a client is identified, a firm can limit its risk by informing the client in writing of its decision to end the relationship. If a firm fails to effectively communicate the termination, the client and third parties may operate under the impression that the CPA firm still serves the client. Even if the client realizes that the relationship is over, many may state they “thought” the CPA was coming back to perform “the annual work as usual” when there is no documentation of a termination.

In addition, a client’s strategies, structure, complexity, or business relationships may change, adding layers of risk to the engagement that the firm may not be willing to assume. In the end, the firm must make a judgment call to determine the time to walk away. The decision should include an assessment of business goals, personal values, and risk mitigation. TERMINATING THE RELATIONSHIP FORMALLY AND EFFECTIVELY Once the decision is made to terminate a client relationship, it should be communicated in writing. It is risky to ignore the client until the client’s departure from the relationship. The experience of the AICPA Professional Liability Program demonstrates that this approach leads to malpractice claims. Moreover, complaints to state boards have arisen when a client was unaware of the firm’s termination and missed a tax compliance or regulatory filing deadline, or a commitment to submit financial statements to a shareholder, lender, or other third party as a result. Additionally, negative actions taken by clients after a termination decision is made, and in the absence of proper notification, may harm the firm if third parties operate under the impression that the firm continued to serve the client. Without written documentation, it becomes difficult to prove the firm was no longer associated with the client at the time of any alleged wrongdoing. Written evidence can strengthen a CPAs’ defense against a claim as long as it is factual and includes the following elements:

RATIONALIZING A RELATIONSHIP CPAs may rationalize the perpetuation of a poor relationship with a client because the firm is reluctant to lose the revenue or dismiss a longtime client. Often, if the CPA has provided services to a client for a long time, the CPA also may serve the entire family in both professional and business matters. The client may be an acquaintance outside of the professional relationship, and their paths will cross in the community. The client may be a good referral source, a “good person who is just experiencing financial trouble,” or well-respected in the community. Nevertheless, if the client places stress on the practice, the firm should consider ending the relationship. COMMON INDICATORS OF A PROBLEM CLIENT Timely termination is critical to mitigating litigation risk involving a problem client. Firms should implement an annual assessment of the client portfolio shortly after busy season when client interactions are fresh. Client behaviors and circumstances indicating the need for termination may include, but are not limited to:

• Nature of services and when those services ended (generally the date of the termination letter); • Issues regarding any work-in-process; • Fees due to the firm; • Status of original client records; • The firm’s record retention policy and guidelines for responding to a request for copies of client records; • Items requiring follow-up or completion by the client, such as the due dates for tax returns and the need to engage another accounting professional or tax attorney to assist the client going forward. Ultimately, the client termination letter should clearly inform the client of the date on which the service(s) ended and should be limited to the points noted above. Continued on page 22

• Nonpayment or consistently late payment of fees; • Frequent price or service complaints; • Disagreements or disputes between the CPA and the client (over issues such as fees, aggressive tax positions, or accounting treatments); • Disputes among the client’s partners or shareholders; • Difficulty in obtaining or consistent delays in receiving requested information;

ASCPA Newsletter: October, 2013

PRACTICE MANAGEMENT view these free toolkits, go to www.aicpa.org/lnterest Areas/FRC/AccountingFinancialReporting/PCFR/Pages/F RF-SNEs-CPAs.aspx

AICPA Releases Free FRF for SMEs™ Toolkits for CPAs, Small Businesses and Users of Financial Statements

In addition to the toolkits being segmented by firm size, each contains illustrative financial statements, a learning and implementation plan; staff training PowerPoint; a chapter-bychapter introduction to the FRF for SMEs that includes sample CPA reports; a presentation and disclosure checklist; comparisons to U.S. GAAP, tax basis OCBOA and IFRS for SMEs; an FRF for SMEs logo for firms to use to market the service to current or potential clients; social media support; a video; customized client letters and other client-facing materials. CPAs may also access additional toolkits for:

The AICPA recently announced the launch and availability of the Financial Reporting Framework for Small and MediumSized Entities. The FRF for SMEs™ accounting framework delivers financial statements that provide useful, relevant information to owners of private companies and other stakeholders in a consistent, simplified, cost-effective way. Download a free copy of the Framework, at www.aicpa.org/ INTERESTAREAS/FRC/ACCOUNTINGFINANCIALREPOR TING/PCFR/Pages/Financial-Reporting-Framework.aspx in order to see whether it is the best financial reporting option for you or clients who do not need GAAP financial statements. The AICPA has developed several free toolkits for small CPA firms, medium firms, and large firms, each containing extensive resources, to help members learn about and implement the framework, discuss it with their firms or organizations, as well as educate clients and users of their financial statements. In addition, small businesses and financial statement users have access to informative resources that are being promoted through ongoing targeted advertising and email campaigns to lenders, insurers and other stakeholders. To

The small business community www.aicpa.org/lnterestAreas/FRC/AccountingFinancialRe porting/PCFR/Pages/FRF-SMEs-SmallBiz.aspx Users of financial statements www.aicpa.org/lnterestAreas/FRC/AccountingFinancialRe porting/PCFR/Pages/FRF-SMEs-Users.aspx Technical inquiries on the framework should be directed to the AlCPA’s A&A Hotline, at 877-242-7212. Other questions or requests may be e-mailed to FRFforSMEs@aicpa.org.

Clients: The End is Near Continued from page 21

acceptance process should be reflected upon in developing future client acceptance practices.

This process requires caution. If the client is facing an imminent tax or regulatory deadline that will be difficult to meet due to the termination, the firm should consult with an attorney and its professional liability insurance carrier before proceeding. If there are exhaustive matters that require the client’s follow-up, such as internal control deficiency observations and recommendations, potential noncompliance with tax law, or misclassification of independent contractor vs. employee status, a separate findings letter may be necessary. The findings letter should accompany the client termination letter. The letter(s) should be sent using a delivery method that allows for evidence of receipt, including the date.

A HEALTHY BREAKUP Firm time freed up by no longer providing services to problem clients presents an opportunity to begin and build relationships with good clients that meet the firm’s acceptance criteria. The dedication to developing and modifying, as needed, a strong client acceptance and continuance policy should ultimately benefit the firm. Remember that problem clients lead to unnecessary firm stress whether it is placed on firm professionals, workloads, or billings and collections. In the end, poor client relationships have a long-term negative effect on the firm regardless of the short-term effects of walking away. By eliminating such clients, the firm can focus its resources on providing high-quality services to clients who follow the firm’s advice, pay invoices on time, and are consistent with the firm’s business model. Properly terminating a client relationship can also help CPA firms avoid potential costly professional liability insurance claims.

DISCUSSING LESSONS LEARNED The firm should evaluate lessons learned from the client termination experience. Were red flags ignored in the acceptance process? Did the client contact the firm after working with several other accounting professionals in the past? Did the client refuse to allow the firm to contact the predecessor CPA? Was the client averse to agreeing to terms of the engagement through use of a formal engagement letter? Was the client significantly delinquent in tax compliance (income, payroll, sales, etc.)? Was the client responsive to follow-up inquiries and/or requests for information? When a firm says in hindsight, “I should never have taken this engagement in the first place,” the red flags ignored in the

ASCPA Newsletter: October, 2013

Amy Waldron amy.waldron@cna.com is a risk control consulting director at CNA. Continental Casualty Co., is the underwriter of the AICPA Professional Liability Insurance Program. To learn more about the ASCPA’s Professional Liability Protection, call Vernon Dutton, Regions Insurance, 888-2726656 or vernon.dutton@regionsinsurance.com. Reprinted from Journal of Accountancy. 22

TECHNOLOGY Engaging in Social Media With Other Accountants – What's in it for You?

Facebook, Twitter, and LinkedIn: We’ve all heard about the social media “Big 3,” but accountants must know how to use them to help their businesses. On Facebook and LinkedIn, you can create a page for your company. This will serve as a business profile where your peers can learn about your company’s story, products, and services, all while engaging with you and building relationships.

