Advisory - Recent Threads

PCAOB Investor Advisory Group Seeks Nominations for Best Critical, Key Audit Matters in 2025 Filings

Nageshwaran Gopal — Mon, 11 May 2026 16:11:18 GMT

For the third year in a row, the Public Company Accounting Oversight Board (PCAOB) Investor Advisory Group (IAG) is inviting the public to send in nominations for the best critical audit matters (CAMs) or key audit matters (KAMs) in audit reports included in 2025 Form 10-Ks for domestic companies and Form 20-Fs for foreign private issuers.

The deadline is June 30, 2026.

Auditors of domestic public companies disclose CAMs, while KAMs apply to auditors who follow standards set by the International Auditing and Assurance Standards Board.

The request for nominations was announced by Jeffrey Mahoney, general counsel of the Council of Institutional Investors (CII) and a member of the IAG during the panel meeting in Washington on April 29.

To dig deeper, visit the original article on the Thomson Reuters blog.

The AI evolution in audit: Why technology elevates rather than eliminates professional development

Nageshwaran Gopal — Mon, 27 Apr 2026 13:38:16 GMT

Discover why AI-powered audit tools are creating the most skilled, strategic-thinking professionals in the industry's history, and how your firm can lead this transformation to attract top talent and achieve 3.1x higher ROI.

Highlights

AI is transforming audit by automating routine tasks and accelerating the development of higher-value professional skills.
Historical technology shifts in accounting have consistently elevated, not diminished, the profession’s capabilities and strategic impact.
Firms that integrate AI fluency with traditional audit training gain a significant competitive and ROI advantage.

To dig deeper, visit the original article on the Thomson Reuters blog.

Alaska Supreme Court Upholds DOR’s Interpretation of Municipal Gas Tax Credits

Nageshwaran Gopal — Mon, 27 Apr 2026 13:25:07 GMT

By Maria T. Albanese, JD, LL.M, Checkpoint News

The Alaska Supreme Court affirmed the Alaska Superior Court’s decision upholding the Alaska Department of Revenue’s (DOR) denial of the Municipality of Anchorage’s claimed tax credits. The Municipality of Anchorage owned a one-third interest in a gas field that produced natural gas. Under Alaska law, municipalities are generally exempt from production taxes but Alaska Stat. § 43.55.895 taxes municipal gas only when sold to others, thus making municipal producers eligible for tax credits “to the same extent as any other producer.” For two tax years, the municipality sold less than 1% of its gas and used the rest for municipal electricity. The municipality applied for tax credits and calculated them based on costs for producing all of its gas against the very small amount of gas it actually paid taxes on, which yielded sizeable tax credits. The DOR rejected the claims, calculating credits based on the full value of all gas produced, and the municipality appealed, arguing that the DOR’s interpretation was invalid because it amounted to a new regulation not adopted through formal rulemaking. (Municipality of Anchorage v. Alaska Dept. of Rev., Alaska S. Ct., Dkt. No. S-18923, 04/17/2026.)

To dig deeper, visit the original article on the Thomson Reuters blog.

Group Urges Supreme Court to Hear Corporate Transparency Act Case as Lawmakers Consider Repeal

Nageshwaran Gopal — Mon, 27 Apr 2026 13:23:52 GMT

Circuit Court Ruling Challenged

The CTA, enacted in 2021, requires specified entities — including many small businesses — to report personal information about their “beneficial owners” to Treasury’s Financial Crimes Enforcement Network (FinCEN). The law is aimed at layered corporate structures that facilitate money laundering, fraud, trafficking, and other illicit activities.

However, entities subject to the CTA’s reporting rules have brought constitutional challenges in courts around the country. NSBA prevailed at the district court level, with the U.S. District Court for the Northern District of Alabama ruling that the CTA is unconstitutional because Congress exceeded its authority by regulating the “non-commercial act of incorporation.”

To dig deeper, visit the original article on the Thomson Reuters blog.

House GOP Calls for IRS, SEC Funding Cuts, Demands Resolution on Corporate Transparency Act

Nageshwaran Gopal — Mon, 20 Apr 2026 15:20:07 GMT

The House Appropriations Committee released a bill to fund IRS, SEC, and certain other regulators in fiscal year 2027, calling for further cuts.

