Alerts & Bulletins
Benefits of Appointing a Receiver in Disputes Over Closely-Held Assets
By: Harry Shechter , CFE & Matthew Druckman , CPA, CFF, CIRA Receiverships are generally thought of as a creditor’s remedy for protecting a creditor’s rights and its ability to collect obligations from a party. Other circumstances that facilitate the use of a receiver include divorce matters and shareholder disputes in the case of closely-held assets. A receiver can assist parties in finding solutions to their disagreements or facilitate a transfer of the assets from one party to the other. When there is an asset to protect or manage on an interim basis, bringing in a receiver may result in both parties obtaining better,. Read More.
By: Bruce Yasukochi , CPA, PI, CFE, CFF, CITP; Director, Fraud & Forensic Services “Habitual criminal” and “Certified Public Accountant” (CPA) are (thankfully) not phrases that one hears used in concert with one another very often. However, the enactment of private investigations laws by most states (at last count, more than 40) has given CPAs – and in particular, forensic accountants – pause to consider whether the pursuit of our trade has possibly taken us beyond the legal boundaries. At issue is whether accountants engage in activities which are governed by the states’ private investigation statutes, and as a consequence require the accountant. Read More.
Benefits of a Neutral CPA in a Divorce
By: Philip J. Shechter , CPA*/ABV, CVA Traditionally in a divorce, each side hires a CPA to determine the separation of finances. As a result, dueling accountants are likely to disagree and present differing sets of facts, numbers and assumptions, increasing the likelihood of a trial. To combat the issue, more family law attorneys, as well as judges, recommend hiring a single, neutral CPA. Many CPAs believe offering neutral CPA services to existing clients who decide to divorce poses a conflict of interest. It may be the case that the parties are far better served by hiring a practitioner who has worked with. Read More.
Treasury Regulations Permit Lower Required Minimum Distribution
Announced by the U.S. Treasury Department, the final regulations for Qualifying Longevity Annuity Contracts (QLACs) have been released. To be issued by insurance companies, QLACs lower required minimum distributions (RMDs) after age 70 ½ and provide guaranteed income for life. Cherry Bekaert Benefits Consulting’s alert on these regulations can be read on the Cherry Bekaert Benefits Consulting site.
Highway & Transportation Funding Act of 2014: Extending Pension Funding Relief
Expected to be signed by President Obama, the Highway and Transportation Funding Act of 2014 (HTFA) will help allot funds for the highway budget through 2015 and provide additional pension funding flexibility for all plan sponsors. The bill will continue to track a 25-year interest rate average, but will succeed the Moving Ahead for Progress in the 21st Century Act (MAP-21), which will phase out of offering relief to pension plans. This also delays the expansion of interest rate corridors and will leave PBGC premium increases unaffected. If you are a plan sponsor seeking lowered minimum required pension contributions and. Read More.
IRS Releases Draft ACA Reporting Forms
On July 24th, the Internal Revenue Service (“IRS”) issued DRAFT Affordable Care Act (ACA) reporting forms to advise Applicable Large Employers and employers who sponsor self-funded health plans on which required information must be sent to the IRS and communicated to plan participants. All Applicable Large Employers with at least 50 full-time equivalent employees in the 2014 calendar year will be required to prepare these reports. Additionally, any Applicable Large Employers that sponsor fully insured arrangements must complete Parts I and II of Form 1095-C, while employers with self-funded plans will be required to complete Part III of Form 1095-C.. Read More.
Prevailing Practices in Risk Reporting
By Derrick Sturisky Background Accurate, valid, and timely performance data is critical to well-informed decision making. It is also fundamental in supporting: Boards in executing effective strategic oversight and direction. Stakeholders in reviewing financial, operational, and compliance performance. Management in successfully executing the business strategy and running the operations effectively and efficiently. Due to increased convergence between strategy, operations, risk, and compliance, there is also emerging demand for accurate risk data – and for integrating this risk data with traditional performance data. Prevailing risk reporting practices include: Addressing the entire portfolio of strategic, financial, compliance, and operations risks. Providing risk information within. Read More.