DHG Partner Gantnier to Serve as AICPA Quarterly Webcast Moderator

Liz Gantnier

Liz Gantnier

Liz Gantnier, an assurance partner at Charlotte, N.C.-based Dixon Hughes Goodman (FY17 net revenue of $404 million) has been selected to serve as moderator of the AICPA SEC quarterly update webcast series, which will showcase the profession’s leading experts and their views on hot topics within the industry.

The series will feature a two-hour webcast each quarter with topics relating to current events in the industry and SEC, PCAOB and FASB developments. In her role as moderator, Gantnier will lead the conversation by directing noteworthy questions to three expert panelists.

Gantnier has more than 30 years of experience in the accounting industry and has served on numerous committees and governing boards.

AICPA Names Dohrer as Chief Auditor

Robert Dohrer

Robert Dohrer

The AICPA has named Robert Dohrer as chief auditor. Dohrer is currently the global leader of quality and risk at RSM International. Dohrer will succeed Charles Landes, the AICPA’s vice president of professional standards – public accounting, who plans to retire early next year.

“In looking to find a successor with Chuck’s unique skill set – an in-depth knowledge of the global profession and auditing and a successful track record – the AICPA sought an individual who understands the audit process for firms of all sizes,” says Susan Coffey, Association of International Certified Professional Accountants’ executive vice president for public practice.

Now based in London, Dohrer has overall responsibility for RSM’s audit and other attest services policies, procedures and guidance, as well as general risk containment policies for the network. Prior to joining RSM International in 2012, Dohrer served as RSM US’s national director of assurance services and international assurance services practice leader and served a broad range of clients. He has 29 years of experience in public accounting, all with RSM International and RSM US.

“As chief auditor, Bob will serve as the AICPA’s expert on U.S. and international auditing, attestation, quality control, review, compilation and preparation standards, as well as internal control and enterprise risk management,” says Coffey. “He will lead the public accounting professional standards team to deliver high-quality standards, and will lead and provide strategic direction to the Auditing Standards Board and accounting and review services committee, in partnership with their chairs.”

Christen, Chairman of Baker Tilly International, to Join CPA.com Board

Tim Christen

Tim Christen

Tim Christen, former chairman of the AICPA, has been named to the board of directors of CPA.com.

Christen is currently chairman of Baker Tilly International and formerly CEO of Chicago-based Baker Tilly Virchow Krause LLP (FY17 net revenue of $546.6 million). As chair of the AICPA, he championed innovation and rapid technology adoption. He also played a key role in securing membership approval for the formation of the Association of International Certified Professional Accountants, the 650,000-member global accounting organization that serves as the unified voice of the AICPA and the Chartered Institute of Management Accountants (CIMA).

“Tim brings an important strategic perspective to our board,” says Erik Asgeirsson, president and CEO of CPA.com. “As an experienced and respected firm leader, his insight and guidance will inform how we work with firms to transform core practices areas.  It’s an exciting time for both the company and the profession and we’re fortunate to have someone with Tim’s background join the board at this critical juncture.”

“We’re entering a critical time regarding the evolution of the audit and how that impacts the profession,” says Barry Melancon, president and CEO of the AICPA. “Having someone with Tim’s large firm and auditing background on the CPA.com board will help us greatly in setting our strategic roadmap.”

AICPA Announces New Professional Certificates in Forensic Accounting

The AICPA launched two intermediate-level certificate programs to help satisfy a growing need for financial professionals with forensic accounting expertise. The new AICPA programs explore core and specialized forensic techniques.

These curricula are timely, as economic and regulatory trends – along with corporations’ increasing focus on the threat of financial crime – are expected to benefit the forensic accounting profession in the coming years according to a study by IBISWorld, a market research firm. The report indicates employment in forensic accounting grew at an annualized rate of 18% from 2012 to 2017, and projects continued growth in the sector in coming years.

“Our certificates provide new options to CPAs seeking a comprehensive pathway to the Certified in Financial Forensics (CFF) credential, as well as to other financial professionals who wish to show competency in financial forensics but are not eligible to get the CFF credential,” says Barbara Andrews, AICPA Director of Forensic Services. “Anyone wanting to expand his or her knowledge of financial forensics can benefit by enrolling in our new certificate programs.”

The Core Forensic Accounting Certificate covers subjects essential to the planning, performance and reporting of all forensic accounting engagements, including:

  • Forensic engagement and management
  • Evidence identification and gathering
  • The discovery process
  • Effective interviewing techniques
  • Deposition and testimony
  • Preparing sustainable reports

The Specialized Forensic Accounting Certificate dives into more complex forensic themes, such as:

  • Bankruptcy
  • Technology
  • Data recovery
  • Damages
  • Lost earnings and fringe benefits
  • Patents, copyrights and trademarks
  • Mergers and acquisitions
  • Detecting and investigating fraud
  • Divorce and other family law issues

Additional information regarding the growing forensic accounting profession is available on the AICPA Forensic and Valuation Services website.