It would slash $1 billion from the IRS, with the deepest cut to enforcement.

The measure, likewise, would impose sharp cuts on the SEC compared to its current-year funding — though not as sharp as those the commission has itself supported under Chairman Paul Atkins — while abandoning some significant riders the appropriations panel had put forth last year. Missing from the bill this year is language targeting the FASB’s budget unless it withdraws its 2023 income tax disclosure rules.

The bill also would prohibit use of funds by the Financial Crimes Enforcement Network (FinCEN) until an interim rule exempting domestic entities from certain reporting requirements under the Corporate Transparency Act is finalized.

To dig deeper, visit the original article on the Thomson Reuters blog.

From tax returns to revenue: How AI scales advisory without adding staff

Nageshwaran Gopal — Mon, 20 Apr 2026 15:02:40 GMT

In this on-demand webinar, you'll learn how to:

Identify tax planning opportunities directly from client tax returns
Create professional, client-ready advisory proposals faster
Enable staff at all levels with guided, AI-powered implementation support
Expand advisory services without increasing staffing needs

To dig deeper, visit the original article on the Thomson Reuters blog.

What Rules Apply to 401(k) Plan Loan Repayments During a Participant’s Military Leave?

Nageshwaran Gopal — Mon, 20 Apr 2026 15:01:35 GMT

QUESTION: We have several 401(k) plan participants who have been called to active military service and would like to suspend their plan loan repayments during their military leave. Do the rules for suspending loan repayments during a regular leave of absence apply to military leave?

ANSWER: The rules for suspending loan repayments during a military leave of absence are broader and more flexible than for a regular leave of absence. For a regular leave, the maximum payment suspension period is one year, and the entire loan must be repaid within the maximum permissible term (five years, for loans other than those for a principal residence). For a military leave, however, your 401(k) plan may permit suspension of loan repayments for the entire period of the military leave even if that period exceeds one year, and the term of the loan may be extended to the maximum permissible term of the loan plus the period of military leave. But it is important to remember that interest on the outstanding loan would continue to accrue during the military leave suspension period.

To dig deeper, visit the original article on the Thomson Reuters blog.

DOL Removes 2024 Investment Advice Fiduciary Regulations to Implement Court Rulings

Nageshwaran Gopal — Mon, 30 Mar 2026 15:04:13 GMT

The DOL has formally withdrawn its 2024 regulations regarding the ERISA fiduciary status of persons rendering “investment advice” for a fee with respect to “moneys or other property” of an employee benefit plan. Under the 2024 regulations, investment recommendations directed to specific investors were ERISA investment advice if the advisor (1) regularly provided professional investment recommendations in a manner suggesting that they were tailored to an investor’s specific circumstances and reflected professional judgment intended to advance the investor’s interests; or (2) represented or acknowledged acting as an ERISA fiduciary with respect to the recommendations. When the regulations were issued, the DOL also amended a previously issued prohibited transaction exemption, PTE 2020-02, regarding rollover advice. Shortly thereafter, however, two federal trial courts placed a hold on the 2024 regulations and the related PTE amendments.

To dig deeper, visit the original article on the Thomson Reuters blog.

House Committee Advances Bipartisan Tax Bills

Nageshwaran Gopal — Mon, 30 Mar 2026 15:02:55 GMT

Survivor Justice Tax Prevention Act

H.R. 2347, headed up by Representatives Lloyd Smucker (R-PA) and Gwen Moore (D-WI), would revise the treatment of damages received by sexual assault survivors. It would do so by amending IRC § 104(a)(2), which currently allows damages received on account of physical injuries to be excluded from gross income, to also allow exclusion for sexual-assault related damages.

Smucker explained that the bill “corrects a provision in the law that can treat physical injury differently than sexual assault.” He added that the change “provides victims of sexual assault greater tax certainty without forcing them to fight with the IRS and relive the trauma of their case.”

To dig deeper, visit the original article on the Thomson Reuters blog.

