Issuu

washington

CPA Winter 2015

Volume 57, Number 3

Revenue Recognition - An Every Company Issue - Build Your Implementation Plan Now

Are You Ready for SSARS 21? Vision of the Future of Peer Review Our CPE System: A Square Peg for a Round Hole

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WashingtonCPA Winter 2015

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CONTENTS

wa s h i n g t o n

CPA www.wscpa.org • memberservices@wscpa.org Tel (425) 644-4800 • Toll free in WA (800) 272-8273 Fax (425) 562-8853 902 140th Ave NE Bellevue, WA 98005-3480

BOARD OF DIRECTORS Heather L. Fitzpatrick Chair William A. Simer Vice Chair David J. Miniken Treasurer Lucy L. Liu Secretary Glenn G. Wisegarver Immediate Past Chair Richard E. Jones President & CEO

Laurie J. Anderson Marinilka B. Kimbro Thomas G. Donaghy Amanda V. O’Rourke Kirsten S. Duke Andrew L. Read Dean A. Granholm Abby M. Sanders Robert L. Grannum Joseph P. Smith Robert W. Heller CHAPTER BOARD CHAIRS Craig S. Connell Bellevue Area Alex R. King Central Molly Vander Woude Central Northwest Diane Bingaman Olympia Michael T. Enos Sammamish Valley Rachel T. Sites Snohomish County Dani L. Espinda South King County David P. Stubing Southwest Robert S. Plumb Spokane Sean P. Kinney Yakima

Revenue Recognition 7

Revenue Recognition: An Every Company Issue

New Revenue Recognition Standard: Build Your Implementation Plan Now

The WashingtonCPA is published by the Washington Society of Certified Public Accountants for its members. Views and opinions appearing in this publication are not necessarily endorsed by the WSCPA.

Our CPE System: A Square Peg for a Round Hole

The products and services advertised in The Washington CPA have not been reviewed or endorsed by the Washington Society of Certified Public Accountants, its board of directors or staff.

13 Are You Ready for SSARS 21?

Jeanette Kebede

Editor

The WashingtonCPA (USPS 009754) is published four times annually by the Washington Society of Certified Public Accountants, 902 140th Avenue NE, Bellevue, WA 98005-3480. $12 of members’ annual dues goes toward a subscription to The WashingtonCPA. Periodicals postage paid at Bellevue, Washington and additional mailing offices.

16 Vision of the Future of Peer Review 22 Leading through Connection

Cover photo: © iStock. by Getty Images/kali9 POSTMASTER: Send address changes to The WashingtonCPA, c/o WSCPA, 902 140th Avenue NE, Bellevue, WA 98005-3480.

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DEPARTMENTS 4

Leadership Lens

Events

News Briefs

CPE Digest

Advocacy

Registration Form

Member Benefits

Classified Ads

Foundation

Member Profile

WashingtonCPA Winter 2015

LEADERSHIP LENS

Succession Planning—Do Something Now

he November 2014 issue of Journal of Accountancy has an excellent article on succession planning (Succession challenges for U.S. CPA firms to tackle, written by Jim Knafo and Anita Dennis). The article reviews some of the findings of a survey conducted by the Global Accounting Alliance (GAA) this past May. GAA is an association whose members are accounting institutes, including the AICPA. The survey was designed to identify the readiness of accountants to address succession issues and to determine what services might help them achieve their continuity planning goals. The survey and its results were very similar to one conducted by the AICPA two years ago. Both surveys found that CPAs know that succession planning for their firm is important, but still they don’t get around to doing it. This is particularly true of sole proprietors and smaller CPA firms. Why is this? I think the answer is in human nature. We tend to avoid dealing with things that make us face the reality of our own mortality.We know we will all die one day and so we sometimes choose to not plan for that eventuality, but ignore it and maintain the status quo. Examples of this include dying without having prepared a will or avoiding the purchase of life insurance even when it may be called for. I believe this failure to act for our own good is often due to not having any idea of what we want the future to be or what the reasonably available options might be. I have met with many sole practitioners and partners in small firms who have wanted to discuss what I thought their exit strategy options might be. Here are some of the things we have discussed. •

When do you want to retire? Do you want to continue to serve some clients in retirement?

WashingtonCPA Winter 2015

IONS

T 2015 RESOLU

This is the time of year we all make resolutions for the New Year. If you do not have a plan for the continuation of your firm, then resolve to get that done in 2015.

n planning

1. Successio 2. Exercise

ore time 3. Spenfdam with mily

•

• •

How much income will you need in retirement? How much of that has to come from the business? What do you want to do with your time in retirement? Do you have hobbies? How is your health? How about your spouse’s or domestic partner’s health?

Now let’s look at your CPA firm or practice: • Is the revenue of the firm growing, staying about the same, or declining? How about the net earnings? • Are you the primary “rain maker” for the practice? If you are not, who is? If you are, is there another rain maker in development? • How strong is your bench? In other words, have you assessed the strengths and weaknesses of your staff, partners, and colleagues? Do you know what

•

• •

their plans are? How much do you invest in training for you and your staff? How much of that is spent on things like leadership training, management training, or other “soft skills”? Do your clients have strong relations with others in your firm in addition to you? Would those clients accept one of those colleagues as their CPA if you retired? Has your business kept up with technological advances, e.g. cloud computing? Do you have a practice continuation agreement with another CPA or firm? What would happen today if you had a serious health problem that prevented you from working?

I believe many CPAs do nothing because they just don’t have any idea continued on page 6 www.wscpa.org

By Rich Jones, CPA, CGMA, President & CEO

LEADERSHIP LENS

Our CPE System: A Square Peg for a Round Hole By Heather Fitzpatrick, CPA, CGMA,WSCPA Chair for 2014-15

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most people learn best and most thoroughly: in small time increments, with coaching, while they’re doing something on the job. Fortunately, the WSCPA isn’t the only organization to notice the difference between true learning and CPE measurement. NASBA (the National Association of State Boards of Accountancy, the organization that sets the standards for what type of CPE is acceptable in most states), and the AICPA have both been working on the issue. In fact, the AICPA has launched a new site with an overview of what their research has revealed. You can check it out at http:// futureoflearning.aicpa.org. So what does the future of learning look like for CPAs? I think it’s too early to know for sure, but the educational models that the AICPA, NASBA, and other organizations, including the WSCPA, are discussing are likely to be:

Experts say 70% of what we learn is acquired through hands-on, experiential learning. Only 10% is learned in formal classroom environments, and another 20% is learned through informal coaching and training. So why is it that our continuing professional education (CPE) system, which is meant to measure how well we stay current on technical skills and subjects that affect our performance as a profession, only measures formal classroom learning?

ow do you learn something new? One morning this fall, my husband was explaining DNA to my 11-year-old daughter.“Do you know what it stands for?” he asked. “Deoxyribonucleic acid.” And he gave her a detailed description, in simple terms, of how DNA works. My husband isn’t a scientist. He’s a business operations guy. In fact, I studied science longer than he did. It was what I intended to major in when I enrolled in college. But I couldn’t remember what DNA stood for. So I asked him why he could remember facts about DNA so well. Was it an exceptionally engaging teacher in a classroom? “No,” he said. “It was a vacation.” His family was taking a vacation, and his teacher gave him an unusual make-up assignment. He had to study RNA, which the class was studying while he was gone, and come back prepared to teach the lesson on DNA, which the class would not yet have learned. Forty years later, what he learned by doing – preparing the lesson himself so he could teach others – had lasted much longer than the lesson on RNA he learned through self-study or the lessons he learned in the traditional classroom setting. While this is a good example, it’s hardly atypical. Most of what we learn, we learn by doing. Experts say 70% of what we learn is acquired through hands-on, experiential learning. Only 10% is learned in formal classroom environments, and another 20% is learned through informal coaching and training. So why is it that our continuing professional education (CPE) system, which is meant to measure how well we stay current on technical skills and subjects that affect our performance as a profession, only measures formal classroom learning? Sure, self-study programs made CPE easier 20 years ago or more. More recent

moves toward webcasts and webinars have made access even more convenient. (The WSCPA has long been one of the leading innovators in CPE delivery, by the way.) But these systems still don’t measure the way

•

Competency-based: In the future, CPE is more likely to be focused on measuring what matters – competency – rather than inaccurate proxies such as hours of classroom instruction. This will require a new evaluation system that measures CPA success in mastering materials.

•

Technology-enabled: Technology will continue to play an increasingly important role in content delivery. Whether connecting discussion groups across broad geographies, serving as a repository for information, or providing game-based learning environments, technology is likely to continued on page 6

WashingtonCPA Winter 2015

LEADERSHIP LENS

Succession Planning— Do Something Now continued from page 4

of how to get started on succession planning. Here are some tips that you might consider: •

•

If you are not a member of the AICPA, become one and join their Private Companies Practice Section (PCPS). There is a lot of information in that Section about how to go about succession planning. The cost of joining PCPS is miniscule in comparison to the cost of doing nothing. Do some research to find CPE courses on this topic and attend the courses and meet the instructors. Most of these instructors/lecturers do some consulting in this area. (See below for a course being offered by the WSCPA.) If you know someone who has recently merged their firm with another, talk to them about their decision to merge and how it is working.

This is the time of year we all make resolutions for the New Year. If you do not have a plan for the continuation of your firm, then resolve to get that done in 2015. If you would like to discuss your situation with me, I would be happy to do so. Just call me at (425) 586-1124 or send me an email at rjones@wscpa.org.

Learn more CPA Succession Planning (15CSPMY11) Date

May 11 – 8am-4pm

Instructor

Ed Zollars

Location

WSCPA, Bellevue

CPE

8 technical credits

WashingtonCPA Winter 2015

Our CPE System: A Square Peg for a Round Hole continued from page 5

facilitate the future of learning. •

Linked to career progression: Throughout the arc of a CPA’s career, the competencies required for success shift from technical expertise to management experience. In the future, learning is likely to focus more closely on ensuring CPAs have the right skills at the right time, including not only technical skills, but also competencies related to people, leadership and business acumen.

•

Customized, modular and integrated: CPE programs of the future offered by organizations like the WSCPA are less likely to be structured around a curriculum, and more focused on customizing the approach to the needs of the CPA learner. We are likely to see a blend of learning styles, combining live classroom instruction, discussion and pre-work so that the class focuses on applying the learning, not memorizing facts. Case studies, simulation and scenario-based learning will also become more common.

•

Timely, including justin-time and on-demand learning: The more integrated focus will encourage the development of the type of learning required in a practical setting: accessible by CPAs wherever they are, whenever they need it, in short increments. CPE could be delivered in increments as short as 10-minutes long on topics of immediate relevance to the practitioner.

•

Reflective of the way people actually learn, including formal, classroom learning, informal coaching and training, and hands-on experiential learning: While there are challenges ahead, there is broad recognition that the current CPE system does not achieve the objectives of either the profession or the regulatory bodies that govern us. The future of learning is more likely to reflect the ways professionals develop lasting knowledge by focusing on helping them develop a deeper understanding of, and ability to apply, subject matters that are directly relevant to their career.

Clearly, this approach will demand innovative thinking. However, this more customized, flexible approach isn’t entirely fantasy. Several organizations in other countries, including CIMA and the CAs of England and Wales, currently use competency-based systems which address personal needs, have no set hours or unit requirements, and include formal, informal and experiential learning as part of the continuing professional education structure. There may be opportunities to learn from these programs as well as from other continuing education programs outside the CPA profession. With continued innovation and collaboration between State Societies, the AICPA, and the State Boards of Accountancy, CPE of the future could be a much better fit to CPAs’ needs: a round peg for a round hole. Heather Fitzpatrick is President & CEO of MarketFitz.You can contact her at hfitzpatrick@marketfitz.com. www.wscpa.org

REVENUE RECOGNITION

Revenue Recognition: An Every Company Issue By Joann Cross, CPA

ssued on May 28, 2014, ASU #2014-09 Revenue from Contracts with Customers has something for everyone. The total amount of revenue recognized under this guidance will not change, BUT the pattern might and it might change dramatically. Although it is true that not everyone will find their revenue recognition patterns will change, it is imperative that you find out now whether or not you are one of the lucky ones. Recall that the standard has five steps each of which presents its own problems: 1. 2. 3. 4. 5.