Optimism About U.S. Economy Hits Post-Recession High, AICPA Survey Finds

Business executives’ optimism about the U.S. economy continues to soar but is tempered somewhat by growing inflation concerns, according to the first-quarter AICPA Economic Outlook Survey.

Seventy-nine percent of business executives said they were upbeat about prospects for the economy, eclipsing last quarter’s post-Great Recession high of 74%. As a point of reference, optimism levels were as low as 28% in early 2016. Survey respondents’ view of their own companies’ outlook over the next 12 months also set a post-recession record, with 71% expressing optimism.

“Business executives are drawing a lot of confidence from current economic indicators, and cite federal tax reform and deregulation as two factors in their improved outlook over the next year,” says Arleen Thomas, managing director of Americas market, global offerings and CGMA exam, management accounting for the Association of International Certified Professional Accountants. “At the same time, we’re seeing an uptick in concerns often associated with a hot economy, from talent pool issues to rising inflation fears.”

On the job front, half of business executives say their companies have the right number of employees. Hiring plans continue to improve, however, with 27% of companies saying they plan to fill positions immediately (up two percentage points from last quarter) and another 14% (up one percentage point) indicating they have too few employees but are hesitant to hire. Finding the right candidates remains an issue, however: ‘availability of skilled personnel’ remains the No. 1 challenge for businesses for the third quarter in a row.

AICPA Appoints Chair of Certified in Financial Forensics Credential Committee

Jeffrey Buchakjian

Jeffrey Buchakjian

AICPA appointed Jeffrey Buchakjian chair of the certified in financial forensics (CFF) credential committee. Buchakjian is a partner and forensic accounting specialist in the financial advisory services group of New York-based EisnerAmper (FY17 net revenue of $352.6 million).

The CFF credential committee plays a role in promoting the growth of financial forensics services by raising the level of awareness of the CPA and CFF credential, as well as the CPA’s role in financial forensics. In addition, the committee works to develop and maintain qualification requirements for credential applicants, develops initiatives to recruit and retain credential holders, and serves as technical advisors to the AICPA regarding educational offerings for potential credential holders.

Buchakjian specializes in providing litigation consulting and forensic accounting services to attorneys, public and private corporations, and governmental agencies. He provides consulting and investigation services on matters involving financial fraud, commercial litigation and disputes, insurance claims and asset tracing. Buchakjian is frequently asked to conduct seminars, and continuing professional and legal education programs in the areas of forensic accounting and fraud.

“The CFF is a highly recognized and well-respected credential in the field of forensic accounting,” says Buchakjian. “I look forward to working with my fellow committee members across the country to continue to develop thought leadership and increase awareness of our growing profession.”

IPA Spotlight On … Eric Hansen, Chair, AICPA

Name: Eric Hansen

Title: Chair

Eric Hansen

Eric Hansen

Firm: AICPA

Accomplishments:

  • COO of BKD CPAs & Advisors, oversees firmwide operations and acts as liaison between BKD’s national office and its four regions.
  •  Became AICPA chair Feb. 1 and will serve in that capacity until May 2019.
  • An Eagle Scout, he extolled the virtues of preparation and anticipation in his acceptance speech following his election as chair.
  • Was part of the leadership team responsible for the launch the Association of International Certified Professional Accountants (Association), which represents 650,000 members and students worldwide.

What are your top goals as chair?

The way I see it, there are three actions we must take today to be ready for tomorrow. First, we must harness technology to create more value for clients and businesses by elevating quality in existing services and taking the lead in emerging areas. This includes a focus on auditing in the future, and new and emerging attest services. Second, we must embrace our role in a hyper-connected, global society, extending our influence to protect the public interest amid increasing complexity. Creating the Association was a huge step toward a platform that helps us pursue this goal. And third, we must invest in our most important asset – our people – by evolving skills and competencies, advancing learning opportunities and cultivating future leaders.

What more should be done to advance CPAs’ understanding and implementation of AI, blockchain and data analytics?

One area of focus for the Association is integrating data analytics into the auditing process to enhance quality and maintain the relevance of this foundational CPA service. The AICPA and Rutgers Business School are partnering on a research initiative to demonstrate how this integration of data analytics can lead to auditing advancements. We also must focus on developing the higher-order competencies. To that end, we launched a new version of the Uniform CPA Exam last year that places a greater emphasis on cognitive skills such as critical thinking and analytical ability. My advice here is simple. Every member of our profession needs to take personal responsibility for the development of the skills they need to succeed in the future. Don’t wait for it to come your way.

