Category: ANR

Deutsche Punished On Bogus Shelters [WSJ]
Deutsche Bank AG agreed Tuesday to pay $553.6 million and admitted criminal wrongdoing to settle a long-running probe over fraudulent tax shelters that allowed clients to avoid paying billions of dollars in U.S. taxes.

Under a nonprosecution agreement with the U.S. Attorney’s office in Manhattan and the Internal Revenue Service, the German bank won’t be prosecuted for its participation in about 15 tax shelters involving more than 2,100 customers between 1996 and 2002, including shelters marketed by accounting firm KPMG LLP and defunct law firm Jenkens & Gilchrist PC.

Have audit rules been subtly rewritten? Three questions for the Big 4 [AccMan]
More questions after the revelation of the ‘secret talks’ in the UK.

Grant Thornton LLP elects one new member to Partnership Board [GT]
At Grant Thornton LLP’s Annual Partners Meeting in November, the partners and principals elected San Jose-based Jacqueline Akerblom, Audit partner, national managing partner of Women’s Initiatives and West Region North International Business Center director, to the Partnership Board.

Smith & Wesson Names Jeffrey D. Buchanan Chief Financial Officer [PR Newswire]
Smith & Wesson “a leader in the business of safety, security, protection, and sport,” names Jeffrey D. Buchanan as EVP, CFO and Treasurer (all positions require you to be strapped at all times).

Accounting Is a Sewer [JDA]
Sayeth perpetual accountant critic, Charlie Munger.

Christmas Gifts for that Special Tax Person [TaxProf Blog]
Three shopping days left.

CPAs in 49 states might meet experience requirement by working in industry [AW]
Michigan became the 49th state to accept industry experience for original CPA certification, leaving New Hampshire, Wyoming, and the U.S. Virgin Islands as jurisdictions that still do not accept industry experience.

Most state boards now accept experience gained by working in industry, government, and academia, as well as public accounting – a development that has received little attention in comparison with the movement to CPA mobility or changes in education requirements.

Audits of Bell were ‘rubber-stamp,’ state controller says [Los Angeles Times]
Seems to be going around.

Forensic Accounting and Al Qaeda [Freakonomics/NYT]
Getting to the bottom of the terrorist business.

New York Leads in Pursuit of Lehman [WSJ]
In 2001, the regulator of the nation’s biggest banks told its examiners to be on the lookout for firms whose regulatory filings made them look healthier than they really were. That followed guidelines issued in 1990 that said banks could face disciplinary action if their filings “have significant inaccuracies or are ‘window dressed.’ “

But as early as this week, it is the New York attorney general—not the Office of the Comptroller of the Currency, the bank regulator—who is expected to file a lawsuit alleging accounting firm Ernst & Young LLP allowed Wall Street broker Lehman Brothers Holdings to fake itsppear financially healthier.

Staff Audit Practice Alert No. 7 [PCAOB]
Knowing the PCAOB like we do, we’re expecting a major dump of auditor inspections and disciplinary orders on Friday around 3 pm.

Globalization, Regulation and Offshoring Push KPMG to Hire 250,000 over Five Years [FINS]
Julie Steinberg at FINS gets the lowdown from KPMG’s Global Head of People, Rachel Campbell.

SEC Fines Audit Firm, Bars Partner Over China Energy Fraud [Bloomberg]
The U.S. Securities and Exchange Commission fined a California audit firm and one of its partners $129,500 for “improper professional conduct” in connection with a Chinese energy company accused of accounting fraud.

Moore Stephens Wurth Frazer & Torbet LLP of Orange County “did not exercise professional skepticism and due professional care” in audits of China Energy Savings Technology Inc., the agency said in a statement today. Kerry Dean Yamagata, 53, the partner at Moore Stephens responsible for the audits, was barred from practicing as an independent accountant for at least two years, the SEC said.

Accounting Majors Score Lowest in Verbal and Writing Among All Grad Students [TaxProf Blog]
Get better, people.

Details of secret bank talks revealed [FT]
It gets more awkward for auditors in the UK.