Identify the contract. Identify the performance obligations. Determine the transaction price. Allocate the transaction price to the performance obligations. Recognize revenue as control passes to the customer.

Since revenue cannot be recognized until there is an agreement that meets the FASB’s definition of a contract, you need to be aware of the impediments to the existence of a contract; AND they are not what you think they are. Of course, in every situation you can recognize revenue when you receive cash, but many modern companies don’t do business that way. Some things that you might think are separate performance obligations aren’t anymore. This is particularly true in light of the dual definitions of distinct (which are used to determine whether a performance obligation is separate or not) both of which MUST be met for the obligation to be distinct (and, hence, a revenue recognition trigger). Since the amount of revenue recognized depends upon the transaction price—“what the vendor EXPECTS to be entitled to receive,”—you will need to carefully reevaluate contract terms to determine if the effect on the amount www.wscpa.org

of revenue to be recognized justifies the expense of tracking the effect. In particular, you need to understand the impact of various contract “sweeteners” frequently employed by your sales people on the pattern of revenue recognition. Start now to allow time for those clauses to be evaluated as to whether they provide a benefit to your company or only cause additional costs in complying with the new reporting standard. Similarly, long-term construction contractors MAY be able to continue with percentage of completion, but only if their contracts allow for the continuous satisfaction of their performance obligations. The three conditions for continuous satisfaction can be met, but only with advance planning and perhaps some subtle modifications to the contracts themselves. In conclusion, the time to learn about the standard is now. For those who find that nothing changes, they can devote their attention to improving their business rather than worrying about how they are going to implement the standard. For those who find that only subtle changes are necessary, they have time to make those changes slowly over time in a quiet unobtrusive way. But, for those who foresee dramatic changes in the pattern of revenue recog-

nition within their businesses, they have sufficient lead time to determine how they are going to respond. Will they need new software to track their contracts? Do they need to educate their sales staff and their attorneys on the contract changes necessary to protect their pattern of revenue recognition? And, most importantly, do their investors (and board of directors) understand why revenue in the effective year is not equivalent to revenue in prior years. Remember the 2014 fiscal year may need to be restated for comparative purposes when the standard becomes effective. Determining the effect on the financial statements while you still have the data handy is far more efficient than waiting two years. Procrastination does not pay; it only costs you time and money. Dr. Joann Cross, CPA, is Professor of Accounting and Department Cochair at the University of Wisconsin, OshKosh. Dr. Cross will be teaching two eight-hour CPE programs on the new FASB revenue recognition requirements in the coming months. (Please see below for details.)

Learn more Revenue Recognition WEBCAST (15WBBMR06B) Date

March 6 – 6am-2pm

Instructor

Joann Cross

Revenue Recognition: Mastering the New FASB Requirements (15INRRMY21) Date

May 21 – 8am-4pm

Instructor

Joann Cross

Location

WSCPA, Bellevue

WashingtonCPA Winter 2015

REVENUE RECOGNITION

New Revenue Recognition Standard: Build Your Implementation Plan Now

By Kim Kushmerick

he Financial Accounting Standards Board’s new revenue recognition standard presents the most significant accounting change many veteran CPAs have seen. The standard touches every entity (public and private, including not-for-profit entities) that reports under U.S. GAAP and will require CPAs to reexamine the underlying economics of large numbers of established business practices. The new standard applies to most transactions and contracts with customers except for leases, insurance contracts, most financial instruments and guarantees (other than product or service warranties). At first glance, the implementation period for Accounting Standards Update (ASU) No. 2014-09, Revenue from Contracts with Customers, might seem adequate if not generous. Public companies, for whom early adoption is not permitted, are required to adopt the standard in 2017 (for reporting periods beginning after December 15, 2016). Private companies get an additional year—starting with 2018 for their annual reports—and

WashingtonCPA Winter 2015

two more years, beginning in 2019— to start applying the standard to interim reports. Private companies may choose to adopt the standard on the public company schedule. After further study, however, many organizations may find the implementation period to be extremely aggressive and the task daunting. There are many components to be analyzed and many questions to be answered: • • •

How will the standard affect operational and performance metrics? What IT changes will be needed? How will you retrospectively adopt the standard?

If a public company chooses full retrospective adoption, revenue and the direct effects of change in accounting principle to all contracts must be restated for 2015 and 2016 to show comparative financial statements with a cumulative adjustment as of January 1, 2015.

You are encouraged to advise clients and employers to begin developing an implementation plan as soon as possible. The AICPA has organized a major effort including industry work groups, training, and organizational tools to assist CPAs with this monumental implementation. You can use the following key tasks based on the AICPA’s New Revenue Recognition Accounting Standard— Learning and Implementation Plan as a high-level road map to begin organizing your organization’s implementation. Find the plan at www.aicpa.org/InterestAreas/FRC/AccountingFinancialReporting/ RevenueRecognition/Downloadable Documents/2014-09_LIPlan.pdf.

Task 1: Form a task force (2015)

Don’t wait to get all of the major players involved. The standard replaces most transaction- and industry-specific guidance with a principle-based approach, making it difficult—if not impossible—for www.wscpa.org

REVENUE RECOGNITION

CPAs to estimate the implementation effort required in a specific organization without first conducting a detailed assessment to use in developing a work plan. In all but the very smallest private companies, this assessment will require substantial collaboration with most major business functions including sales and marketing, IT, legal and human resources.

an entity may use the transaction price at the date the contract was completed rather than estimating variable consideration amounts in the comparative reporting periods.

c. For reporting periods presented before the date of initial application, an entity need not disclose the amount of the transaction price allocated to remaining performance obligations and an explanation of when the entity expects to recognize that amount as revenue.

Task 2: Evaluate the impact (2015-2016)

Evaluate the changes from current GAAP to the new revenue recognition standard and evaluate the impact on how your company accounts for existing revenue streams and the results to your company’s financial statements. In addition, evaluate how the standard will affect operational and performance metrics, company contracts, compensation plans, accounting policies, internal controls and tax matters. Work with your auditor to ensure that your approach to implementing the new revenue recognition standard and any changes in accounting for revenue recognition are documented completely and accurately.

Task 3: Choose how to retrospectively adopt (2015)

The standard should be applied using one of the following two methods: 1.

Retrospectively to each prior reporting period presented and the entity may elect any of the following practical expedients:

a. For completed contracts, an entity need not restate contracts that begin and end within the same annual reporting period.

b. For completed contracts that have variable consideration,

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Retrospectively with the cumulative effect of initially applying the standard recognized at the date of initial application. If an entity elects this transition method, it also should provide the additional disclosures in reporting periods that include the date of initial application of the following items:

a. The amount by which each financial statement line item is affected in the current reporting period by the application of the standard as compared to the guidance that was in effect before the change.

b. An explanation of the reasons for significant change.

In September, the Securities and Exchange Commission determined that companies electing full retrospective adoption will only be required to apply the new standard for three years rather than the expected five years.

Task 4: Determine IT changes needed (2015)

Based on the determinations made in Tasks 2 and 3, the new standard may require modifications to IT systems to capture the appropriate level of information related to data used to make estimates on revenue recognition and new disclosures. Determine whether any changes will need to be made to IT systems or software applications to capture

Use the AICPA’s New Revenue Recognition Accounting Standard— Learning and Implementation Plan as a high-level road map to begin organizing your organization’s implementation. Scan to download the plan or go to www.aicpa.org/InterestAreas/FRC/ AccountingFinancialReporting/ RevenueRecognition/Downloadable Documents/2014-09_LIPlan.pdf

WashingtonCPA Winter 2015

REVENUE RECOGNITION

information needed for the new revenue recognition standard, including the following retrospective adoption and the additional qualitative and quantitative disclosures required.

Adopted in a Future Period (www.sec. gov/interps/account/sabcodet11.htm#M), to determine the appropriate interim disclosures to be made prior to the adoption of the new standard.

Task 5: Determine interim disclosures needed for public companies (2015-2016)

Task 6: Develop project plan (2015–2016)

Public companies should consider the guidance in SEC Staff Accounting Bulletin (SAB) No. 74 (Topic 11:M), Disclosure of the Impact that Recently Issued Accounting Standards Will Have on the Financial Statements of the Registrant When

Develop an evolving project plan for implementation of the revenue recognition standard considering all of the tasks above and facilitate training for your staff.

Task 7: Educate key stakeholders (2015-2016)

Based on the determinations made in Tasks 2 and 3, the new revenue recognition standard may result in changes in timing of revenue recognized as well as new qualitative and quantitative disclosures that will need to be explained to stakeholders. Educate key stakeholders such as your audit committee, board of directors, investors and lenders on the new revenue recognition standard and what changes they should expect in your company’s financial statements.

NEWS BRIEFS

IN MEMORIAM:

E. William Parker Ernest William (Bill) Parker, 1970-1971 Board Chair of the WSCPA, passed away October 29, 2014. He was born in Helena, Montana on March 23, 1930. Mr. Parker received a Congressional Naval Appointment to attend Stanford University. He completed his college training at the University of Montana, graduating in 1951 and became a Montana CPA later that year. He started his professional accounting career with Randall & Emery in Spokane and was admitted to the firm as a partner in 1954. When the firm merged with Coopers & Lybrand in 1973, Mr. Parker was designated as Managing Partner and transferred to the Seattle office. He spent the last 10 years of his professional career serving as an expert witness in the firm’s litigation support services department. During his professional career, he served as Chair of the Washington State Board of Accountancy, council member of the American Institute of CPAs, Director of the National State Board of Accountancy, and Chair of the AICPA regional trial board. Mr. Parker was a frequent speaker for the WSCPA’s continuing educational programs. He also was an advisor to the University of Washington and Seattle University accounting departments. He was very involved with his communities, serving on the boards of various civic organizations. He and his wife Bev recently celebrated their 63rd wedding anniversary.They have five children, 12 grandchildren, and two great granddaughters.

WashingtonCPA Winter 2015

Free Tax Podcasts www.wscpa.org/more/podcasts

In Memoriam The WSCPA holds in memory with families and the larger community, these members who have recently passed on: Elizabeth B. Miller E. William Parker Stanley A. Short, Jr., CPA, MBA Dale W. Snow, CPA Tommy R. Thomson, CPA

www.wscpa.org/community/ in-memoriam www.wscpa.org

NEWS BRIEFS

Congratulations to the Washington AICPA Committee Appointments for 2014-2015 Greggory E. Amend

Telecommunications Revenue Recognition Task Force

Christopher W. Kradjan ASEC Trust Information Integrity Task Force, Assurance Services Executive Committee

Robert R. Berntson

Practice Advisory Group

Christopher M. Berry

Airline Revenue Recognition Task Force

Christopher B. Morgan Telecommunications Revenue Recognition Task Force

Kai F. Bottomley

EAQ - Revisioning Oversight

Jennifer A. Brenner

Not-for-Profit Organizations Expert Panel

Gordon T. Edwards

Healthcare Revenue Recognition Task Force

Richard J. Fohn

Personal Financial Planning Services Standards Review Task Force

Erica E. Forhan

Governmental Audit Quality Center Executive Committee, National Peer Review Committee

Fredrick M. Frank

SEC Regulations Committee

Thomas G. Neill

Uniform Accountancy Act Committee

Susan L. Paulsen

Healthcare Revenue Recognition Task Force

Ed E. Ramos

National Commission on Diversity and Inclusion

Ronald G. Rauch

Aerospace and Defense Revenue Recognition Task Force

Christopher G. Schmidt Womens Initiatives Executive Committee Jennifer M. Schmidt

Tax Methods and Periods Technical Resource Panel

Kevin R. Sell

IRS Advocacy & Relations Committee

Martin U. Fuhs Telecommunications Revenue Recognition Task Force

David A. Stolz

Personal Financial Planning Executive Committee, PFP Firm Strategy Task Force

Joshua Harms

S Corporation Taxation Technical Resource Panel

Stacy Harrington

Software Revenue Recognition Task Force

Amy Sutherland Board of Examiners (BOE), Content Committee, Chair

Lori L. Hope

Joint Trial Board

Richard E. Jones

Peer Review Board, Peer Review Board Education & Communication Task Force, Peer Review Board Planning Task Force

Brett J. Jordan

Student Recruitment Committee, Task Force Lead

Jennifer S. Korten

Partnership Taxation Technical Resource Panel

Join the conversation! LinkedIn

Lisa M. Swartos

Auditing & Attestation (AUD) Subcommittee

Laurie J.Tish

Professional Ethics Executive Committee

Kristine R. Wolbach

Statements on Standards for Tax (SSTS) Task Force, Tax Practice Responsibilities Committee

Cheryl K. Woods

PCPS Executive Committee

Are you a member of the WSCPA group on LinkedIn? Join the conversation today! Plus, follow WSCPA news and find event photos on Facebook and Twitter.You may have missed the following discussions, news and posts:

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WashingtonCPA Winter 2015

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ANNUAL MEETING

What will the future hold?

