On April 3, 2020, the Financial Crimes Enforcement Network (FinCEN) issued an update notice to financial institutions related to the COVID-19 Pandemic, covering five primary topics: Compliance with BSA Obligations FinCEN emphasized the continued importance of BSA compliance in protecting national security by combating money laundering and related crimes, including terrorist financing. It is expected [...]
In December of 2019, one might have said it would take a natural disaster for CECL to be delayed for those required to comply in the first quarter of 2020. Fast forward to March 13, and we have the equivalent as the President declared a national emergency related to the coronavirus/COVID-19 outbreak. In response, the [...]
Updated April 3, 2020 On Friday, March 27, in response to the devastating impact of the COVID-19 pandemic on the U.S. economy, Congress passed, and President Trump signed the Coronavirus Aid, Relief, and Economic Security (CARES) Act (“Act”). Included in the Act was an appropriation of $349 billion for the Paycheck Protection Program (“PPP”). The [...]
Our country is experiencing extraordinary times, and we are far from routine expectations. Local governments may soon find themselves in a cash crunch because local businesses that generate consumption taxes (sales, use, lodging, and fuel taxes), fees, and permits are going through excruciating financial pain. As the title suggests, managing cash is a necessity – [...]
On Friday, March 27, in response to the devastating impact of the COVID-19 pandemic on the U.S. economy, Congress passed, and President Trump signed the Coronavirus Aid, Relief, and Economic Security (CARES) Act (“Act”). Included in the Act was an appropriation of $350 billion for the Paycheck Protection Program (“PPP”). The PPP component of the [...]
The Coronavirus Aid, Relief, and Economic Security (CARES) Act has expanded the Small Business Act’s (SBA) Emergency Economic Injury Disaster Loan (EIDL) grant program to allow small businesses, who are suffering economic harm due to COVID-19, access to loans and provided them with $10 billion in funding to support this program. EIDL loans are made [...]
Small business employers have been impacted especially hard by the unprecedented fallout of the COVID-19 pandemic as many businesses have been forced to temporarily close, change their service delivery methods, and incur additional expenses or reduced revenues. As these entities now grapple with the reality of dealing with these new economic conditions, congress provided relief [...]
As organizations monitor the current and potential effects of COVID-19 on their activities, they should also consider the implications on their year-end financial reporting processes. Specifically, organizations should consider the following areas of concern in preparing financial statements. Risk Assessments: Organizations should evaluate the impact of changing circumstances on their assessments of risks inherent in [...]
The U.S. Small Business Administration (SBA) is offering all U.S. states and territories low-interest federal disaster relief loans for working capital to small businesses that are suffering substantial economic injury as a result of the Coronavirus (COVID-19). Upon request from the governor of a state or territory, the SBA will issue an Economic Injury Disaster [...]
The Federal Reserve has announced its most aggressive intervention to date, which includes an unlimited commitment to buy Treasury bonds, purchase corporate and municipal debt, and the establishment of a new loan program for small and medium-sized businesses. This is a historic effort to defend the U.S. economy from disruptions related to the coronavirus. The [...]
Your profit and loss (P&L) statement — also known as an income statement — is a much more powerful tool than you may realize. It is one of those statements that your auditors and investors will request every year, but it can be so much more than a simple reporting tool if you know how [...]
When the first flowers poke out their heads, small business owners begin the entrepreneur’s version of a spring-cleaning ritual in preparation for filing tax returns. But a springtime cleanup of bookkeeping and accounting is also a great reminder of what you can do to be more proactive year-round, allowing you to achieve better results as [...]
The Tax Cuts and Jobs Act (TCJA) made some changes to U.S. taxes that meant significant modifications to the systems the IRS uses to administer the law. Perhaps the most notable of these changes was the elimination of the personal exemption, as this concept was the basis on which employee withholding had been calculated for [...]
Forensic audit seems to be a buzzword that is circling in today’s business environment. “We need a forensic audit!” or, “Why didn’t our annual audit catch this?” are some common phrases that forensic and fraud audit professionals hear quite often. There are also many misconceptions surrounding forensic audits and how they differ from an organization’s [...]
How healthy is your business? It is important to perform timely measurements of cash flows to assess the health of your business. The appropriate use of current technology allows automation of the bank reconciliation process, which gives real-time read-outs of fiscal status. Cash flows are the core of a business; therefore, a clear view of [...]
If you’re curious about captives, it may be beneficial to consider a Risk Retention Group (RRG). RRGs are member-owned liability insurance companies and are an alternative to risk transfer entities formed under the federal Liability Risk Retention Act (LRRA) of 1986. While RRGs are regulated either under captive insurance statutes or traditional insurance laws, they [...]
“If you want something done right, do it yourself.” That old adage may still hold in certain situations, but it’s probably not a wise policy when you’re running a growing business. In fact, one of the most effective ways to help your small to mid-sized business (SMB) is to recognize when not to do everything [...]
CRI Partner Brian Barksdale spoke recently to the audience of Talk of Alabama on a cause that hits very close to home for him. The non-profit organization United Ability helps connect people with disabilities to their communities.
CRI Partner David Habib was part of a discussion at the Ortiz Center in Corpus Christi, Texas on January 2nd, 2020. He revisited, through detailed discussion, the key changes made to the Tax Cuts and Jobs Act to members of the Kiwanis Club and their guests.
The IRS has announced acceptance rates for a time-limited settlement offer made to certain taxpayers under audit who participated in abusive micro-captive insurance transactions. Nearly 80% of taxpayers who received offer letters elected to accept the settlement terms. The settlement offer followed three U.S. Tax Court decisions confirming that certain micro-captive arrangements are not eligible [...]