As a former member of AICPA Task Force on the Future of Learning, what changes do you foresee in the AICPA’s educational offerings?

Through the Future of Learning initiative, we are transforming the way learning is delivered with innovative technologies that blend text, audio, graphics, video, 3-D animation and interactivity to enhance learning. Social learning, virtual group study and interactive exercises increase engagement with hands-on application. We’re also making use of new learning models, launching a new bite-sized learning series called Human Intelligence, which is focused on the skills and competencies needed for success in the future. And then there is our leadership development. The AICPA Leadership Academy was established to address succession planning and to increase diversity and inclusion in leadership. Beyond that, we are expanding access to competency-enhancing tools and resources through the Association. Our research on the future of finance will be used to update the competency framework and syllabus for CGMA.

How do you envision the scope and reach of professional accountancy expanding in an increasingly connected world?

It is essential for today’s leaders to look beyond definitions, demographics and geographic dimensions that once constrained the scope and reach of professional accountancy. I’m a CGMA, as well as a CPA, so I’m aware of the need to serve clients and the public interest with a holistic, global focus. Public accounting’s focus on auditing and taxes remains a critical part of the business world. And the value management accounting brings to the corporate finance function is equally important. Both disciplines are likely to grow in importance as our global society becomes both more immediate and more complex. Our new Association, formed with the Chartered Institute of Management Accountants, is all about meeting the challenges of our increasingly hyper-connected world.

Final thoughts?

You and I see the rapid pace of change – in the world of accounting and all around us. What’s needed to meet the challenge such change brings is a bias for action and the courage to be bold. As my fellow Missourian, and former U.S. President Harry Truman said, “Progress occurs when courageous, skillful leaders seize the opportunity to change things for the better.” At the AICPA, I’m blessed to be surrounded by so many skilled, courageous leaders who share that bias for action. Working together, we’ll make the CPA profession even more relevant in the future than it is today.

Do you know someone else who would make a good Spotlight? Contact Christina Camara.

AICPA Grows Not-for-Profit Expert Panel

Sibi Thomas

Sibi Thomas

Sibi Thomas, New York-based Marks Paneth (FY16 net revenue of $127.7 million) partner with the nonprofit, government and health care group, has been appointed to the not-for-profit entities expert panel by the AICPA.

As a member, Thomas will draw from his experience in conducting and overseeing audits for a wide range of not-for-profit organizations. He also gives back to the not-for-profit community with training seminars, authored articles and speaking engagements.

A Call for Definitive Taxing Structure of Cryptocurrencies

In 2014, the IRS implemented guidelines on how cryptocurrencies should be taxed, but the government did not declare it an actual currency.

Even though the industry has grown exponentially since 2014, the IRS has not issued any new regulations. This has prompted the AICPA to request that the agency “release additional, much needed, guidance on virtual currency.”

According to CNBC, Tyson Cross, a U.S.-based tax attorney, began assisting clients with declaring their digital currencies as early as 2013.

Cross suggests that crypto holders try to preempt any tax-related issues by taking a few preventative measures:

  • Establish a record-keeping process. Capital gains tax should be implemented for every crypto transaction.
  • Regularly download your transaction history. This includes keeping a separate record of these transactions as a backup.
  • Determine your gains and losses after every transaction. Virtual currencies held for less than 12 months are seen as a short-term gain, while those held for longer are seen as a long-term gain.

AICPA Announces New CPA Exam User Experience

The AICPA announced the forthcoming launch of the next generation of Uniform CPA Examination technology. These technology updates will improve the user experience and enhance the tools and functionality available to exam candidates. The changes will become effective at Prometric test centers on April 1, 2018.

The improvements to user experiences come on the heels of the AICPA’s successful launch of an updated version of the exam in April 2017. That content-focused update had helped maintain the exam’s alignment with the work of a newly licensed CPA.

“These improvements and updates to the CPA Exam software and tools will modernize the candidate’s testing experience,” says Michael Decker, AICPA vice president of examinations. “Beyond that, this is an investment in the future of the exam that will increase our ability to make changes to both the technology and content. This added flexibility will help ensure that the exam remains aligned with the work being done in the profession.”

To aid candidates as they work to familiarize themselves with the new experience, the AICPA website has tutorial help files, web-based sample tests for each exam section and a video that takes viewers through the enhanced features of this software.

The launch of the software requires additional evaluation of test question performance for the 2018 Q2, Q3 and Q4 test windows, which necessitates scores to be held until the close of each window. In 2019 Q1, the Exam will return to the traditional rolling score release. Exact score release dates are posted to the Score Release Timeline page of AICPA website.