June 10, 2015 Washington State Convention Center, Seattle 7:30 - 9:00 am featuring Futurist Jared Weiner, Executive Vice President Weiner, Edrich, Brown Sponsorship opportunities available. Call (425) 644-4800 for details.

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WashingtonCPA Winter 2015

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SSARS 21

Are You Ready for SSARS 21? Statements on Standards for Accounting and Review Services: Clarification and Recodification By Jeffrey K. Mock, CPA

s part of the clarity project that has rewritten AICPA professional standards over the last few years, a major change to compilation and review standards is effective this year. Instead of deciding whether or not you’ve “pushed the button,” financial statement preparation standards are being revised to an “engagement based” reporting model.

What’s “engagement based” mean?

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Compilation standards apply when the client signs an engagement letter with your firm requesting that you perform a compilation. Preparation standards apply when the client signs an engagement letter with your firm requesting that you prepare financial statements.

Preparation

Formerly limited to audits, reviews and compilations, SSARS 21 creates the “preparation” service. The objective of a preparation engagement is “to prepare financial statements pursuant to a specified financial reporting framework” [formerly known as other comprehensive basis of accounting (OCBOA)].

• •

If the statements are wrong, correct them. Include legend on each statement that includes the words “no assurance.” An example would be “No assurance is provided on these financial statements.”

This new standard, labelled SSARS 21, establishes a new service CPAs can provide in their financial statement practice. Formerly limited to audits, reviews If the legend isn’t included you must and compilations, SSARS 21 creates the “preparation” service. The objective of a attach a disclaimer such as the following: preparation engagement is “to prepare The accompanying financial financial statements pursuant to a specistatements of XYZ Company fied financial reporting framework” [foras of and for the year ended merly known as other comprehensive December 31, 20XX, were not basis of accounting (OCBOA)]. When subjected to an audit, review, preparing financial statements, even or compilation engagement by for third parties, no report is required. me (us) and, accordingly, I (we) Instead, this is your work program: do not express an opinion, a conclusion, nor provide any • Obtain signed engagement assurance on them. letter. • No consideration of indepenIn addition, you must clearly state the dence is required. framework used to prepare the finan• Prepare financial statements – cial statements, either on the face of with or without disclosures. www.wscpa.org

Effective December 15, 2015 (with earlier implementation allowed):

each statement or in the notes to the statements. Since independence isn’t required, there’s no need to include any reference to the firm’s independence in a preparation engagement, either in the notes, the legend or the disclaimer. Financial statements can be prepared using GAAP or any “special purpose framework.” The preparation standards are independent of the basis of accounting. However, departures from the framework used to prepare the financial statements must be disclosed. Similar to current compilation standards, disclosures can be omitted. Remember that omission of disclosures is a departure from the framework used to prepare the financial statements and accordingly must be disclosed. A difference from SSARS 8 and other assembly standards, financial statements prepared by the firm can be for third party use. So if your client’s third party users will accept preparation financial statements, you can move to that level of WashingtonCPA Winter 2015

SSARS 21

service if you so desire. The preparation standard does apply to financial statements prepared by a firm for use by an auditor. This commonly occurs in Yellow Book engagements where preparation of financial statements is a threat to the independence of the auditor. However, the preparation standard continues to exclude the types of services that were not covered by prior standards, such as tax returns, financial statements included in financial plans, services performed as part of a litigation support engagement and financial statements prepared in conjunction with business valuation services. SSARS 21 contemplates that the CPA will be engaged to prepare financial statements to be presented to the client or others. If the CPA isn’t so engaged, and is simply entering transactions for the client, even the preparation standard doesn’t apply.

Effect on Peer Review

As a bonus for firms that perform only the preparation service, the Peer Review Board has issued an exposure draft that would exclude the preparation service from the scope of peer review. Should this change in standards be approved, any statements prepared by the firm under the preparation portion of SSARS 21 would be excluded from the scope of a peer review. This isn’t a pass from maintaining a system of quality control, however, even for a small firm. Those standards live on elsewhere in the AICPA professional standards along with the ethics stan-

WashingtonCPA Winter 2015

•

Some firms are uneasy about not having a report on financial statements that they know is intended for third parties. Others can’t wait to stop issuing reports and escape peer review. Will you early implement? It’s best to make this decision on a firm-wide basis so that consistency is maintained, otherwise you and your staff are trying to work with two sets of standards simultaneously.

Third, choose a champion. The rollout of SSARS 19 and the SAS clarity standards was troublesome in many firms that didn’t have someone in charge of making sure all aspects of the standards Compilation Changes to the standards for compi- were implemented. Fourth, update your practice aids and lation engagements, other than carving out preparation, aren’t as significant. The train your staff. New checklists and pracreport has been simplified substantially tice aids will help your firm stay in comto make it clear that no assurance is pro- pliance with the new standards. Lastly, enhance review during the vided. In addition, the engagement letter must be signed by the firm and the client. changeover. The items above should reduce errors but additional review is your last chance to catch exceptions. Review There are many changes in SSARS 21 Changes to the standards for review engagements aren’t as significant as the besides the preparation engagement that changes to compilations and preparation. will be fodder for peer review findings for The new standard contains the following the next five years. changes from the prior standards: Jeffrey K. Mock, CPA, is Principal at CPA 1. The engagement letter with Consulting, Inc., P.S. in the client must be signed by Bellevue.You can conthe client. tact him at jmock@ 2. Similarly to audit reports, the cpa-consulting.com. review report will contain headings. 3. Also similarly to the audit report, the state and city of the office issuing the report must be specified. dards which also still apply. It’s just that your peer reviewer won’t be testing your compliance.

What to Do Next

First, get up to speed. An explanation of all the requirements of SSARS 21 is far beyond the scope of this short article. Second, make some basic decisions about your firm’s approach to SSARS 21. •

Will you offer the preparation service to your clients?

Learn more

Compilation and Review Standards: the Annual Update and Review by Walter Haig Date

May 28 – 8am-4pm

Location

WSCPA, Bellevue (15CRURMY2)

Webcast (15WWCRURMY)

CPE

8 technical credits

www.wscpa.org

ADVOCACY

Something’s Coming By Kimberly Scott, CAE

ecently I was asked by a member what the key issues were this legislative session and how she could help. I immediately recalled watching the late Robin Williams in one of his standup shows.Williams was talking about Homeland Security and said that watching officials talk about warnings equated to something like this: “I don’t know where. I don’t know when. But something awful is going to happen. Thank you, that’s all for today, no further questions.” That is exactly how I felt when I tried to answer this particular member. There are many issues that we are tracking, but it’s possible that none of them will come to fruition. It makes it difficult to talk about issues knowing it is all theory until it is officially in motion. The majority of issues we are watching stem from the budget. Since the legislature needs to fund the Washington State Supreme Court’s McCleary Decision on public education funding and reform as well as the recent ruling banning psychiatric boarding in hospitals, and since revenues (even though they are increasing) are not projected to fully cover the costs, something is going to happen. There could be an increase in taxes. Would that come in the form of a sales tax on professional services, increased B&O, a capital gains tax, or something else? We don’t know when or where a tax proposal may come, but we will be monitoring closely. In fact, Governor Inslee’s proposed budget includes capital gains and some B&O tax exemptions. If you read the chair’s message from Emily Rollins in the December 2014 newsletter from the Washington State

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Board of Accountancy (WBOA), you are probably aware that the State Board has a sizable fund balance. Emily mentioned that legislators may view this as an attractive funding source to cover some of the above-mentioned issues. During the last budgeting cycle there was a proposal from the legislature to sweep the WBOA’s funds, but over 100 WSCPA members called their legislators and it was removed from the proposal. This tactic will probably not work again, so what other options are there? We have been working with the WBOA to find alternative options, but there is a chance we may not be able to stop a fund sweep due to the critical funding shortfall this session. As far as the other items I have mentioned in past articles, such as the PI license exception for CPAs, the CPA Canada credential, changes to peer review, changes in the definition of attest, national issues with cash accounting, and more, lots of things are still happening behind the scenes and we will provide you with updated information when something new and definite is decided.

There are many issues that we are tracking, but it’s possible that none of them will come to fruition. It makes it difficult to talk about issues knowing it is all theory until it is officially in motion.

Overall, I expect this legislative session to be fast paced and maybe overwhelming with all the possibilities. Although there are many unknowns, we feel better connected to our legislators thanks to so many WSCPA members getting involved in discussions with legislators in 2014. Please watch for information on topics in which you are interested and do not hesitate to reach out to me with questions. If you want to be more involved, sign up to be a grassroots volunteer. It is also a good idea to sign up for the WBOA newsletter so you get up-to-date information from the licensing body in Washington. (To sign up, visit www.cpaboard. wa.gov and search for “newsletter.”) But for now, “Thank you, that’s all for today, no further questions.” Kimberly Scott, CAE, is WSCPA Vice President of Member Services. You can contact her at kscott@wscpa.org.

WashingtonCPA Winter 2015

PRACTICE MONITORING

Vision of the Future of Peer Review: Transforming a 35-year Old Program

WashingtonCPA Winter 2015

The profession is at an early stage in imagining practice monitoring’s future. The concept itself hinges on the input and guidance of practice monitoring’s stakeholders, who are urged to read the paper and comment on it.

Elements of the Concept

Practice monitoring as described in the concept could potentially increase public protection through enhanced audit effectiveness by: • • •

Highlighting potential quality risk indicators and detecting engagement issues earlier; Reviewing all firms that perform accounting, auditing and attestation engagements; and Monitoring all engagements subject to review.

A key aspect of the concept is a technology platform that joins with human oversight to provide near real-time, continuous analytic evaluation. Monitoring would initially be conducted by the firm itself. Analytic tools would notify the firm of potential quality risks or engagement

issues prior to or during engagements. This notification would then lead to two levels of external monitoring. In the first level of external monitoring, AICPA-engaged practice monitors would assist firms in addressing quality issues and provide guidance to correct them. The second level would be performed by the firm’s external monitoring team, which would address unresolved issues and conduct periodic inspections of the firm’s system of quality control, including the use of technology and other resources within the firm. As currently outlined in the concept paper, the program would be developed and implemented in multiple phases. The first phase begins with a voluntary pilot group of small, medium and larger firms. The paper explains how future phases would transition from voluntary to mandatory participation.

www.wscpa.org

t’s 2025. You’re being introduced to Leslie, the quality control partner for her firm. She is in the midst of analyzing client work papers through the firm’s practice monitoring system. Relieved to see that a flag she raised in the system has been resolved by the audit manager, Leslie now understands that the concern had been a simple documentation issue and not a failure to perform a key audit procedure. With this overview of her firm’s engagements and the assurance that her team has addressed her concerns, Leslie can now approve the work papers with a simple voice command. Automatically, the system creates and routes her firm’s standard audit opinion letter tailored for the client. This scenario is what the AICPA asks stakeholders to imagine as they consider and provide feedback on how the 35-year old peer review program might be transformed. On December 15, the AICPA published a concept paper titled “Evolving the CPA Profession’s Peer Review Program for the Future: A provocative vision of what practice monitoring could become,” as part of the Enhancing Audit Quality initiative and is seeking WSCPA member input. (Find the paper at aicpa. org/futurepracticemonitoring.) The concept outlined in the paper was developed after two years of research and brainstorming by CPA profession leadership, staff, members and volunteers from across the country. “Today we’re faced with new levels of complexity in an increasingly fast-paced environment,” said Rich Jones, President & CEO of the WSCPA. “This thoughtprovoking concept challenges practitioners to consider and discuss an important transformation. By providing insights and putting our ideas together, we can keep our profession on the forefront of innovation and quality to protect the public interest.”