Deloitte CEO: Better Career Preparation Starts in High School [Hire Education/WSJ]
Barry Salzberg gets academic in a blog post for the Journal.

BAE to be handed Tanzania fine on Tuesday [Reuters]
BAE Systems will be fined by a London court on Tuesday after pleading guilty to making accounting errors in Tanzania, bringing a six-year investigation into the company’s activities to an end.

The fine is expected to sign off a settlement agreed between Britain’s Serious Fraud Office (SFO) and BAE in February when the British defence firm entered into a plea bargain deal with the UK fraud watchdog.

How to Make Auditors More Accountable [Room for Debate/NYT]
For those of you looking to get all pointy-headed about this E&Y/Lehman debacle.

Groupon Hires Amazon Finance Executive Child as CFO to Help Raise Funding [Bloomberg]
Groupon Inc., owner of a daily coupon website with 40 million subscribers, named Jason Child chief financial officer as it considers raising more money to fund growth.

Child, 42, previously served as Amazon.com Inc.’s vice president of finance, overseeing its $14 billion international business, Groupon said today in a statement. He will relocate to Chicago, where Groupon is based.

Auditors Face Fraud Charge [WSJ]
New York prosecutors are poised to file civil fraud charges against Ernst & Young for its alleged role in the collapse of Lehman Brothers, saying the Big Four accounting firm stood by while the investment bank misled investors about its financial health, people familiar with the matter said.

State Attorney General Andrew Cuomo is close to filing the case, which would mark the first time a major accounting firm was targeted for its role in the financial crisis. The suit stems from transactions Lehman allegedly carried out to make its risk appear lower than it actually was.

Petters’ schemes drew in $36 billion, report says [MST]
This makes for lots of paper cuts, “PwC said it obtained financial data that would fill more than 560,000 bankers boxes. It said it found 87 accounts in 21 different banks that were part of the investment scheme.”

IRS Agent Accused of Stealing Tax Refunds [NBCNY]
Fern Stephens, a revenue officer at the Internal Revenue Service, is being charged by the U.S. Attorney’s office for stealing more than $160,000 in unclaimed tax funds from 12 taxpayers, according to federal court documents.

Former ECB Member Padoa-Schioppa Dies [WSJ]
Since July, Mr. Padoa-Schioppa chaired the board of trustees of the IFRS Foundation, which oversees the International Accounting Standards Board and helped promulgate the move toward a single set of accounting rules used worldwide. Sir David Tweedie, the IASB’s chairman, said in a statement Sunday that Mr. Padoa-Schioppa “possessed a rare combination of intellect and vision, delivered with a wry smile. He was a friend and colleague and will be missed by many, many people.”

Icelandic Bank Fails in $2 Billion Bid to Sue Former Execs, Auditor in New York [The American Lawyer]
A judge refused to hear Glitnir Banki’s suit against PwC and former execs.

Estate Tax Will Return Next Year, but Few Will Pay It [NYT]
Almost no one will have to worry about paying the estate tax under the tax legislation just [signed into law]. By one estimate, from Alan Rothschild, the chairman of the American Bar Association’s real property, trust and estate law section, less than one-half of 1 percent of people who die in 2011 will be hit by the estate tax. In contrast, 10.5 percent paid the estate tax in 1977.

Congress Passes Tax Deal [WSJ]
How funny would it be if Obama vetoed this thing, just to psyche everyone out? “Congress passed the most far-reaching tax bill in a decade late Thursday, averting across-the-board tax increases, enacting new breaks for individuals and businesses and laying a marker for how Washington might work in an era of divided government.”

PwC Charitable Foundation Commits $500K to Feeding America [PR Newswire]
‘Tis the season, “The donation marks the third year in a row that PwC and the PwC Foundation are giving more than $1 million during the holiday season.”

Christmas Gifts for that Special Tax Person [TaxProf Blog]
Seven shopping days left.

Weathering the Storm: The Top Five Finance Cities Through the Crisis [FINS]
There’s one on the East Coast!

