Accounting News Roundup: Bipartisan Tax Reform Bill to be Introduced; PCAOB Offers More Documentation Guidance; Iowa Congressman “Emphasizes” with Joe Stack | 02.23.10
• A Bipartisan Plan for Tax Fairness [WSJ]
Senator Ron Wyden (D-OR) and Judd Gregg (R-NH) co-wrote an op-ed to introduce their bill for tax reform: The Bipartisan Tax Fairness and Simplification Act of 2010.
The magic word! Bipartisanship! No one will argue against this bill with the magic word in there. Well, we’ll see. In the meantime they plugged all the things voters like to hear:
• Most taxpayers will be able to use a one-page 1040.
• In some cases the IRS will prepare the return for you; all the taxpayer will have to do is sign date and return.
• Reduce the six tax brackets to three: 15%, 25%, and 35%.
• Tripling the standard deduction.
• The first 35% of long-term capital gains income would be tax exempt.
• Flat corporate tax rate of 24%.
Sounds simpler, anyway.
• PCAOB Offers Guidance on AS7 Documentation [Compliance Week]
Don’t worry auditors, this is just a little guidance on Auditing Standard 7: Engagement Quality Review that was requested by the SEC. All it says is that if your engagement happens to be royally f—ed up (i.e. “significant engagement deficiency is identified”) then you have to include enough documentation so that some strange auditor, with some experience, can understand why your engagement is such a mess. Nothing extra but don’t leave out the gory details.
• Steve King To Conservatives: ‘Implode’ IRS Offices [Talking Points Memo]
Congressman Steve King (R-IA) is the winner of open-mouth-insert-foot (Joe Biden is awfully quiet these days) this week after saying that he “emphasized” with Joe Stack and that he encouraged listeners at the Conservative Political Action Conference to “implode” other IRS offices.
This may be blown out of proportion since no one typically gets hurt in an implosion but we don’t think the likes of Glenn Beck should be allowed near explosives of any kind.