“Like Emerging CPAs of Arkansas on Facebook”

In an age when social media is booming and new business is more sought after than scoring a seat behind home plate at the Yankees game, using LinkedIn, Facebook, Twitter, and other social media remains one of the more underutilized and undervalued tools in the accounting profession. Most firms and companies have two schools of thought: gung-ho young professionals who are all for social media and older, seasoned partners who might think social media is a time waster because it’s a non-billable activity. As a young professional, you may think social media is only good for texting to confirm a dinner date or to post your brother's graduation pics on Facebook. Think again! The more you put into social media, the more you'll get out of it, especially when you are social with other accountants. While marketing and advertising are two ways accountants can increase business, social media is a way that can indirectly accomplish both. Gimmicky slogans and cliché promises can now be replaced by developing relationships with others, demonstrating your insight and expertise, and dictating the vision behind your work with a warm, personal touch. If this sounds like someone you want to meet and network with to exchange referrals, then you’re beginning to see why social media is important and very worthwhile for business. You might be avoiding using social media for business because you don’t feel you have the time or want to take the time to wait for results. A social media survey conducted by the Social Media Examiner in 2012 showed that, of the more than 3,500 marketers polled, 74% found traffic increased with as little as spending 6 hours a week on social media marketing. What are a few hours compared with developing hot referrals and potential clients? Not much. Social media is the perfect platform for your brand—and that starts with looking at social media as a way to improve the way you interact with colleagues and even your clients. Communication is a paramount part of success in accounting. In order to be your clients’ advisor, you must build trust and convince them that you know exactly what they need and understand everything about their business. Moreover, you must be able to write, speak, and present well so that your network and clients believe you have the professional skill-set that warrants a relationship with you.

While Facebook is generally a more personal-engaging platform, LinkedIn is great for personal interaction and business purposes. There are many discussion groups to join to provide industry insight, seek advice, and continue to develop quality relationships with your peers that could lead to future business. With thousands of groups, finding the right one for you can be a challenge, so this might help you weed them out. Twitter allows you to follow others, provide links to your firm’s site and company page, and write about industry news or developments in your own business. On Twitter, you can “tweet” multiple times a day or even as often as you like. Twitter is searchable by keywords, so while not everyone will find each post interesting or helpful, chances are, something will catch your audience’s attention. Make sure the messages are carefully scripted and well planned. Engage with your audience by responding to their comments and getting to know them better. Be sure to check out the AICPA’s Young CPA Network’s Facebook, LinkedIn, and Twitter pages. Videos: Videos are a great way to spread information. You can use them to provide tips and tutorials to your clients. You can also use them to introduce you and your staff, so that your clients and peers feel a personal connection. Videos can be linked to all three of the social media websites listed above, as well as your own firm website. Blogs: Blogs are an excellent way to get your professional opinion “out there.” They are often 200-300 words long, and tackle current or breaking news that you feel your clients would be interested in, while providing your take on the matter at hand. This platform will take more time and creativity, but can be very rewarding. If your client trusts you or a prospect is considering engaging you, a well-written, well-informed blog can make a world of difference. This is a perfect word-of-mouth approach. You may not make $10,000 per tweet like Kim Kardashian, create a viral video that reaches 1.6 billion views like Gangnam style, or grow your firm overnight on LinkedIn, but engaging in social media will help improve your business and demonstrate to other accountants—valuable referral sources—your knowledge and expertise. Seize the moment and take advantage of it today. We’ve all read how a consistently professional social media profile increases your personal brand. If you have lessons learned the hard way, or a few tried and true tips, we’d love to hear your story.

Social Media to Consider Everyday, there are more and more social media applications and tools available, so where do you start? Stick to the basics for now and then expand once you’re seeing results. 23

ASCPA Newsletter: October, 2013

CLASSIFIEDS ACCOUNTANT/CPA Seeking accountant/CPA to prepare P&L, payroll, budgets, depreciation calculations, tax returns and financial models. Will prepare equipment audits and maintain accounts receivable and payable. Provide consultation to management. Need 5 years minimum experience in corporate world. Knowledge of procedure development is a must. Contact Leo Hawkins at Leo@10fitness.com or call (501) 217-9700 OPENING FOR STAFF AUDITOR Daniel R. McCormick, CPA, PA has an opening for a staff auditor with a desire to also prepare some tax returns. Audit work is primarily with small non-profit and local government engagements. This is a job for an individual with good interpersonal skills who likes working and communicating with others, but can also work independently. All our audit clients are within thirty miles of the office. Benefits include health and retirement plans and dental insurance is an option. CPA certificate or serious candidate preferred. Audit experience is required. Interested candidates should send cover letter and resume to Daniel R. McCormick at daniel@mccormickcpa.com. COLLEGE FACULTY WANTED Have your job and teach it too. At University of Phoenix Little Rock and NWA Learning Center, you can teach part-time without interrupting your full-time career. We want people who are passionate about Accounting and Finance. UOPX faculty must have a master’s degree or higher and at least five years of current work experience. For more information, contact dawnbjork@phoenix. edu.