HAPPY BIRTHDAY TO US! [Tax Update Blog]
Our friend Joe Kristan’s firm, Roth & Co., is celebrating 20 years in the business and has plenty of pictures that prove it.

Accountant arrested for theft of $1,000 [The Mercury]
He must have really wanted an iPad (or something).

Church accountant accused of embezzling more than $2 million [Bellingham Herald]
This is slightly better. And by “better” we mean, “the thief was not as stupid.”

Deloitte contributes the thing it knows best: skills [WBJ]
“Donation and typical volunteer hours are also important but don’t necessary make the greatest difference down the road,” says Emily Rothberg, Southeast community involvement leader for the company, whose stated strategy with nonprofits is to work “with their leadership and staff to help address some of their critical challenges.”

House Democrats Set Vote on Estate Tax, Tax-Cut Extension Bill for Today [Bloomberg]
The U.S. House is poised to vote today on a compromise between President Barack Obama and Republicans to extend Bush-era tax cuts, with a dispute over the federal estate tax looming as the final hurdle.

The House will vote on a proposal to amend the compromise plan with a higher estate tax sought by Democrats — and which Senate Republicans say they will refuse to accept. If that amendment fails, the House will vote on final approval of the bill passed by the Senate yesterday, 81-19.

A Question for Green Mountain Coffee Roasters [White Collar Fraud]
Specifically, Sam is asking CFO Francis Rathke to clear something up.

Mortgage-Bond Math Means Everyone Is a Winner in Duel Audit [Jonathan Weil/Bloomberg]
This feels more like a practical joke than a conspiracy, “There’s no reason to think MBIA Inc. and Bank of America Corp. are conspiring to make the Big Four accounting firm PricewaterhouseCoopers LLP look foolish. They couldn’t have done a better job, though, if they tried.

As the outside auditor for both companies, it’s PwC’s job to make sure each presents its financial results fairly. The strange part here is that MBIA and Bank of America have taken dueling accounting positions when it comes to some soured mortgage bonds that MBIA insured during the housing boom. PwC meanwhile is letting both companies’ approaches stand.”

Fixing the Broken Audit Model [The Summa]
Dave Albrecht has some ideas.

Schmalbeck: With Tax Vote, Congress Will Have Blood on its Hands [TaxProf Blog]
Unless Congress acts very quickly, there will be blood as the accidental estate tax “holiday” slouches toward expiration on December 31. Tax “holidays,” during which a tax is temporarily suspended, are questionable tax policy at best. But they are truly disastrous in the case of a tax that is triggered only by death. Estates that might be exposed to the tax can channel the incidence of the taxable event into the window of the tax holiday, but only through homicide or suicide (or the practical equivalents of “pulling the plug” on life support devices).

Altria Shuffles Executives, Names New Financial Chief [Dow Jones]
C-suite musical chairs at the smoke shop.

Have You Been Tempted to Cheat on Your Taxes? [You’re the Boss]
It’s a simple a question.

Poll on tax deal hints Obama still hasn’t sold public [WaPo]
“President Obama has aggressively sold the tax agreement he negotiated with congressional Republicans, arguing that it not only averts tax increases but will spur economic growth. So far, he hasn’t persuaded either congressional Democrats or the American people. The public, according to a Washington Post-ABC News poll, broadly supports the agreement. But when asked whether it will actually help the economy, 17 percent of people said it would hurt, while 43 percent said it would make no difference.”

Plus, there are too many football metaphors going around.

Despite Bipartisan Criticism, Tax-Reporting Mandate Lives On [Dow Jones]
A paperwork mandate on businesses that drew sharp criticism from lawmakers in both parties will remain on the books, at least until Congress takes another crack at repealing it next year. Part of the recently passed health-overhaul legislation, the provision requires businesses to report to the Internal Revenue Service payments to any vendor totaling more than $600 in a given year. It isn’t scheduled to take effect until 2012, so Congress still has time to modify or repeal it.

Soaring Hong Kong Rents Prompt Allianz, Accounting Firms to Shift Towers [Bloomberg]
PwC seems to be staying put while E&Y is pulling up the stakes.