PRACTICE MONITORING

During all phases, a dashboard would provide a snapshot of useful information about the firm’s engagement activities and compliance with performance metrics over areas subject to monitoring. When implementation is complete, the cumulative results of the metrics displayed on the dashboard would generate a rating that would be displayed as a “quality seal.” Within the concept, the seal would visually confirm the firm’s participation in the practice monitoring program, the extent of services and the degree of compliance with performance metrics. Depending on access privileges and security rights, stakeholders would be able to access various levels of firm-related quality performance information.

Influence the Program

The concept’s vision is meant to change and develop based on stakeholders’

www.wscpa.org

feedback on the paper. Advances in technology and the pilot program’s impact on firms also will contribute to the maturation and transformation of that vision. In time, the AICPA hopes that, through iterative processes, it can enhance the future for practice monitoring by: • • •

•

Leveraging and incorporating emerging technologies; Providing a platform for more timely and effective audit quality oversight; Delivering more timely and transparent information to stakeholders (clients and oversight bodies) regarding the quality of a firm’s audit performance, and, thus, protecting the public interest; and Ensuring that the evolving process and its audit quality tools

provide value to firms. “The profession is at an early stage in imagining practice monitoring’s future. The concept itself hinges on the input and guidance of practice monitoring’s stakeholders, who are urged to read the paper and comment on it,” said Rich Jones. “WSCPA members will be able to provide thoughtful and diverse perspectives on what the next generation of practice monitoring might look like.” To learn more, read the concept paper or visit the Future of Practice Monitoring resource page at aicpa.org/practicemonitoringconcept, which features related news and information, including a video. Comments, due June 15, 2015, may be submitted by email to prsupport@aicpa. org or through the Web at aicpa.org/ futurepracticemonitoring.

WashingtonCPA Winter 2015

MEMBER BENEFITS

Tax Season 2015 Discounts and Resources Save 25% on U. S. Master Tax Guide 2015

www.cchgroup.com/ members/wscpa

Tax season is just around the corner. Order the U.S. Master Tax Guide through the WSCPA and save 25% off the $97.25 list price! Place your order online and the WSCPA member price is just $72.94 plus tax and shipping. An e-Book option is now available; download to your computer instantly once the book becomes available. The 2015 edition will contain timely and precise explanations of federal taxes for individuals, corporations, partnerships, estates and trusts. To order, visit www.cchgroup.com/members/WSCPA. When you check out, you will see the discount code Y5596 applied to your order. Interested in other CCH top tax and accounting titles, check out a list of current book specials and save up to 40%. Use the link above and scroll down to Current Book Specials.

Save up to 16% off UPS Commercial Ground when you need to ship to IRS or anywhere

WSCPA members can save up to 16% off UPS Commercial Ground, 30% off UPS Express air and international shipments, and 30% off UPS Next Day Air.* For complete details or to sign up go to www.savewithups.com/wscpa. Members must enroll in the UPS Savings Program to take advantage of this exclusive offer. Discount rates: Total Weekly Gross Shipping Charges

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$500 to 999.99

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30%

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*See Rates and Services Chart for Savings and Discounts, which depend on total weekly gross shipping charges incurred.

Find New Clients Just in Time for Tax Season New! Enroll for a full year for just $175 Was the public able to easily find your firm last tax season? Are you looking for ways to attract new clients this tax season? Now is a great time to renew your current listing or enroll your firm in the WSCPA Find a CPA Referral Service and expand your client base. For just $175 your listing will be enrolled for a full year. This service does far more than any ordinary phone book listing. Not only does this service make it easy for new clients to find your firm, but it also highlights the services and areas of expertise offered by your firm. Take a look at the newly designed service and enroll at www.wspca.org > Find a CPA. If you have questions, call (425) 586-1142, (800) 272-8273, Ext. 1142 (toll-free in Washington), or e-mail memberservices@wscpa.org.

WashingtonCPA Winter 2015

www.wscpa.org

MEMBERSHIP

Do you know me? “… has been extremely active in Seattle community organizations. I have had the opportunity to see firsthand what an effective leader is, as he serves as Chair of the board of Seattle Children’s Hospital Foundation and I’m chair of the Hospital board. It’s clear that other business leaders share my opinion based on the many other community leadership positions he has held.” - from a nomination submitted in 2011 by Jim Ladd I am Pete Shimer, CPA, 2011 recipient of the Vincent A. Gervais Public Service Award. Whom will you nominate?

WSCPA AWARDS Submit your nomination by March 15 www.wscpa.org/community/awards/nomination-form John L. O’Brien Lifetime Achievement Award Recognizes a current or former member for a career of leadership and dedicated service to the accounting profession and as an exemplary role model for other CPAs. Vincent A. Gervais Public Service Award Recognizes a member whose respected leadership in community organizations has enhanced the image or public perception of CPAs. Company or Firm of the Year Award Recognizes a company or firm that provides noteworthy support to the WSCPA and its members.

Outstanding Volunteer Leader Award Recognizes an active member for outstanding service and dedication and/or innovative and inspirational WSCPA leadership. New Professional Award Recognizes an active member who has been a CPA for fewer than ten years for outstanding WSCPA leadership. Rising Star Award Recognizes a member who is in the process of obtaining a CPA License for active WSCPA leadership, dedication, and service.

Special Award Recognizes an individual who is not a CPA but has supported or promoted the activities of CPAs and the WSCPA.

www.wscpa.org

WashingtonCPA Winter 2015

ADVISORY SERVICES

Demand for Accounting Advisory Services on the Rise: Are You Ready?

t may not be surprising that the accounting services industry is projected to grow at 1.8% overall between 2012 and 2017. But it may come as a surprise that specialized advisory services are projected to grow the most aggressively — at a 5.7% clip during that same time period. There is also increasing international demand for expertise in emerging A & A areas. Accounting organizations around the globe are addressing this with specialized resources and advisory service credentials. Here are a few highlights for specific advisory service areas:

Forensic & Valuation Service Professionals – Trusted Experts Around The Globe

In response to increased market demand for specialized services and a recognition of the rapidly growing forensic accounting and business valuation disciplines, the Accredited in Business Valuation (ABV®) credential was created in 1997, and the Certified in Financial Forensics (CFF®) credential in 2008. The global demand for qualified forensic and valuation specialists continues to grow as courts and other triers of facts not only seek out, but recognize CFF and ABV credential holders as experts in their respective fields. In the 2013 “Top 100 Firms” issue of Accounting Today magazine, it was noted that more than 77% of firms offering business valuation services reported significant growth. In addition, 74% reported growth in Litigation Support (5th largest population), and 65% reported growth in forensic accounting (7th largest population).

Information Management and Technology Assurance in An Increasingly Complex World

Today, many corporate executives and operational managers expect immediate,

WashingtonCPA Winter 2015

on-demand financial information, advice and services from CPAs. As a result, accounting operations and information management systems are becoming increasingly interdependent. As technology evolves and advances, ensuring the integrity and transparency of financial data and business reporting information becomes a more complex process. And more critical than ever. CPAs who also hold the Certified Information Technology Professional (CITP®) credential are equipped to provide assurance for, or business insight into, financial-related data, processing or reporting in an ever-changing business environment.

The Aging Population & Personal Financial Planning

As baby boomers age and retire in record numbers, they are increasingly looking for objective financial guidance and advice to help prepare them for the next stage of their lives. This is triggering a great demand for personal financial planning services and resources.

Other factors driving this growth are tax law complexities and an uncertain regulatory, political and economic environment The Personal Financial Specialist (PFS™) credential was created in response to the increased market demand from this growing population segment and rapid growth in the number of CPAs providing personal financial planning.

It All Starts With The CPA

Building on your CPA with an AICPA advisory service credential makes a strong statement. It sets you apart and gets you noticed. Credentials boost your career potential and credibility. Most of all, an AICPA credential establishes you as an expert. And that can be an invaluable addition to your resume and practice. To get the facts about the value of AICPA credentials and find out if you qualify, go to aicpa.org/credentials.

www.wscpa.org

WASHINGTON CPA FOUNDATION

“You’re making a huge impact in students’ lives. Thank you!”

Meet Olivia Woodard:

2014 Foundation Scholarship Recipient Get to know the 2014 student scholarship winners with a series of videos. A new video will be released every two weeks, so stay tuned for some amazing testimonials from a standout group of aspiring CPAs! View Tina’s video at www.wscpa.org/foundation/videos

2015 Scholarship Applications Now Available

CONTRIBUTE NOW at www.wscpa.org/foundation

Deadline: February 1, 2015 www.wscpa.org/become-a-cpa/scholarships

www.wscpa.org

Your contribution to the Washington CPA Foundation, a 501(c)(3) organization, is tax deductible.

WashingtonCPA Winter 2015

LEADERSHIP

Leading Through Connection By Amy O’Donnell

he WSCPA recently hosted a Leadership Lens breakfast in Seattle. There were two speakers: Rachel Dexheimer, who spoke on identifying the type of corporate animal you are, and Tim Russell, who spoke on knowing yourself first to be a better leader. Although the two had different approaches, the overarching theme was about connection and the role it plays in leadership. If you are not connecting with the people you are trying to lead, then you may turn around and find you are just going down a path by yourself. 2014 is over, but every ending is a new beginning. The question is, what new skills will you begin trying out or how will you expand your leadership tool box? The idea of leadership is fluid in our culture; the definition is dependent on the circumstances and leadership styles vary for each person. Even with these variations, there are some common themes or steps we can take to get closer to where we want to be as a leader.The first step is starting with a strategy. Writing

If you are not connecting with the people you are trying to lead, then you may turn around and find you are just going down a path by yourself.

your plan down may not always keep you on task but it will keep you from getting too far off course. Start by asking: What am I doing well? What could I do more of? What do I want to learn? What resources do I need? I had the opportunity to hear Simon

Sinek talk at Town Hall in Seattle a while back. His message includes identifying the “why” of a business and for your own life, along with the idea that leaders eat last. The concept of putting people first isn’t new, but Sinek’s ideas serve as a reminder that we need to pause and see the people around us in the busy world of business. He spoke about the second person in the group as the key to being a leader. Without someone stepping up to follow you and getting the larger group to join in, you are just a person with an idea or a product. Someone needs to say yes to what you are offering for things to move forward. Once you have that yes, research has shown that engaged and supported employees can make great things happen. Getting to this point starts with developing an interpersonal relationship with employees. You don’t need to know everything about their private lives but learning some basic information about them, checking in with them and sharing things about you or your life will go a long way. If you aren’t doing this, what is that silence costing you? Loss

Leadership Lens Breakfast November 19 | Renaissance Seattle Hotel

WashingtonCPA Winter 2015

www.wscpa.org

LEADERSHIP

of good employees? A negative impression of your organization with potential employees and clients? Part of creating connection in the workplace is developing a “circle of safety” so employees are able to direct their energy toward seizing opportunities that move an organization forward rather than staying under the radar to keep their jobs. Ways to do that include examining when you are in a monologue versus a dialogue, listening and asking pointed questions to gather more information, understanding your staff and their unique needs, and looking for moments to channel frustration into an opportunity for teaching. Coaching employees through slumps doesn’t always work but it could make a transition for you and the employee smoother. One tech company, Next Jump, has a policy of lifetime employment. Although it’s unrealistic that people will stay for a lifetime, the philosophy has put a different spin on their hiring practices and given more weight to character. They’ve adjusted their training to

be more comprehensive and evaluations are more open and honest. The results have been a decrease from a 40% turnover rate (an industry average) to 1%. As a leader, are there concepts or philosophies you could integrate into your workplace to further expand the stability of employees and expand the growth potential for your business? As you work on ways to help others and grow your business, it’s helpful to have your own team for feedback. You may want to consider beginning an advisory board, composed of people with different skills and perspectives. Survey them at regular intervals on how you are doing on the goals or areas you are developing. They can help hold you accountable and give you candid feedback. It’s an opportunity to review your own narrative about your progress, uncover a blind spot and/or find a resource to help your progress. Be bold with this group by reporting when you were a rockstar, hit a milestone, had a less than great moment, or failed. At the end of the day, as a leader

you have a responsibility to your followers, who will watch how you handle your own growth. Do you have books, favorite speakers, TED talks, blogs or websites you follow for leadership ideas? We would love to hear about them on LinkedIn. Scan to join the conversation on LinkedIn

A my x O ’ D o n n e l l x i s WSCPAxDirectorxof MemberxServices. You canxcontactxherxat aodonnell@wscpa.org.