Clean Energy Sector ‘Scrambling’ to Keep Up With OBBB Foreign Entity Rules

Nageshwaran Gopal — Tue, 17 Mar 2026 11:23:22 GMT

Foreign Entities of Concern

FEOC rules are generally a set of restrictions designed to prevent entities with ties to foreign adversaries from benefiting from U.S. clean energy tax credits. This concept was present in a more limited form under the Inflation Reduction Act (IRA), applying exclusively to the Clean Vehicle Credit under IRC § 30D by making a vehicle ineligible if its battery components or critical minerals were sourced from a FEOC. Laubenstein noted the IRA’s narrower scope rendered the FEOC rules “kind of an afterthought” for the broader energy industry.

The OBBB, however, expanded these restrictions to a host of new and modified energy credits, including the clean electricity production credit under IRC § 45Y, the investment credit under IRC § 48E, and the advanced manufacturing production credit under IRC § 45X. This expansion brought the issue of foreign sourcing “front and center” for the entire clean energy industry.

To dig deeper, visit the original article on the Thomson Reuters blog.

Expectations vs reality: Why great tax advisory relationships start with context

Nageshwaran Gopal — Tue, 17 Mar 2026 11:22:42 GMT

How moving from "quick questions" to context-driven conversations transforms tax advisory relationships and why understanding this distinction matters more than ever.

Highlights

Context-driven conversations are essential for bridging the gap between client expectations and effective tax advisory outcomes.
Quick tax questions often require deeper analysis, regulatory considerations, and detailed client context to answer accurately.
Building strong advisory relationships relies on transparent communication, clear scope, and proactive engagement from both clients and advisors.

To dig deeper, visit the original article on the Thomson Reuters blog.

How the Latest CAMT Guidance Impacts the R&E Deduction

Nageshwaran Gopal — Tue, 03 Mar 2026 15:41:14 GMT

An ‘Unanticipated’ Interaction

Under the Tax Cuts and Jobs Act, as of 2022 certain R&E expenditures were required to be capitalized and amortized ratably over 5 years (15 years for foreign research) under IRC § 174. The OBBB reversed course, adding IRC § 174A and allowing an immediate deduction for domestic R&E expenditures paid or incurred in 2025 or later.

The OBBB also provided three options for taxpayers with prior domestic R&E expenditures:

deduct the entire unamortized amount in 2025,
deduct the unamortized amount ratably over the 2025 and 2026,
or continue to amortize the costs over the remainder of the original five-year period.

To dig deeper, visit the original article on the Thomson Reuters blog.

A Tale of Two Above the Line Deductions

Nageshwaran Gopal — Tue, 03 Mar 2026 14:55:37 GMT

The One Big Beautiful Bill Act (“the 2025 Act”), introduced several important modifications to increase charitable contribution deductions for individuals. The most impactful change being the reinstatement and permanent expansion of the above-the-line charitable contribution deduction for individuals. In addition, the 2025 Act created an itemized deduction for educator expenses in addition to the existing $300 above-the-line deduction for unreimbursed out-of-pocket classroom expenses.

For decades, the deduction for charitable contributions has incentivized individual taxpayers to support non-profit and community organizations. Under prior law, shaped by the Tax Cuts and Jobs Act (“TCJA”) and temporary provisions of the CARES Act during the pandemic, individual taxpayers could only deduct qualified charitable contributions if they itemized deductions on Schedule A of their returns. However, TCJA’s large increase to the standard deduction for individuals significantly reduced the number of individual taxpayers who itemized deductions, so that they no longer benefited from the charitable deduction on Schedule A. The CARES Act introduced an above-the-line deduction for charitable contributions in cash up to $300 for non-itemized filers, but that deduction expired for tax years after 2021.

To dig deeper, visit the original article on the Thomson Reuters blog.

‘Very Few Will Read a 200-Page PDF’: GASB Shifts to Short Videos for Elected Officials

Nageshwaran Gopal — Tue, 03 Mar 2026 14:53:31 GMT

Chair Joel Black says the Governmental Accounting Standards Board (GASB) is about to launch a 16-part video series designed to help elected officials make sense of the sprawling government financial reports they’re asked to vote on.

Speaking during a Financial Accounting Foundation Oversight Committee meeting on February 20, 2026, Black framed the project as part of GASB’s education mission—and as a response to a practical reality: many policymakers are not going to read lengthy guidance documents to decode lengthy annual reports.