Commuter tax benefit moving along as part of tax cuts extension bill [DMWT]
Under the Senate’s version of the tax cut bill, the pretax cap on employer-provided commuting benefits remains at $230, which is good since a Metrocard will likely cost that much in the next two years or so.

Christmas Gifts for that Special Tax Person [TaxProf Blog]
Especially any Schmidts.

AICPA: Revenue Recognition Proposal Impractical [JofA]
The AICPA’s Financial Reporting Executive Committee (FinREC) this week voiced extensive concerns with a joint FASB-IASB proposed standard on revenue recognition that is intended to apply across all industry sectors.

“We agree with the theoretical merit of many of the concepts included in the proposed standard,” FinREC said in its comment letter. “We also believe, however, that certain principles…may be neither practical nor operational for preparers and auditors to apply without undue cost.”

8,000 storm PwC for graduate appointments [Accountancy Age]
So much for overrated, “PwC has received up to 8,000 applications for graduate jobs and internships in 2011. A report on consultant-news.com reveals the firm has received an avalanche of applications from hopeful candidates who believe the job market is improving. PwC is recruiting for 1,600 roles, a record level for the firm.”

In Nevada prison O.J Simpson keeps tax break on South Florida home [Orlando Sentinel via TaxProf]
The Juice isn’t loose but he’s enjoying some good tax planning.

Tax-Cut Bill Draws Wide Support in Senate [WSJ]
Democratic opposition to President Barack Obama’s plan to avert an across-the-board income-tax increase Jan. 1 crumbled in the Senate on Monday, as a large bipartisan majority backed the legislation.The 83-15 procedural vote to advance the bill eases the way to final approval. It also marks a watershed for Mr. Obama, who unveiled the deal he had cut with Republican lawmakers only a week ago.Thirty-seven Republicans joined 45 Democrats and one independent in backing the legislation, a bipartisan alliance that stood in contrast to the largely party-line votes for Mr. Obama’s healic stimulus and other pillars of his first two years in the White House.

Carlyle’s Nachtwey on His Move to Legg Mason [FINS]
FINS chatted up the Deloitte alum on his move.

Ex-Mazars partners sues for unpaid expenses [Accountancy Age]
Robin Stevens claims Mazars owes him £1,400 in unpaid expenses and they’re not being adults about it, telling AA “It is unfortunate and disappointing, but sadly not surprising, that Mazars seem incapable of dealing with this simple matter in a professional and grown up way.”

Happy [Belated] Birthday, Ben Bernanke! [JDA]
Adrienne just so happened to turn the big 3-0 yesterday and it also just so happens that she shares it with her sworn nemesis. She continues her tradition of sending The Beard a nice, handwritten card.

When violence affects the workplace, what liabilities do employers face? [AW]
Don’t fool yourself, there are lots of crazies out there.

Bad News For Gen Y: Older Workers Clinging To Jobs [Janet Novack/Forbes]
Janet Novack informs us that Boomers may have to deal with Gen Y a little longer than they want to (it goes both ways), “A new analysis shows workers’ median length of time on the job rose markedly during the recent recession, as fearful workers—particularly aging baby boomers—clung to their existing positions and few new employees were hired on.”

US widens Stanford probe to brokers [FT]
Because this thing isn’t a big enough mess already.

Deloitte Acquires the Assets of ClearCarbon Consulting, Inc. and DOMANI Sustainability Consulting, LLC to Further Enhance Sustainability Offerings [PR Newswire]
With ClearCarbon and DOMANI, Deloitte takes a significant step forward in achieving its goal of being a leading sustainability services provider. The combined sustainability offerings create a new hub of sustainability excellence, highlighting a combination of strategic insights and deep knowledge of complex challenges impacting organizations across all industries and sectors. “Deloitte has identified the sustainability services market as a key growth area,” said Jessica Blume, national managing principal, research and innovation, Deloitte LLP. “As an emerging offering, the acquisitions of ClearCarbon and DOMANI will further strengthen Deloitte’s ability to help clients drive value, mitigate business risk, and drive growth, efficiency and innovation through improved environmental, social and financial performance.”