Events January 13 Happy Hour in Spokane April 22 Networking Event at R-Jay’s Scoreboard, Federal Way May 28 Spokane Area WSCPA/RMA Golf Outing,

www.wscpa.org

Circling Raven Golf Club June 4 WSCPA Golf Tournament, Redmond Ridge Learn more at www.wscpa.org/events

WashingtonCPA Winter 2015

Photo Album

ÂŠ Fire Eyes Photography

Fall 2014 Conferences

Visit the WSCPA on Facebook to view more event photos and learn about future events www.facebook.com/WashingtonCPAs

Golf Tournament Monday, June 4 THE GOLF CLUB AT

Redmond Ridge Only $135/person, includes golf, lunch, dinner, drinks, cart and prizes Sponsorships are available. Register now! www.wscpa.org/events | (800) 272-8273

Spokane Area WSCPA/RMA Golf Outing

is a GO in 2015!

Thursday, May 28 Circling Raven Golf Club Registration to open soon! More info to come via the Short Form in early February.

Worley, ID

WashingtonCPA Winter 2015

www.wscpa.org

CPE Digest There’s a better way to escape the office WSCPA Conferences Save these dates! April 20-21 Governmental Accounting & Auditing Conference May 11 International Tax Conference May 18 Healthcare Conference presented by KPMG May 21 Women’s Leadership Summit June 15 Washington State Tax Conference August 13 Farm Tax Conference September 2-3 Northwest Accounting Educators Conference www.wscpa.org/ conferences www.wscpa.org

WashingtonCPA Winter 2015

EDUCATION AND EVENTS

Fees

Date

CPE Credits

Course

Code

For more details, search by code at www.wscpa.org/cpe

NEW CPE events added throughout year to: www.wscpa.org/cpe/catalog

# EVENTS BY LOCATION WSCPA education and events scheduled for January - April 2015 are listed below, chronologically by location. Type

Facility

A&A CS EB

If you are looking for a program in another location, it may be scheduled for later in the year.

PFP

SUBJECTS The main subject area is listed for each program.

Using the online CPE & Event Catalog at www.wscpa.org/cpe/ catalog, you can search by location. LEARN MORE To view complete course details, please visit the CPE & Event Catalog at www.wscpa.org/cpe/catalog.

WSCPA NonAICPA Member Member Member Discount Fee Fee

Ethics GNP MG PD SK

NEED HELP finding a seminar or webcast? Call (800) 272-8273 or (425) 644-4800.

TAX TEC

Accounting and Auditing Consulting Services Employee Benefits Estate/Financial Planning Ethics Government / NFP Management Personal Development Specialized Knowledge Taxation Technology

Fees

Date

CPE Credits

Subject

Course

WSCPA NonAICPA Code Member Member Member For more details, Discount Fee Fee search by code at www.wscpa.org/cpe

The New Health Care Rules: Understanding, Preparing Tax Returns and Tax Planning Under the New Rules, 8AM-4PM

15NHCRJA

295

370

WSCPA

TAX

Webcast also available

15WWNHCR

265

340

Webcast

TAX

Cutting Edge Tax Strategies under the New Repairs, De Minimis and Partial Disposition Rules , 8AM-4PM

15CETSJA

295

370

WSCPA

TAX

Webcast also available

15WWCETS

265

340

Webcast

TAX

Type

Facility

Subject

Bellevue 01/12

01/13

1.5 l S

Federal Tax Update, 7:30AM-9AM

15CHBVJA13

McCormick & Schmick

TAX

01/26

2014 Tax Advisors Update, 8AM-4PM

15BTAUJA26

345

420

Meydenbauer Center

TAX

Webcast also available

15WBWBTAU

310

385

Webcast

TAX

01/27

The Business Financial Health Checkup: A Process to Identify Misstatements and Profitability Roadblocks Using Analytical Procedures by Walter Haig, 8AM-4PM

15BFHCJA

315

390

WSCPA

A&A

01/28

Preparing Financial Statements for Small & Med Sized Businesses: An Update & Review of GAAP & Tax, Cash and Special Purpose Frameworks by Walt Haig, 8AM-4PM

15ASURJA

315

390

WSCPA

A&A

Webcast also available

15WWASURJA

285

360

Webcast

A&A

Compilation and Review Standards: the Annual Update and Review by Walter Haig, 8AM-4PM

15CRURJA

315

390

WSCPA

A&A

Webcast also available

15WWCRURJA

285

360

Webcast

A&A

AICPA’s Annual Federal Tax Update, 8AM-4PM

15PTUJA

295

370

-30

WSCPA

TAX

Webcast also available

15WBWPTU

265

340

-30

Webcast

TAX

01/30

The Personal Financial Health Checkup: A Process on How to Become Financially Self-Sufficient by Walter Haig, 8AM-4PM

15PFHCJA

315

390

WSCPA

A&A

03/17

The New Controllership: Keys to Boosting Corporate Performance, 8AM-4PM

15CCOFMR

295

370

-30

WSCPA

03/18

Financial Forecasting: Planning for Success, 8AM-4PM

15FFMDMR

295

370

-30

WSCPA

03/19

Washington CPA Regulatory Ethics by James Rigos (A WA Requirement), 8AM - 11:30AM

15ETJRMR19

185

220

WSCPA

Ethics

03/20

CFO Series - Valuation, Acquisitions, Capital Projects and Leveraged Buyouts, 8AM-4PM

15CFOSVMR

295

370

WSCPA

Webcast also available

15WBWCFOSV

265

340

Webcast

WSCPA

TAX

01/29

01/30

03/20

Key Tax Issues Facing Members in Industry: Affordable Care Act and Other Updates, 8AM-4PM

15KEYIMR

300

375

03/23

Advanced Controller and CFO Skills, 8AM-4PM

15ACCSMR

295

370

-30

WSCPA

Webcast also available

15WBWACCS

265

340

-30

Webcast

ç New |  Non-tech credits |

WashingtonCPA Winter 2015

Networking event

www.wscpa.org

EDUCATION AND EVENTS Fees

Date

CPE Credits

# 03/24

03/24

Course

Code

For more details, search by code at www.wscpa.org/cpe

Type

WSCPA NonAICPA Member Member Member Discount Fee Fee

Facility

Subject

Creating Great Budgets: Maximizing Profits, People, and Power, 8AM-4PM

15CSCBMR

295

370

-30

WSCPA

Webcast also available

15WBWCSCB

265

340

-30

Webcast

Excel Financial Reporting and Analysis, 8AM-4PM

15EFRMR

295

370

WSCPA

TEC

03/25

PDF Documents - Beyond the Basics, 8AM-4PM

15PBBMR

295

370

WSCPA

TEC

03/30

Annual Accounting Update and Review for Accountants in Industry, 8AM-4PM

15AAUDIMR

295

370

WSCPA

A&A

03/31

Financial Statement Presentation and Disclosure - A Realistic Approach, 8AM-4PM

15FSPDMR

295

370

WSCPA

A&A

04/21

Excel-Based Dashboards, 8AM-4PM

15EBDAP

295

370

WSCPA

TEC

04/22

Cloud Computing, 8AM-4PM

15CLCAP

295

370

WSCPA

TEC

04/23

Annual Financial Management Spotlight: 4 Current Topics, 8AM-4PM

15AFMSAP

295

370

WSCPA

04/24

Chief Financial Officer - Executive Level Skills for Financial Managers, 8AM-4PM

15CFOAP

295

370

WSCPA

04/28

Key Ratio Analysis, 8AM-4PM

15KEYAP

295

370

WSCPA

Webcast also available

15WWKEY

265

340

Webcast

Cash and Credit Management, 8AM-4PM

15CCMAP

295

370

WSCPA

Webcast also available

15WBCCM

265

340

Webcast

CFO Series - Financing a Privately Owned Company, 8AM-4PM

15CFOSPMY

295

370

WSCPA

Webcast also available

15WBWCFOSP

295

370

Webcast

05/11

CPA Succession Planning, 8AM-4PM

15CSPMY11

300

375

WSCPA

05/12

Fringe Benefits 2015, 8AM-4PM

15FBMY

300

375

WSCPA

TAX

05/14

Real-World Fraud: War Stories from the Front Lines, 8AM-4PM

15RWFRAP

310

385

WSCPA

05/15

Current Developments and Best Practices for Today’s CFOs and Control- 15TCFOMY lers, 8AM-4PM

310

385

WSCPA

05/18

Auditing Employee Benefit Plans, 8AM-4PM

15EBPEMY18

295

370

WSCPA

A&A

05/18

Excel Boot Camp: Two Days of Intensive Excel Training, 8AM-4PM

15EBCAP

500

615

WSCPA

TEC

05/19

FASB Review: Common GAAP Issues Impacting All CPAs, 8AM-4PM

15FRUMY19

295

370

WSCPA

A&A

05/20

The Mobile Office, 8AM-4PM

15MOBAP

295

370

WSCPA

TEC

05/20

Toolkit of Best Practices for Today’s Controller and Financial Manager, 8AM-4PM

15TKBPMY20

295

370

-30

WSCPA

05/21

Revenue Recognition: Mastering the New FASB Requirements, 8AM-4PM

15INRRMY21

295

370

-30

WSCPA

A&A

05/26

Auditing Defined Contribution Plans, 8AM-4PM

15AEMPMY26

295

370

-30

WSCPA

A&A

05/27

The Business Financial Health Checkup: A Process to Identify Misstatements and Profitability Roadblocks Using Analytical Procedures by Walter Haig, 8AM - 4PM

15BFHCMY

315

390

WSCPA

A&A

05/28

Compilation and Review Standards: the Annual Update and Review by Walter Haig, 8AM-4PM

15CRURMY2

315

390

WSCPA

A&A

Webcast also available

15WWCRURMY

285

360

Webcast

A&A

04/29 05/08

-30 -30

05/28

Internal Controls and Risk Assessment: Key Factors in a Successful Audit, 8AM-4PM

15ICRAMY28

295

370

-30

WSCPA

A&A

05/29

Identifying Fraudulent Financial Transactions, 8AM-4PM

15FEFFTMY

295

370

-30

WSCPA

A&A

05/29

Preparing Financial Statements for Small & Med Sized Businesses: An Update & Review of GAAP & Tax, Cash and Special Purpose Frameworks by Walt Haig, 8AM-4PM

15ASURMY1

315

390

WSCPA

A&A

Webcast also available

15WWASURMY

285

360

Webcast

A&A

Governmental Accounting & Auditing Live Video Conference (Everett), 8AM-4PM

15GAACE

TBA

Everett Community College

GNP

Networking Event at R-Jay’s Scoreboard, 5PM-7PM

15CHSKAP22

R-Jays Scoreboard

Everett 04/20



Federal Way 04/22

0 l S

ç New |  Non-tech credits |

www.wscpa.org

Networking event

WashingtonCPA Winter 2015

EDUCATION AND EVENTS

Fees

Date

CPE Credits

Course

Code

For more details, search by code at www.wscpa.org/cpe

Type

WSCPA NonAICPA Member Member Member Discount Fee Fee

Facility

Subject

Fife 01/21

Federal Tax Update, 7:30AM-9:30AM

15CMSSIJA

Poodle Dog Restaurant

TAX

02/18

Eldercare, 7:30AM-9:30AM

15CMSSIFE

Poodle Dog Restaurant

PFP

03/18

Electronic Payment Systems, 7:30AM-9:30AM

15CMSSIMR

Poodle Dog Restaurant

04/22

Excel Tips and Tricks, 7:30AM-9:30AM

15CMSSIAP

Poodle Dog Restaurant

TEC

05/20

Washington State Tax Update, 7:30AM-9:30AM

15CMSSIMY

Poodle Dog Restaurant

TAX

Kent 01/15

l S

Federal Tax Update, 8AM-9AM

15CHSKJA15

Golden Steer Restaurant

TAX

02/19

l S

1041 Tax Update and Preparation Tips for Practitioners, 8AM-9AM

15CHSKFE19

Golden Steer Restaurant

TAX

05/21

l S

The Top Three Issues for S Corporations: Basis Compensation and Losses, 8AM-9AM

15CHSKMY21

250

Golden Steer Restaurant

TAX

l S

2014 Federal Tax Update, 7:30AM-9:30AM

15CHSNJA13

250

Embassy Suites Hotel

TAX

02/04

l S

Managing State and Local Tax Audits, 12PM-2PM

15CHOLFE04

Indian Summer Golf

TAX

03/04

l S

Economic Update, 12PM-2PM

15CHOLMR04

Indian Summer Golf

05/06

l S

Board of Accountancy & WSCPA Update, 12PM-2PM

15CHOLMY06

Indian Summer Golf

Accounting and Reporting Standards: An Update and Review of GAAP, Special Purpose Frameworks, Comp, Review, and Auditing Standards by Walter Haig, 8AM-4PM