Advertise with ASCPA! Advertising Options Include: • Display advertising in the ASCPA Newsletter. • Classified advertising in the ASCPA Newsletter or on the ASCPA Website. • Banner advertisements placed prominently on the ASCPA Website. • Sponsorship of the Annual Mac Angel Memorial Golf Tournament. • Exhibit booths at ASCPA Conferences. • Advertising in the ASCPA Yearbook. More information can be found under the Advertising link on About ASCPA section of the ASCPA Web site at www.arcpa.org. ASCPA Newsletter: October, 2013

LOCAL CPA FIRM IN EL DORADO is looking for a motivated individual who desires an equity position. The person who is the “right fit” will be that professional with excellent technical skills, articulate and engaging in demeanor, of high character and impeccable integrity, and possesses a moderate to high level of accounting, attest and income taxation background. Our town is home of the El Dorado Promise, soon to be three publicly traded corporations, a Fortune 500 Company, the award winning MusicFest, the Boomtown Classic, the South Arkansas Arts Center, the South Arkansas Symphony, the award winning Union Square and upcoming Southern Theatre Festival. Send your confidential reply to Evers, Cox & Gober, 451 N. Washington, El Dorado, AR 71730 or amys@ecgcpa.com. WE HAVE BUYERS! WE NEED LISTINGS! For Sale: New: Central AR Gross $189k; New: Little Rock Gross $480k. Call or check our website for complete listing information. Ready to sell? We do all the work to make it quick and easy by bringing you serious and qualified buyers! Completely risk-free and confidential. Kathy Brents, CPA, CBI Cell 501.514.4928 • Office 866.260.2793 E-mail: Kathy@AccountingBizBrokers.com Also visit us at www.AccountingBizBrokers.com REGIONS INSURANCE STATE ADMINISTRATOR FOR THE ASCPA SPONSORED INSURANCE PLANS CALL VERNON DUTTON FOR AN APPOINTMENT TODAY! Telephone 501664-8791; Toll Free 888-272-6656. E-mail: vernon.dutton@regionsinsurance.com. Classified ads are accepted in the ASCPA Newsletter at 75 cents per word, minimum of $15.00. Upon request, they may be keyed to file number and replies forwarded unopened to advertiser. ASCPA Members may place job opening classified ads in the newsletter at no charge.

All information concerning the products or services advertised in this newsletter is provided by the dealer, owner, or agent of the business. The Arkansas Society of Certified Public Accountants (ASCPA) makes no representation as to the validity of the information provided by the business, as ASCPA does not check or verify the information provided by the business. ASCPA, or its affiliates is not liable for misinformation, typographical errors or misprints in the advertisements.

Have Questions, Comments or Concerns for the IRS or DFA? Complete the Online IRS and DFA Questionnaire All ASCPA members are encouraged to submit agenda items, favorable comments, problem areas or constructive criticism for discussion at the upcoming ASCPA Taxation Committee’s annual liaison meetings with representatives from the Internal Revenue Service and the Arkansas Department of Finance and Administration. To submit your agenda items for discussion at these meetings, complete the online questionnaire that was e-mailed to all ASCPA members on August 20th. Or to access the online survey directly, go to: www.surveymonkey.com /s/VXLQXBN If you prefer to receive a paper copy of the questionnaire, please contact Robin at the Society office at (501) 664-8739, to have one faxed or mailed to you. Please complete the online questionnaire no later than Monday, September 30, 2013. Following the meetings the ASCPA will include an insert in a future newsletter containing responses to the questionnaires, meeting highlights, important phone numbers and other useful information to assist members with tax questions and problems.

Please assist us so your concerns may be addressed at these important Liaison Meetings to be held November 6th.