Tax Deal Set to Pass Senate [WSJ]
Democrats are predicting that a much-debated tax agreement will clear a crucial hurdle comfortably in the Senate on Monday, with a margin that they hope will add momentum to the deal in the House. But even with President Barack Obama, former President Bill Clinton and a growing number of Senate Democrats backing the deal, House Democrats remained eager to test whether they could push Republicans to raise the proposed tax rate on estates.

Seven Things You Should Not Do Online at Work [FINS]
A quick refresher for anyone that has already forgotten PwC Email Hottiegate 2010 (Ireland edition).

Carlyle Finance Chief Nachtwey Leaves in Setback to IPO Plans [Bloomberg BusinessWeek]
Peter Nachtwey, a Deloitte alum, is leaving Carlyle ‘to pursue a great new opportunity’ shortly before the firm’s planned IPO, “Carlyle plans to file IPO papers late in 2011, people with knowledge of the matter said earlier this month. The stock sale may not occur until the following year, said the people, who asked not to be identified because the plans are private.”

Internal auditors next to give evidence in the Lords [Accountancy Age]
Internal auditors will take centre stage tomorrow when they appear before a House of Lords committee to give evidence on the role of auditors during the financial crisis.

The Lords are expected to probe the relationship between internal auditors and audit committees, on the one hand, and external auditors on the other. The current chief executive of the Institute of Internal Auditors, Dr Ian Peters, will appear as will Sarh Blackburn, a former president and current member of the institute.

IRS: Exclusive Montana Resort Founder Owes $15.4M [ABC News]
The co-founders of the millionaires-only Yellowstone Club also has to settle up with the state of Montana, “Tim and Edra Blixseth also owe Montana $57 million in taxes on money taken out of the Yellowstone Club and spent on luxury jets, cars and yachts that they wrote off as business expenses, according to state officials. With Edra Blixseth bankrupt, state officials have filed a warrant to go after Tim Blixseth’s assets to cover the debt.”

Firm will review auditor that overlooked Bell corruption [Los Angeles Times]
California Controller John Chiang is expected to release his review next month of the work of auditing firm Mayer Hoffman McCann, which gave the municipality a clean bill of health. The case has highlighted questions over firms that audit troubled government entities. Chiang already has issued several reports on Bell’s finances that found numerous shortcomings and red flags pointing to excessive salaries, illegal taxes and fees.

Americans in Poll Want Deficit Cut With Entitlements Secured [Bloomberg]
If anyone has a problem with the following, please speak up: “Americans want Congress to bring down a federal budget deficit that many believe is “dangerously out of control,” only under two conditions: minimize the pain and make the rich pay.

The public wants Congress to keep its hands off entitlements such as Medicare, Medicaid and Social Security, a Bloomberg National Poll shows. They oppose cuts in most other major domestic programs and defense. They want to maintain subsidies for farmers and tax breaks like the mortgage-interesy’re against an increase in the gasoline tax.”

Will the Auditors’ Real Clients Please Stand Up? You’re Lost Among the Mixed Messages [Re:Balance]
Who does auditor number 2 work for?

CFOs Expect to Hire Finance Staff in Q1 2011 [FINS]
Financial staff and accountants will be in demand in the first quarter of 2011, according to Bank of America’s annual CFO Outlook and a recent hiring index report from Robert Half.

PwC Announces $500,000 Contribution to Michigan State University Accounting Program in Memory of Al Arens [PR Newswire]
PwC US is contributing $500,000 over five years to the Michigan State University Accounting and Information Systems department in the Eli Broad College of Business. The gift to the Al Arens Teaching Excellence Fund will help provide teaching assistants and other resources for introductory accounting classes. Arens, the former PwC Endowed Professor at Michigan State, taught such classes for 40 years and dedicated his professional life to helping students.

When to Ask for a Raise in a Downturn [Bucks/NYT]
Try to resist the urge to ask right after layoffs.