15ARSURMY

570

685

Harborside Inn

A&A

Economic Update, 12:PM-2PM

15CHSPJA14

The Spokane Club

Lynnwood 01/13 Olympia

Port Townsend

05/30

Spokane 01/14

01/27

2014 Tax Advisors Update, 8AM-4PM

15BTAUJA27

345

420

Mirabeau Park Hotel

TAX

04/20



Governmental Accounting & Auditing Live Video Conference (Spokane), 8AM-4PM

15GAACS

TBA

NE WA Educ Svc Dist 101

GNP

05/13

x l S

Leadership, 12:PM-2PM

15CHSPMY13

The Spokane Club

05/30

Compilation and Review Standards: the Annual Update and Review by Walter Haig, 8AM-4PM

15CRURMY1

315

390

Hampton Inn Spokane

A&A

l S

Tacoma 04/20



Governmental Accounting & Auditing Conference (Tacoma), 8AM-4PM

15GAACT

TBA

Greater Tacoma Convention & Trade Center

GNP

l S

Brendan Monahan on Legal Issues,7:30AM-9:30AM

15CHYKFE10

Howard Johnson Plaza

Live Video Interview with ex-CPA Embezzler Chuck Gallagher WEBINAR, 8AM-10AM

15WNCJA12A

Webinar

A&A

Not-for-Profit Accounting and Auditing Update WEBCAST, 8:30AM - 4PM

15WBCJA12A

275

375

Webcast

GNP

Yakima 02/10

Your Desk - Webcasts and Webinars 01/12

01/12

01/14

Preparing Complex 1040s WEBCAST, 8:30AM-4:30PM

15WBCJA14A

275

375

Webcast

TAX

01/14

Transform Your Busy Season with Technology Tools You Already Use WEBCAST, 8:30AM-4PM

15WBCJA14B

275

375

Webcast

TEC

01/15

Form 1041: Down to the Basics WEBCAST, 8:30AM-4:30PM

15WBCJA15A

275

375

Webcast

TAX

01/16

Private Company Accounting: New Challenges, New Directions WEBCAST, 8:30AM-4PM

15WBCJA16A

275

375

Webcast

A&A

ç New |  Non-tech credits |

WashingtonCPA Winter 2015

Networking event

www.wscpa.org

Superhero Stan, CPA

I’ve just finished the WSCPA CFO Series. Executive suite, here I come.

CFO Series For CFOs and aspiring CFOs Calling all superhero CPAs: Get ready to take the leap to CFO by registering for the CFO Series, featuring Dan Spilman, one of the Society’s highest-rated instructors. Register now for the CFO Series and recharge your CPA superpowers!

March 20 CFO Series - Valuation, Acquisitions, Capital Projects and Leveraged Buyouts Locations: Bellevue 15CFOSVMR Webcast WBWCFOSP Time: 8 am - 4 pm CPE: 8 technical credits

May 8 CFO Series - Financing a Privately Owned Company Locations: Bellevue 15CFOSPMY Webcast WBWCFOSP Time: 8 am - 4 pm CPE: 8 technical credits

WashingtonCPA Winter 2015

EDUCATION AND EVENTS

Fees

Date

CPE Credits

Course

Code

For more details, search by code at www.wscpa.org/cpe

Type

WSCPA NonAICPA Member Member Member Discount Fee Fee

Facility

Subject

01/19

Everything You Need to Know About Trusts WEBCAST, 8:30AM - 4:30PM

15WBCJA19A

275

375

Webcast

PFP

01/19

The ZZZZ Best Story: Ex-Con, Z Best CFO, Shares Techniques On How To Detect And Prevent Fraud WEBINAR, 10AM-12PM

15WNCJA19A

Webinar

A&A

01/20

Advanced Tax Planning Techniques WEBCAST, 8:30AM-4:30PM

15WBCJA20A

275

375

Webcast

TAX

01/20

Effective Work Paper Techniques: Building a Better Work Paper WEBCAST, 8:30AM - 4:00PM

15WBCJA20B

275

375

Webcast

A&A

01/20

Live Video Interview with Elder Fraud Expert David Kessler WEBINAR, 7AM-9AM

15WNCJA20A

Webinar

A&A

01/21

Affordable Care Act - Key Issues for Employers WEBINAR, 12PM-2PM

15WNCJA21B

Webinar

TAX

01/21

Affordable Care Act - Key Issues for Individuals WEBINAR, 9AM-11AM

15WNCJA21A

Webinar

TAX

01/21

Audits of 401(k) Plans WEBCAST, 8:30AM - 4:00PM

15WBCJA21A

275

375

Webcast

A&A

01/21

Controls, Risks and Financial Reporting WEBCAST, 8:30AM - 4PM

15WBCJA21B

275

375

Webcast

A&A

01/21

Top 10 Things Financial Planners Need to Know About Estate Planning WEBCAST, 8:30AM - 4PM

15WBCJA21C

275

375

Webcast

PFP

01/22

Audit Standards Update: Clarity Standards Overview WEBCAST, 8:30AM - 4PM

15WBCJA22A

275

375

Webcast

A&A

01/22

CANCEL Audit Standards Update: Clarity Standards Overview WEBCAST, 8:30AM - 4:00PM

15WBCJA22B

275

375

Webcast

A&A

01/23

Audit Standards Update: Clarifying Risk Assessment WEBCAST, 8:30AM - 4:00PM

15WBCJA23A

275

375

Webcast

A&A

01/23

Benchmarking for Accountants WEBINAR, 9AM-11AM

15WNCJA23A

Webinar

01/23

Preparing Form 706: The Federal Estate Tax Return WEBCAST, 8:30AM - 4:30PM

15WBCJA23B

275

375

Webcast

TAX

01/26

Live Video Interview with Gov’t Fraud Expert Dennis Dycus WEBINAR, 7AM-9AM

15WNCJA26A

Webinar

GNP

01/26

Private Company Reporting Options: More Changes Ahead WEBCAST, 8:30AM - 4:30PM

15WBCJA26A

275

375

Webcast

A&A

01/27

Advanced Personal Financial Planning Update WEBCAST, 8:30AM - 4:00PM

15WBCJA27A

275

375

Webcast

PFP

01/27

Estate Planning Intro: Know Your Q-tip From a QTIP WEBCAST, 8:30AM - 4:30PM

15WBCJA27B

275

375

Webcast

PFP

01/27

Fraud: 10 Scary Cases in Compilations and Reviews WEBINAR, 10AM - 12PM

15WNCJA27A

Webinar

A&A

01/27

S Corporations: A Complete Guide to Planning and Compliance WEBCAST, 8:30AM - 4:30PM

15WBCJA27C

275

375

Webcast

TAX

01/28

Advanced Auditing of HUD-Assisted Projects WEBCAST, 8:30AM 4:00PM

15WBCJA28A

275

375

Webcast

GNP

01/28

Asset Protection Planning WEBCAST, 8:30AM - 4:00PM

15WBCJA28B

275

375

Webcast

PFP

01/28

Live Video Interview with Forgery Expert Cina Wong WEBINAR, 10AM-12PM

15WNCJA28A

Webinar

A&A

01/28

Partnership and LLC Taxation: Advanced Issues, Including Transfers of Interests and Liquidations WEBCAST, 8:30AM - 4:30PM

15WBCJA28C

275

375

Webcast

TAX

01/29

2014 Key Tax Issues for Corprations WEBINAR, 12PM-2PM

15WNCJA29B

Webinar

TAX

01/29

2014 Key Tax Issues for Individuals WEBINAR, 9AM-11AM

15WNCJA29A

Webinar

TAX

01/29

Introduction to International Taxation WEBCAST, 8:30AM - 4:30PM

15WBCJA29A

275

375

Webcast

TAX

01/30

Construction Contractors: Special Tax and Accounting Considerations WEBCAST, 8:30AM - 4:30PM

15WBCJA30A

275

375

Webcast

01/30

Globalization for Accountants WEBINAR, 9AM-11AM

15WNCJA30B

Webinar

01/30

Profit Improvement: Use Process Analysis to Identify Opportunities WEBINAR,9AM-11AM

15WNCJA30A

Webinar

02/02

Create Reports that Matter: Turn Information into Action WEBCAST, 8:30AM - 4:00PM

15WBCFE02A

275

375

Webcast

02/02

Dealing with Venture Capitalists WEBCAST, 8:30AM - 4:30PM

15WBCFE02B

275

375

Webcast

02/02

Live Video Interview with Pulitzer Winner Michael Sallah WEBINAR, 7AM-9AM

15WNCFE02A

Webinar

A&A

ç New |  Non-tech credits |

WashingtonCPA Winter 2015

Networking event

www.wscpa.org

36 Register at www.wscpa.org/cpe/catalog or page 44

EDUCATION AND EVENTS Fees

Date

CPE Credits

Course

Code

For more details, search by code at www.wscpa.org/cpe

Type

WSCPA NonAICPA Member Member Member Fee Discount Fee

Facility

Subject

02/03

Cloud Accounting 101 WEBINAR, 12PM-PM

15WNCFE03A

Webinar

TEC

02/05

Key Ratio Analysis WEBCAST, 8:30AM - 4:00PM

15WBCFE05A

275

375

Webcast

A&A

02/05

Tax Depreciation: Review & Update WEBINAR, 11AM - 1PM

15WNCFE05A

Webinar

TAX

02/06

Financial Statement Disclosures for the Tax Practitioner WEBCAST, 8:30AM - 4:00PM

15WBCFE06A

275

375

Webcast

A&A

02/09

Corporate Governance, Fraud and Control: Setting the Strategy and Executing it Efficiently WEBCAST, 8:30AM - 4:00PM

15WBCFE09A

275

375

Webcast

A&A

02/10

Documentation Requirements, Design and Reviewing Techniques of Workpapers WEBCAST, 8:30AM - 4:30PM

15WBCFE10B

275

375

Webcast

A&A

02/10

Governmental and Nonprofit Annual Update WEBCAST, 8:30AM 4:00PM

15WBCFE10A

275

375

Webcast

GNP

02/11

A-133 Audits: A Case Study Approach WEBCAST, 8:30AM - 4:00PM

15WBCFE11A

275

375

Webcast

GNP

02/11

What’s New in A & A? WEBINAR, 9AM-11AM

15WNCFE11A

Webinar

A&A

02/12

Compilations and Reviews: Risks, Procedures and Fraud WEBCAST, 8:30AM - 4:30PM

15WBCFE12A

275

375

Webcast

A&A

02/12

Guide to Email, Record Retention, Destruction WEBINAR, 9AM-11AM

15WNCFE12A

Webinar

02/13

Financial Statement Analysis for Managers WEBCAST, 8:30AM - 4:00PM

15WBCFE13B

275

375

Webcast

A&A

02/13

Fraud and the CPA Profession WEBCAST, 8:30AM - 4:30PM

15WBCFE13C

275

375

Webcast

A&A

02/13

Frequent Frauds Found in Governments and Not-for-Profits WEBCAST, 8:30AM - 4:30PM