To dig deeper, visit the original article on the Thomson Reuters blog.

Trump’s $10B IRS Suit Over Tax Data Leaks Raises Legal Issues

Nageshwaran Gopal — Mon, 16 Feb 2026 14:20:01 GMT

President Donald Trump, along with his two eldest sons and the Trump Organization, have filed a lawsuit against the IRS and the U.S. Department of the Treasury seeking at least $10 billion in damages for the unauthorized disclosure of their confidential tax returns, a move that has drawn skepticism from former government officials.

The January 29 complaint comes in the wake of the criminal conviction of former IRS contractor Charles Littlejohn, who is serving a five-year prison sentence for leaking the tax data of thousands of Americans to news organizations.

To dig deeper, visit the original article on the Thomson Reuters blog.

CPAs Urge IRS to Retain Full Workforce During Possible Shutdown

Nageshwaran Gopal — Mon, 02 Feb 2026 14:48:03 GMT

Another Shutdown Would Be ‘Exponentially More Detrimental’

In its Thursday letter to Treasury Secretary Scott Bessent and IRS Chief Executive Officer Frank J. Bisignano, the AICPA stated that the consequences of a shutdown during the current filing season would be catastrophic. “The negative impacts experienced during prior government shutdowns could be exponentially more detrimental to our tax system if experienced during the current filing season, thus causing substantial harm to taxpayers and resulting in backlogs that the IRS has not experienced since the pandemic,” wrote Cheri H. Freeh, chair of the AICPA Tax Executive Committee.

The letter expresses deep concern that taxpayers and practitioners may face “significant harm and overwhelming challenges” if the IRS operates with only a fraction of its workforce. This warning echoes a similar letter sent on September 29 ahead of the most recent shutdown, in which the AICPA cautioned that “operating with a fraction of its workforce during a government shutdown would result in a huge strain on taxpayers and practitioners.”

To dig deeper, visit the original article on the Thomson Reuters blog.

Watchdog Concerned About IRS Filing Season Readiness

Nageshwaran Gopal — Mon, 02 Feb 2026 13:50:19 GMT

The Treasury Inspector General for Tax Administration (TIGTA) is concerned that the IRS may not be ready for the 2026 filing season, even after approvals to hire 5,700 new employees for Submission Processing and Accounts Management functions.

A January 26 memo to the IRS commissioner warned that agency hires as of late December were far short of those authorized. Changes to the hiring process and last year’s shutdown delayed onboarding these new employees, said TIGTA. Beyond that, the memo cautions that modernization efforts meant to offset some of the last year’s staffing reductions may not be far enough along to impact the current filing season.

To dig deeper, visit the original article on the Thomson Reuters blog.

Minnesota Issues 2022 and 2023 Nonconformity Guidance

Nageshwaran Gopal — Mon, 02 Feb 2026 13:39:44 GMT

Taxpayers Amending 2022 and 2023 Federal Returns Due to H.R. 1

If a taxpayer amended their 2022 or 2023 federal return solely due to H.R. 1 and their Minnesota tax remains unchanged due to nonconformity to the federal changes, the taxpayer must send a letter explaining the impact.

The letter should include the following information:

The date the taxpayer amended their federal return.
For businesses, their Federal Employer Identification Number and Minnesota Tax ID Number.
For individuals, their Social Security Number.
The impacted tax years and the reason for the amendment.
The specific section of H.R. 1 that impacted the taxpayer’s federal return.
A clear explanation of why the federal adjustment does not change the taxpayer’s Minnesota tax.

Taxpayers should send the letter to: Minnesota Department of Revenue, 600 Robert St N, Mail Station 4110, St. Paul, MN 55146-4110.

To dig deeper, visit the original article on the Thomson Reuters blog.

CFPB Advisory Opinion Clears Path for Employer‑Integrated EWA, Setting Stage for Wider Adoption in 2026

Nageshwaran Gopal — Mon, 19 Jan 2026 13:41:12 GMT

What the CFPB said—and why it matters

Published in the Federal Register on December 23, 2025, the opinion defines “Covered EWA” programs and confirms that optional expedited delivery fees and voluntary tips are generally not treated as finance charges under Regulation Z when the model meets the criteria, while formally withdrawing a 2024 proposal that leaned toward treating many EWA models as credit.