Accounting for Public Pensions [Floyd Norris/NYT]
A generation ago, when Ronald Reagan was president, the accounting rule makers forced American companies to come clean on the cost of the pension plans they were promising to employees. That decision, perhaps more than any other, heralded the eventual demise of defined-benefit pensions for employees of American companies.

Now something very similar may be in store for public sector employees, thanks in part to the Republican victories in last month’s Congressional elections.

Marcum LLP and Bernstein & Pinchuk LLP Merge China Practice [PR Newsire]
Marcum and Bernstein & Pinchuk have merged their China practices, effective January 1st.

Auditors Should Be Able to Do Consulting, Tax Work, U.K. Says [Bloomberg]
A ban on such non-audit services, proposed in October by the 27-nation EU, would upset investors and fail to address problems behind the crisis, the U.K.’s Financial Reporting Council said today on its website. The watchdog said it supports a “tightening of the rules” on such services.

“There is no evidence that the provision of non-audit services by auditors was a factor in the financial crisis,” the FRC said in the paper. “There is no support from any group of stakeholders for such a prohibition” and investors “were generally hostile to the idea.”

IRS Considers Taxpayer Amnesty Program [WSJ]
U.S. Internal Revenue Service Commissioner Doug Shulman Thursday said the IRS is considering another amnesty program for taxpayers who voluntarily reveal their previously undisclosed offshore bank accounts. “We are seriously considering another special offshore Voluntary Disclosure program,” he said in a speech in Washington.

Accounting Students Can Apply Online for Illinois CPA Society Scholarships [PR Newswire]
For students pursuing an accounting degree with plans to become a Certified Public Accountant (CPA), financial help is available through the Illinois CPA Society. Scholarships of up to $4,000 are funded by the CPA Endowment Fund of Illinois. Eligible students must be U.S. citizens or permanent residents currently living in Illinois and enrolled in an Illinois College or University.

David Sproul named new chief executive of accountants Deloitte [Telegraph]
David Sproul, who was appointed UK head of tax at the Big Four firm in 2006 and is a member of the executive board, will succeed John Connolly in June next year.

Mr Connolly has been as the firm’s top accountant for more than a decade and his tenure has seen Deloitte rise up the ranks to become second only to PricewaterhouseCoopers in terms of revenue. Mr Connolly is credited with having transformed the group, with profits tripling during his time.

Estate-Tax Passage Is Likely [WSJ]
It’s a Festivus miracle! “The estate tax has emerged as a focus of Democrats’ anguish over the tax deal hashed out between President Barack Obama and Republicans. But the protests appear unlikely to derail the compromise in Congress.

Notably, Democratic support for the estate-tax provision appeared stronger in the Senate, particularly among incumbents facing re-election in 2012, than in the House.”

Modesti, PCAOB Director of Enforcement and Investigations, Calls For More Transparency [RTA]
Francine highlights the, er, highlights of Modesti’s remarks from yesterday.

Majority of Americans Say Fed Should Be Reined In or Abolished, Poll Shows [Bloomberg]
“The Fed had to do extraordinary things to keep us from going into a great depression, and the public doesn’t see it this way,” said Lyle Gramley, a former Fed governor who is now senior adviser at Potomac Research Group in Washington. “The last time we had any really severe criticism of the Fed was in the early-1980s, when the Fed was pursuing this brutally tight policy to keep inflation under control.”

Howard Stern Changes Tune on Sirius CFO: ‘David Frear is OK With Me’ [The Wrap]
After some reactionary measures, the King of All Media actually read the transcript of the remarks and decided that the Sirius CFO isn’t a bad guy.

Gov.-elect Snyder talks up accounting credentials [CT]
If a CPA can fix Michigan, look out. Presidency next! “Wayne State University’s School of Business Administration and Department of Accounting will host the Ann Arbor executive, entrepreneur and first certified-public accountant to be elected governor of Michigan.

