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Audit
UK accounting firms push regulator to end ‘name and shame’ practice [Financial Times]
The Big Four of Deloitte, EY, KPMG and PwC have discussed a co-ordinated effort to file complaints to the Financial Reporting Council over its policy of publicly announcing probes, along with mid-tier firms such as BDO, Grant Thornton and RSM, according to four people familiar with the matter. The push — which also included complaints by firms Forvis Mazars and Crowe, and the ICAEW and ACCA professional bodies — was sparked by a consultation published by the FRC in October and due to close on Friday.
Offshoring
Offshore U.S. CPA Firms new reality: Talent crisis, attrition, skyrocketing salaries [The Finance Story]
Leaders openly admit that employees in U.S. CPA firms in India earn well. Yet a growing number of professionals feel “they are being taken advantage of.” One leader says, “A lot of employees come to us every year saying, ‘I’ve done my market research and I’m underpaid.’” He continues, “They’re demanding 30–40% salary hikes and promotions every single year.”
Tax
IRS announces first day of 2026 filing season; online tools and resources help with tax filing [IRS]
The Internal Revenue Service announced Monday, January 26, 2026, as the opening of the nation’s 2026 filing season. This year, several new tax law provisions of the One, Big, Beautiful Bill become effective, which could impact federal taxes, credits and deductions. Taxpayers have until Wednesday, April 15, 2026, to file their 2025 tax returns and pay any tax due. The IRS expects to receive about 164 million individual income tax returns this year, with most taxpayers filing electronically.
Should sentient AI be forced to do our taxes? [Accounting Today] “The entire reason I left public accounting to co-found a tech company was because I was miserable doing manual reconciliations and knew there had to be a better way to live,” said FloQast CEO and co-founder Mike Whitemire. “The mission has always been to stop humans from suffering through that mind-numbing drudgery. If we create a sentient digital being, the absolute last thing I would want to do is inflict that same soul-crushing boredom on it! It would be incredibly hypocritical of me to liberate accountants only to enslave a sentient AI.”
How Big Is the ‘Typical’ Tax Firm? [CPA Journal]
What is the size of a “typical” tax firm? This question can be answered by analyzing two IRS datasets: the External Customer Data Store (ECDS) and the Preparer Tax Identification Number (PTIN)
New publication on accounting for uncertain tax positions [RSM]
We have recently published a new Financial Reporting Insights, Accounting for income taxes – Uncertain tax positions. This publication is intended to be used as a resource in understanding and analyzing the accounting for uncertainty in income taxes recognized in an entity’s financial statements. It describes the unit of account, recognition threshold and measurement attribute(s) of a tax position taken or expected to be taken in a tax return. It also addresses how to account for changes in judgment, interest and penalties, and the related disclosure requirements for uncertain tax positions.
Curbing Tax Deductions for Executive Pay is a Federal Tax Change States Should Get Behind [Institute on Taxation and Economic Policy]
On both the individual and corporate side of the ledger, states’ reliance on federal income definitions routinely leaves state revenues vulnerable to reductions in the federal tax base, and the 2025 Trump tax cut is chock full of these. But there are a few provisions in last summer’s tax law that could actually make budget-balancing a little bit easier for states if they follow suit. Among them is a helpful modification to a provision designed to penalize excessive CEO pay.
Career Advice
EY’s global chief innovation officer says adaptability is the ‘new job security.’ He does 3 things to stay current. [Business Insider]
With AI transforming so many jobs, EY’s Joe Depa says adaptability will be the “new job security” in 2026. “The ability to adapt and change is going to be the most important component,” said Depa, who oversees innovation at the Big Four consulting firm. The executive, who leads EY’s AI, data, and innovation strategies, told Business Insider that training and upskilling will be the factors that differentiate talent and organizations in the workforce.
The Job Market Sucks
A miserable year for workers [KPMG]
Payrolls rose by 50,000 jobs in December. Employment expanded by a mere 584,000 in 2025, its weakest annual pace since 2020 and the second weakest since the global financial crisis in 2009. A whopping 84% of those gains occurred in the first four months of the year. Since then, job gains have come to a virtual standstill.
People
Prager Metis Announces New Leadership Lori A Roth Named Chief Executive Officer Stuart H. Mayer Named Chief Operating Officer [Prager Metis]
As CEO, Lori will provide leadership and strategic planning to more than 100 partners and principals and 600 team members. Lori will also oversee the firm’s growth strategy and initiatives. She holds a key role in developing strategic goals and policies, monitoring performance, and driving business growth. Lori previously served as Global Managing Partner and Executive Committee member of Prager Metis.
EY appoints Hala Martin as San Francisco leader [Consulting.us]
Martin, who has been with the Big Four accountancy since 2000, succeeds Phillip Mazzie in the role. Mazzie moves on to serve as growth markets leader for the telecom, media, and technology (TMT) sector.
Frazier & Deeter Names Nine New Partners [Business Wire]
Frazier & Deeter (FD), a Top 50 professional services firm, is proud to announce the promotion of nine accomplished professionals to Partner: Sam Benham (GA), Alicia Chumley (GA), Joonas Degerman (TN), Kristi Epp (GA), Garrett Fox (GA), Dono Kabilova (GA), Austin Miller (NC), John Weiskittel (GA) and Chris Zotti (TN).