15WBCFE13A

275

375

Webcast

GNP

02/17

Fraud: 10 BIGGEST Risks for Small and Mid-Sized Entities WEBINAR, 7AM-9AM

15WNCFE17A

Webinar

A&A

02/18

Interpreting The Yellow Book WEBCAST, 8:30AM - 4:00PM

15WBCFE18A

275

375

Webcast

GNP

02/19

Becoming the Hero - Capital Gain Tax Strategies WEBINAR, 9AM-11AM

15WNCFE19A

Webinar

TAX

02/19

Multi-Task Role of the CFO/Controller WEBCAST, 8:30AM - 4:00PM

15WBCFE19A

275

375

Webcast

02/20

Activity-Based Costing: A Resource Consumption Approach WEBCAST, 8:30AM - 4:00PM

15WBCFE20C

275

375

Webcast

A&A

02/20

Beyond Traditional Budgeting: Reduce Work and Improve Control WEBINAR, 9AM-11AM

15WNCFE20A

Webinar

02/20

Corporate Finance Checkup: Renovate Your Analytical Toolbox WEBCAST, 8:30AM - 4:00PM

15WBCFE20A

275

375

Webcast

02/20

Practical Guide to Accounting Fraud WEBCAST, 8:30AM - 12:00PM

15WBCFE20B

138

188

Webcast

A&A

02/23

Annual Financial Management Spotlight: 4 Current Topics WEBCAST, 8:30AM - 4:00PM

15WBCFE23A

275

375

Webcast

02/23

Leases: Past, Present and Future WEBCAST, 8:30AM - 4:30PM

15WBCFE23B

275

375

Webcast

A&A

02/24

2014 Key Tax Issues for Corprations WEBINAR, 11:00AM - 1:00pm

15WNCFE24B

Webinar

TAX

02/24

2014 Key Tax Issues for Individuals WEBINAR, 8:00AM - 10:00AM

15WNCFE24A

Webinar

TAX

02/24

Revenue: Past, Present and Future WEBCAST, 8:30AM - 4:30PM

15WBCFE24A

275

375

Webcast

A&A

02/25

Accounting and Auditing Update WEBCAST, 8:30AM - 4:30PM

15WBCFE25A

275

375

Webcast

A&A

02/26

Administrative Rules for Federal Grants WEBCAST, 8:30AM - 4:00PM

15WBCFE26A

275

375

Webcast

GNP

02/26

Internal Control:Your Number-One Defense Against Errors and Fraud WEBCAST, 8:30AM - 4:30PM

15WBCFE26B

275

375

Webcast

A&A

02/26

Key Tax Issues for Industry and the Affordable Care Act WEBINAR, 8AM-10AM

15WNCFE26A

Webinar

TAX

02/26

Live Video Interview with QC Partner Gaylen Hansen WEBINAR, 10AM - 12PM

15WNCFE26B

Webinar

A&A

02/27

Financial Statement Preparation for Your QuickBooks Clients WEBCAST, 8:30AM - 4:00PM

15WBCFE27B

275

375

Webcast

TEC

02/27

Top10 Tools for CFOs to be More Effective Business Partners WEBCAST, 8:30AM - 4:00PM

15WBCFE27A

275

375

Webcast

03/02

How Will You Handle the New Revenue Recognition Standard? WEBINAR, 11AM - 1PM

15WNCMR02A

Webinar

A&A

03/03

Everything CPAs Need to Know About Detecting Ponzi Schemes WEBINAR, 9AM-11AM

15WNCMR03A

Webinar

A&A

ç New |  Non-tech credits |

www.wscpa.org

Networking event

WashingtonCPA Winter 2015

EDUCATION AND EVENTS

Fees

Date

CPE Credits

Course

Code

For more details, search by code at www.wscpa.org/cpe

Type

WSCPA NonAICPA Member Member Member Discount Fee Fee

Facility

Subject

03/04

The New Compilation and Review Standards WEBCAST, 8:30AM 4:30PM

15WBCMR04A

275

375

Webcast

A&A

03/06

Detecting Fraudulent Financial Reporting WEBCAST, 8:30AM - 4:00PM

15WBCMR06A

275

375

Webcast

A&A

03/09

Fraud: 10 Scary Cases in Compilations and Reviews WEBINAR, 7AM9AM

15WNCMR09A

Webinar

A&A

03/10

Tax Depreciation: Review & Update WEBINAR, 8AM-10AM

15WNCMR10A

Webinar

TAX

03/11

Why Do We Need Another Basis of Accounting - FRF for SMEs? WEBINAR, 11:00AM - 1:00PM

15WNCMR11A

Webinar

A&A

03/13

Cost Principles for State and Local Governments and Nonprofit Organizations WEBCAST, 8:30AM - 4:00PM

15WBCMR13A

275

375

Webcast

GNP

03/13

Live Video Interview with Forgery Expert Cina Wong WEBINAR, 10AM-12PM

15WNCMR13A

Webinar

A&A

03/16

GAAP Update WEBCAST, 8:30AM - 4:30PM

15WBCMR16A

275

375

Webcast

A&A

03/16

Live Video Interview with ex-CPA Embezzler Chuck Gallagher WEBINAR, 10AM-12PM

15WNCMR16A

Webinar

A&A

03/18

Live Video Interview with QC Partner Gaylen Hansen WEBINAR, 10AM-12PM

15WNCMR18A

Webinar

A&A

03/20

Cost Reduction Strategies: Best Practices WEBCAST, 8:30AM - 4:00PM

15WBCMR20A

275

375

Webcast

03/20

Fraud and the CPA Profession WEBCAST, 8:30AM - 4:30PM

15WBCMR20B

275

375

Webcast

A&A

03/24

Key Tax Issues for Industry and the Affordable Care Act WEBINAR, 8AM-10AM

15WNCMR24A

Webinar

TAX

03/24

Other Comprehensive Basis of Accounting Fundamentals WEBCAST, 8:30AM - 4:30PM

15WBCMR24A

275

375

Webcast

A&A

03/27

Corporate Governance, Fraud and Control: Setting the Strategy and Executing it Efficiently WEBCAST, 8:30AM - 4:00PM

15WBCMR27A

275

375

Webcast

03/27

Interpreting The Yellow Book WEBCAST, 8:30AM - 4:00PM

15WBCMR18A

275

375

Webcast

GNP

03/30

How Technology is Impacting the Accounting Profession WEBINAR, 7AM-9AM

15WNCMR30A

Webinar

TEC

04/01

The CFO: 5 Critical Skills to Maximize Profits WEBINAR, 7AM-9AM

15WNCAP01A

Webinar

04/07

Everything CPAs Need to Know About Detecting Ponzi Schemes WEBINAR, 10AM-12PM

15WNCAP07A

Webinar

A&A

04/10

Strategic Skills for CFOs WEBINAR, 7AM-9AM

15WNCAP10A

Webinar

04/13

Frequent Frauds Found in Governments and Not-for-Profits WEBCAST, 8:30AM - 4:30PM

15WBCAP13A

275

375

Webcast

GNP

04/14

Internal Control’s New Muscles WEBINAR, 10AM-12PM

15WNCAP14A

Webinar

A&A

04/17

Accounting Fraud WEBCAST, 8:30AM - 4:00PM

15WBCAP17B

275

375

Webcast

A&A

04/17

Fraud: 10 BIGGEST Risks for Small and Mid-Sized Entities WEBINAR, 10AM-12PM

15WNCAP17A

Webinar

A&A

04/17

Top10 Tools for CFOs to be More Effective Business Partners WEBCAST, 8:30AM - 4:00PM

15WBCAP17A

275

375

Webcast

04/20



Governmental Accounting & Auditing Conference WEBCAST, 8AM-4PM

15WBWGAAC

TBA

Webcast

GNP

04/21

Interpreting The Yellow Book WEBCAST, 8:30AM - 4:00PM

15WBCAP21A

275

375

Webcast

GNP

04/21

Key Tax Issues for Industry and the Affordable Care Act WEBINAR, 9AM-11AM

15WNCAP21A

Webinar

TAX

04/22

The ZZZZ Best Story: Ex-Con, Z Best CFO, Shares Techniques On How To Detect And Prevent Fraud WEBINAR, 8AM-10AM

15WNCAP22A

Webinar

A&A

04/22

Washington CPA Ethics and New Developments by Mark Hugh (A WA Requirement) WEBCAST, 8AM-12PM

15WBAAP22A

164

194

Webcast

Ethics

04/22

Washington Sales Tax and New Developments by Mark Hugh WEBCAST, 12PM-4PM

15WBAAP22B

129

159

Webcast

TAX

04/23

Practical Guide to Accounting Fraud WEBCAST, 8:30AM - 12PM

15WBCAP23A

138

188

Webcast

A&A

04/24

Create Reports that Matter: Turn Information into Action WEBCAST, 8:30AM - 4:00PM

15WBCAP24A

275

375

Webcast

04/24

Financial Reporting Framework for SMEs WEBCAST, 8:30AM-12PM

15WBCAP24B

138

188

Webcast

A&A

04/24

Open Innovation for Accountants WEBINAR, 9AM-11AM

15WNCAP24A

Webinar

TEC

ç New |  Non-tech credits |

WashingtonCPA Winter 2015

Networking event

www.wscpa.org

EDUCATION AND EVENTS Fees

Date

CPE Credits

Course

Code

For more details, search by code at www.wscpa.org/cpe

Type

WSCPA NonAICPA Member Member Member Discount Fee Fee

Facility

Subject

04/27

Cost Principles for State and Local Governments and Nonprofit Organizations WEBCAST, 8:30AM - 4:00PM

15WBCAP27A

275

375

Webcast

GNP

04/27

GAAP Update WEBCAST, 8:30AM - 4:30PM

15WBCAP27B

275

375

Webcast

A&A

04/28

Mobile Financial Apps for Accountants WEBINAR, 9AM-11AM

15WNCAP28A

Webinar

TEC

04/29

Compilations and Reviews: Risks, Procedures and Fraud WEBCAST, 8:30AM - 4:30PM

15WBCAP29A

275

375

Webcast

A&A

04/30

AICPA Private Company Financial Reporting Standards WEBINAR, 8AM-10AM

15WNCAP30A

Webinar

A&A

04/30

Marketing the CPA in Public Practice WEBCAST, 8:30AM - 4:00PM

15WBCAP30A

275

375

Webcast

New CPE programs are added regularly to the online catalog: www.wscpa.org/CPE/catalog

Questions? Need assistance finding a CPE program? Call (800) 272-8273 (Toll-free in WA) or (425) 644-4800.

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WashingtonCPA Winter 2015

REGISTRATION

Register online with credit card at www.wscpa.org/cpe/catalog or: • Mail form with check to WSCPA, 902 140th Ave NE, Bellevue, WA 98005-3480 • Call (425) 644-4800 or (800) 272-8273 (toll-free in Washington) Questions? E-mail cpe@wscpa.org or call the WSCPA.

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WSCPA CPE policies apply to all programs in the CPE Digest. Review the CPE policies at www.wscpa.org.

WashingtonCPA Winter 2015

www.wscpa.org

CLASSIFIED ADS

Detailed advertising information is available online at www.wscpa.org. Ads are $1 per word with a minimum fee of $50. Active e-mail and web site addresses are included. Classified ads are placed on the website for 60 days when received and in the next magazine when received by the deadline, March 1 for the spring 2015 issue. Positions available ads are no longer available in the magazine.To post a job listing, www.wscpa.org (click Job Board.) Want to list a rental or vacation property? Use the Miscellaneous category. Contact Janet White at (425) 586-1126, (800) 272-8273, Ext. 1126, or memberservices@wscpa.org for more information. All ads must be pre-paid. Find classified ads at www.wscpa. org under More.