Snyder’s talk Thursday afternoon is expected to focus on how his accounting skills will be important as he works to improve the state’s struggling economy. He’s also scheduled to recount his journey from the private sector to the precipice of the state Capitol.”

ParenteBeard Merges with Local Philly Firm [AT]
ParenteBeard picks up Huntingdon Valley-based Pressman Ciocca Smith in a deal that was effective December 1.

Obama Woos Wary Party on Tax Deal [WSJ]
President Barack Obama’s tax-cut compromise with Republicans was greeted with anger from fellow Democrats in Congress Tuesday, but many seemed resigned to accepting it as the best deal they could get and a step toward reviving the weakened economy.

Democrats criticized the broad tax package for cutting taxes on high earners and setting tax rates too low on large inheritances, as well as for its effect on the country’s budget deficit. But Democrats also said they didn’t yet see a revolt spreading so far that it would derail the agreement in the Senate. Prospects for passage are more uncertain in the House, where many liberal members are balking at planned changes to the estate tax.

Did Deloitte Compromise Independence in McClellan Insider Trading Scandal? [Forbes]
Francine untangles the web.

Greenberg: Does Green Mountain News Pass Sniff Test? [CNBC]
CNBC’s Herb Greenberg is curious about Vermont-based Green Mountain Coffee Roasters’ earnings call that is slated for Thursday after the markets close.

BDO’s global fee income jumps 5% [Accountancy Age]
Global accounting network BDO has reported a growth in fee income of 4.92% across its member firms after a strong performance in the Asia Pacific region. For the year ended 30 September 2010, BDO’s fee income was €3.89bn (£3.27bn). Asia Pacific was the fastest growing region, which saw its revenues rise 32%. This success was attributed to the expansion of its operations in China, which saw growth of 65% to €149m over the last year.

Obama-GOP Tax Deal: Winners and Losers [TaxVox]
Biggest loser: fiscal responsibility!

Wesley Snipes Talks Taxes on Larry King [TaxProf Blog]

Deal Struck on Tax Package [WSJ]
President Barack Obama reached agreement Monday with Republican leaders in Congress on a broad tax package that would extend the Bush-era income tax cuts for two years, reduce worker payroll taxes for one year and give more favorable treatment to business investments.

Other elements of the deal include a temporary reinstatement of the estate tax at 35%—the level favored by most Republican lawmakers—as well as an extension of jobless benefits for the long-term unemployed.

Gadget wish list for 2010 [AW]
iPad. Tablet stand. Done.

Schapiro Aims to Expand Accounting Oversight of Broker-Dealers [Bloomberg]
The accounting industry will play a crucial role in helping investors regain confidence in the wake of Madoff’s scheme and the 2008 financial crisis, said Schapiro, who urged auditors to push for accuracy and clarity in reporting.

“Our markets depend on confident investors — and their confidence rests in large part in your hands,” she said. “The SEC and other agencies can increase the confidence investors bring to our financial markets, but our efforts will succeed only if those investors believe the numbers that you write on the bottom line.”

Private Company GAAP? Time to pay attention [CPA Success]
MACPA’s Tom Hood has been hearing about this debate for years but thinks this time around, things are different, “The tipping point towards the need for private company standards came after the announcement of FIN 48 and 46R. Many private companies have cried “uncle”, as these extremely onerous and complex standards have continued to arrive on the scene.”

The Facebook Factor for CPAs [CPA Trendlines]
If anyone gives you a hard time about Facebook at work, evoke something that Michelle Golden has said. She’s been at this for awhile.

U.S. exits Citigroup stake and earns $12 billion profit [Reuters]
The U.S. government sold off its remaining shares in Citigroup Inc on Monday for $4.35 each, marking an exit from ownership in the bailed-out banking giant with a $12 billion gross profit for taxpayers.

The U.S. Treasury said it will take in $10.5 billion in sale proceeds from a public offering of 2.4 billion Citigroup shares, announced just hours earlier. The price is 10 cents below the $4.45 closing price on the New York Stock Exchange.

Ponzi swindler who sacked John Elway gets 40 years [Reuters]
Why the long face, John?