Legal analysts note the Bureau’s emphasis on repayment via payroll deduction, access capped at verified earned wages, non‑recourse to workers if payroll shortfalls occur, and no credit underwriting—a shift back toward the CFPB’s 2020 view and away from the 2024 interpretive stance.

To dig deeper, visit the original article on the Thomson Reuters blog.

Loper Bright Has Not Yet Led to an Anti-Reg ‘Tsunami,’ Legal Experts Say

Nageshwaran Gopal — Mon, 19 Jan 2026 13:40:28 GMT

Leading tax and administrative law experts unpacked evolving regulatory challenges following the Supreme Court’s landmark decision in Loper Bright, which overruled the long-standing Chevron doctrine.

At the 2026 D.C. Bar Tax Conference January 8, a panel explored the practical impact of the decision on tax litigation, the resurgence of the Skidmore standard of review, and how government agencies and practitioners are adapting.

To dig deeper, visit the original article on the Thomson Reuters blog.

How corporate trade and tax professionals can be smart about product classification

Nageshwaran Gopal — Mon, 19 Jan 2026 13:38:23 GMT

How AI accelerates product classification in a volatile tariff environment

There have been numerous reports about situations where a misclassified HS code has triggered millions of dollars in customs penalties and significant supply chain delays for major importers. Your products face the same risk.

Navigating tax codes across multiple jurisdictions is already complex. Now add volatile tariffs, reciprocal trade policies, and daily regulatory changes. Classification has become a high-stakes operation where a single error cascades into substantial fines, shipment rejections, and lengthy refund battles.

To dig deeper, visit the original article on the Thomson Reuters blog.

OBBB Enhancements to Qualified Small Business Stock Rules

Nageshwaran Gopal — Tue, 09 Dec 2025 19:35:15 GMT

The One Big Beautiful Bill Act (OBBB) enhanced the federal tax exclusion for certain gain from qualified small business stock under IRC § 1202, with the aim of encouraging investment. One expert discussed how small businesses are responding – including via potential entity changes.

Qualified Small Business Stock Exclusion

Under § 1202, noncorporate taxpayers holding qualified small business stock can exclude from gross income a percentage of any gain realized on the sale or exchange of that stock. The specific percentage to be excluded depends on stock acquisition date and the length of time the taxpayer held the stock.

To dig deeper, visit the original article on the Thomson Reuters blog.

House Passes Two Taxpayer Protection Bills

Nageshwaran Gopal — Tue, 09 Dec 2025 19:22:54 GMT

The House passed two bipartisan bills aimed at strengthening taxpayer rights on December 1 – the Fair and Accountable IRS Reviews (FAIR) Act and the Tax Court Improvement Act.

The bills, which received overwhelming support, attempt to improve IRS and Tax Court procedures. Both bills advanced out of the House Ways and Means Committee with unanimous support back in September.

To dig deeper, visit the original article on the Thomson Reuters blog.

The Safer Walkway I Didn’t Expect to Love

illuminations canada — Sat, 18 Oct 2025 09:39:49 GMT

Light isn’t just pretty—it’s practical. I used to trip over my garden path at night, frustrated by how unsafe it felt. That’s when I explored outdoor landscape lighting services, and the difference was instant. Not only did it look beautiful, but the path became easy to navigate, even on dark winter evenings. What started as a safety fix became one of my favorite features of the house. Sometimes, beauty and practicality go hand in hand in ways you don’t expect.

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Getting staff buy-in for new tax firm tech: A guide for your team

Neil Vicente — Mon, 06 Oct 2025 13:40:12 GMT

Rolling out new tax technology can be a turning point for your firm — streamlining workflows, improving accuracy, and enhancing client service. But the real challenge isn’t the software itself — it’s getting your team on board.

Without staff engagement, even the most sophisticated tools risk becoming underused and undervalued.

This white paper explores how to build genuine buy-in across your firm, turning potential resistance into momentum and ensuring your investment delivers lasting results.

To dig deeper, visit the original article on the Thomson Reuters blog.