OFFICE SPACE The WaterWorks Building: Your life is location dependent, your work is not. Spend less time commuting.Work in a serene environment with Puget Sound views, and amenities a step away. Offer your employees less stress and enjoy increased production and decreased turnover. Great location, 20 minutes north of Seattle, with ample parking and local charm. Digital tour of this stunning space: https://vimeo.com/102037063. Blake Taylor (206) 931-0525. CBA Listing# 543222 & 543221 SITUATIONS WANTED Looking for SeniorAccountant desiring purchase opportunity. CPA practice in Everett, WA desires Senior accountant for tax preparation and write up duties. Owner wishes to sell practice in a phase out mode.Someone with a small practice that desires merger would work well.Contact Don Lamb,don@donlambcpa. com, (425)353-6525 MERGERS & SALES Transition by the end of the year. Seeking merger/ acquisition from transitioning seller. Small practice preferred - $100,000 - 300,000. Many excellent options: private office, experienced owner and staff, computer savvy,lower QueenAnne location.A&A and tax preferred. Experienced in smooth transitions. Contact Martha Lindley,martha@lindleyandco.com,(206)332-0386,http:// www.lindleyandco.com Ready to retire or transition out? Let’s Talk. Looking to purchase a small accounting/tax practice in S. Snohomish / N. King County area. $75,000 - $175,000. Willing to work with seller on a desired transition plan. Please respond by e-mail to larry@staveassociates.com Considering SellingYour Practice? Consider all your options.We do the work. Confidential.We have buyers actively seeking practices. Call Mark Hause at (877) 3457722 or visit our website at www.accountingpracticesales. comAccounting Practice Sales.We make dreams happen! IBA Sells Privately Held Companies. Do you represent a client who is ready to retire or has taken a company as far as they want to or can? IBA is the Pacific Northwest’s oldest business brokerage (M&A) firm.We are professional negotiators with over 4000 completed transactions. Please contact us if we can be of assistance at (800) 218-4422 or www.ibainc.com

Classified Ads www.wscpa.org/more

PRACTICES FOR SALE Contact Mark Hause at Accounting Practice Sales by e-mail at MARKHAUSE@CONTACTAPS.COM or call (877) 345-7722 for more information on the following practices: (WA 1085) San Juan Islands CPATax Practice For Sale: This practice with long term roots in the community and an eye popping net cash flow is for sale.The firm is a tax practice that renders only minimal write-up services required by its clients. The practice has a good balance with a busy season that is not overwhelming and allows for recreation and ample time off outside of tax season. The practice is advanced in the use of technology that allows for a work smarter not harder approach with a cloud based paperless office environment.The ideal buyer will be one who enjoys the island life and establishes a significant presence in the community. To assist in the acquisition of the practice, the Seller is willing to provide financing to qualified buyers. (WA 1086) University Place EATax Practice: This practice is for sale due to health reasons. The Seller will be leaving behind approx. 173 loyal clients. The practice is mostly individual tax clients with approx. 90% of the returns being 1040’s. These clients produce an excellent annual cash flow that approximates 73% of gross revenues. With good average fees, the practice is a great addition for a firm looking for that extra utilization of their staff or for a practitioner looking to make a quick profitable addition to their practice. With a motivated Seller, the timing could not be better. (WA 1062) Grays Harbor County Area Enrolled Agent Practice For Sale: This enrolled agent practice is primed for growth with a good mix of income tax and write-up professional services. The firm has excellent visibility due to being located on a high traffic count street and has been in the area for a number of years. In addition, the Seller offers the ability to retain the existing location which will make the transition of clients easy. This firm is a great opportunity for any number of buyers from a business minded accountant, to a firm looking to grow a book of business or offer an up an coming young associate ownership. (WA 1081) Snohomish County CPA Practice For Sale: This CPA practice has all kinds of clients and services except attestation services. The majority of the firm’s revenue dollars come from income tax (60%) with the balance coming from write-up and consulting split almost evenly. Unlike many practices, this firm has a significant amount of business returns with excellent per return averages with no real concentration in any industry. The firm’s write-up work adds balance to the revenue stream and provides out of season work for the staff. This practice is a really solid opportunity for any professional to take over on a turnkey basis and experience the challenge and reward of ownership with a loyal base of clients.

SOLD

(WA 1083) Olympia/LaceyArea CPA Practice For Sale: This CPA practice is a tax and financial planning practice.The Seller is selling the tax practice and retaining the financial planning practice. The revenue dollars are provided principally by a good tax practice that is approx. 80% of total revenue. The tax practice has both individual and business returns with individual returns being approx. 60% of the tax work. The hidden part of this practice is an excellent staff that could accommodate a buyer looking to beef up their staff. The Buyer will need to be interested only in the tax and accounting and available for referrals from the financial planning side of the business.

(WA1084) Bothell, Mill Creek, Lynnwood Area CPA Practice For Sale: This quality CPA practice that has great balance is for sale. The firm is a long established practice that caters to a client base of individual and business returns. The firm also provides some compilations and payroll services for a well-balanced annual revenue mix.With a tenured staff in place to assist in transition and provide capacity for growth, this practice would be ideal for any number of CPA’s looking for practice ownership or existing firms looking to expand their client base with year round client service offerings.

SOLD

(WA1080) Spokane CPA Practice For Sale: This excellent CPA practice in a prime location is priced for immediate sale. The firm’s revenue dollars are varied but with an emphasis on income tax. The revenue mix is 76% income tax, 13% write-up, 10% consulting and the balance a compilation engagement. What sets this practice apart from many are the fees per return which are well above average. The ideal buyer for this practice will be an experienced professional(s) who enjoy helping clients with their annual tax and accounting, who seek realization rates well above the norm and who want immediate possession of a unique opportunity.

SOLD

(WA1082) Whitman County/Pullman Area (SE WA) Tax Practice: This firm with a nice balance of write-up and tax work is for sale. The revenue mix of the practice breaks out 88% income tax and 12% write-up. The office facility has some options for the buyer by being leased on a month to month basis along with being located on a high traffic count street. These factors create a great deal of flexibility on the location for the practice. This firm is the perfect opportunity for any accountant looking for a nice starter practice or a great add on to an established firm with the capacity to absorb additional work.

SOLD

(WA1075)Vancouver CPA Practice for Sale: This CPA practice is seeking a merger and/or sale.The practice is very typical in that the majority of revenues are from income tax with the balance in write-up and consulting services. Without question, the owner is the rainmaker and driving force behind this practice. Given the need for an exit strategy, the owner wants to begin the process of transitioning the practice via merger or sale. The buyer would acquire a substantial practice with a sizable client base,an owner who wants to effectively transition toward his/her successor, and a commitment to continue in the rainmaking role while rendering professional services at a lesser pace than the past.

SOLD

(WA1078) Port Orchard EA &Write-Up Practice for Sale: This EA practice is for sale. The practice is a tax and write-up practice with equal amounts of both professional services and a small amount of consulting. The firm has grown significantly in the recent year with a 35% increase in fees. The billing philosophy of the owner is a fee structure based on a by-the-job basis and not hourly. The result is an excellent realization rate on services performed that makes for a well above average profit percentage. This practice is a perfect opportunity for any accountant starting out on their own or a firm looking to add a solid base of clients. (WA1079) Auburn, Sumner, Puyallup Area EA Tax Practice for Sale: This EA firm has owner(s) that want to sell and retire. The firm has a good mix of professional services that provides good year round income and not just tax season. The firm’s revenue mix is 63% income tax,25% write-up,7% payroll services with the balance being consulting. The office lease offers a

SOLD

continued on page 38

www.wscpa.org

WashingtonCPA Winter 2015

CLASSIFIED ADS

PRACTICES FOR SALE

continued from page 37

great deal of flexibility for a new owner with the current agreement being on a month-to-month basis. The buyer of this practice will acquire a business well known in the community, with an excellent reputation for personal service, very good realization rates, and a year round income stream. (WA1073) Island County EATax Practice for Sale: This well-established Enrolled Agent practice is for sale. The firm is well balanced with a tax practice that produces 71% of the firm’s revenue with write-up generating the remainder of the income. The practice is well positioned for future growth due to having a solid staff serving long term clients. The seller is retiring but will be available to assist in transition. For any firm looking for a satellite office, an existing practice wishing to branch out, or an individual who has aspirations of getting out on their own, this practice is an excellent choice. (WA1070) Island County Area Tax Practice for Sale: This practice is a straight up tax practice with a broad spectrum of clients. The firm is full of long time clients who are serviced by the owner and a staff of over 100 years of experience. The revenues come from income tax 82%, write-up 16%, and misc. services of 2%. The fee averages are good with the individual returns averaging $350 and business returns $824.The practice is primed for a new owner that wants to start a practice or an expansion focused buyer. The timing could not be better for this opportunity.

SOLD

(WA1069) Poulsbo CPA Tax Practice for Sale: This solid CPA practice with an excellent client base is for sale. The firm is full of satisfied clients who refer approx. 95% of all new clients. The firm with this kind of reputation works extremely hard at providing excellent service to a client base with a health mix of all types of clients. As with most firms, the practice mix consists of mostly individual returns but does have business returns as well. For buyers looking for an established practice or firms seeking markets for new growth this firm in one you should inquire about. (WA1068) Seattle Tax Practice For Sale: This accounting firm is a tax and write-up practice that was formed 38 years ago. The mix of professional services is approx. 65% income tax, 32% write-up, and 3% consulting with excellent per return fees. The firm has always stressed excellent service to its clients. The result is a practice filled with long-term clients who refer excellent new clients. The firm’s clients interact with the practice generally by phone, mail, and electronic media making this practice one with very little walk in business. Most clients are located or work in the Seattle Central Metropolitan area and appreciate easy driving access of a neighborhood office location for those times when in person meetings are desired or necessary. In recent years, the practice has been pruned to allow the owner to transition to retirement, yet total fees have continued to increase. What remains are clients who are the envy of many firms. This practice is an ideal purchase oppor-

tunity for any professional looking for financial reward and professional challenge. (WA1063) North Olympic Peninsula-Clallam County CPA Practice for Sale: This firm is a tax practice that many seek but few find with a significant amount of business returns coupled with the personal income tax returns that follow. The firm has an excellent location with a high traffic count which fosters walk-in business.The perfect buyer for this practice is a financially successful CPA looking for a practice that has a solid year round income from a variety of fiscal year ends that provides a relaxed pace and good work life balance.

SOLD

(WA1065) South Puget Sound Area-CPA Practice for Sale: This CPA practice has a broad range of clients with no concentration in one area and a broad range of services that are rendered in the areas of income tax,auditing,and financial services.The firm has a history of stability that has fostered excellent client relationships that provide consistent referrals.This firm is further enhanced by an outstanding staff that has outstanding credentials making this firm unique in its ability to provide quality professional services at all service levels to all clients. The financial advisory segment of this practice makes it an obvious advantage for any firm looking to add to their suite of professional services. Any firm with designs on expanding services, looking for expertise, along with an outstanding client list has found an opportunity that is hard to beat with this firm.

VOLUNTEER POSITIONS The following organizations need a CPA to serve on the board of directors and/or provide other guidance on financial matters. Learn more at www.wscpa.org (click on the Volunteer Opportunities link at the bottom of the homepage).

WashingtonCPA Winter 2015

First Place – new

Municipal League of King County

Girls on the Run Snohomish County - new

NAMI Spokane - new

Helping link/Mot Dau Noi

Northwest Spay & Neuter Center

Legal Counsel for Youth and Children - new

United Way of King County - new

www.wscpa.org

MEMBER PROFILE

Caroline Koplowitz, CPA

Employer: Amazon

Current position:

Financial Reporting

Born and raised in: Seattle

Graduated from:

Emory University with a BBA and minor in Sociology

What I like most about my job:

Having the opportunity to be challenged and see many aspects of the business and work with so many intelligent and motivated people

If I weren’t an accountant, I would:

Own a coffeeshop

Recently read:

Favorite television show:

Best place I’ve ever lived: Seattle

Favorite food:

The Lowland by Jhumpa Lahiri Top Chef

During the winter – Cassoulet

Hobbies:

Running, swimming, writing cards

Volunteer service:

Seattle Art Museum Information Desk, Treasurer for the SAMVA Executive Committee, Finance Committee for Girls on the Run – Puget Sound

If I could have dinner with anyone, I would choose:

My great-grandparents – I would love to know more of my family history

My idea of a great weekend:

Long run, followed by coffee, exploring a local “micro-hood” and dinner out with my husband

CPA since:

2009

WSCPA Member since:

2008

www.wscpa.org

WashingtonCPA Winter 2015

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