As we go through life, stressful situations happen. Starting a new job is one of the most stressful situations we will face, but there are ways to turn that stress or anxiety into productivity. Use these tips to turn this or any stressful situation into a positive one. Find Balance There is a lot of change that comes with a new job. Suddenly you’re learning how to communicate with new coworkers and a new boss, navigating a new commute, ... more
PPP Update: Deductibility of Eligible Expenses on California Returns
California Governor Gavin Newsom signed Assembly Bill 80 (AB 80) on April 29, 2021 to allow certain businesses to deduct their eligible expenses that were paid with forgiven Paycheck Protection Program (PPP) loans. Prior to this new legislation, California did not allow a tax deduction of eligible expenses paid with forgiven PPP loan funds. California did not conform to the federal law that was enacted on December 27, 2020 as part of the ... more
Modern Workplace Etiquette
Workplaces are becoming casual and employers are eager to showcase their relaxed culture with new or potential hires. Offices have ditched professional attire to allow employees to wear casual clothing all week long, not just on specific days of the week. Leadership teams are also becoming more accepting of varying work schedules, allowing employees to create a personal and work-life balance. This flexibility leads to a casual work environment ... more
IRS Extends 2020 Individual Federal Return Filing Due Date
On March 17, 2021, the IRS announced that the federal individual income tax filing due date for 2020 returns will be automatically extended from April 15, 2021 to May 17, 2021. Formal IRS guidance will be issued shortly. The extended due date also applies to the tax payment due with the individual return. No interest or penalties will accrue for tax payments that were due on April 15, 2021 if they were paid by May 17, 2021. However, any required ... more
How to Use LinkedIn Effectively
When was the last time you updated your LinkedIn profile? It’s important to regularly update your profile and check-in with your followers, not just when you’re looking for a job. An up-to-date profile is a reflection of who you are and the organization you work for, and can also be used as an effective business development tool. Optimize your LinkedIn profile by making sure it’s up-to-date, by connecting with others in your industry and engaging ... more
Develop Your Career with Professional Communication
Whether you’re applying for a new job, just starting off in your career or are an established professional, the way you communicate matters. Written communication can become sloppy and unprofessional if we aren’t careful. Here are a few tips to ensure you’re communicating professionally within the work place or when applying for a new position. Email Etiquette Professionals consistently communicate through email in the workplace. Emails can be ... more
Business Energy Credit Impacted by the Consolidated Appropriations Act
The Consolidated Appropriations Act of 2021 (CAA), signed into law by President Trump on December 27, 2020, included extenders to extend tax provisions related to various energy credits. One of the extended credits is the business energy credit under Internal Revenue Code Section 48(a) for solar property. Credits for solar property are commonly seen in connection with the construction and rehabilitation of low-income housing tax credit (LIHTC) ... more
Consolidated Appropriations Act Changes the ADS Depreciable Life
The Consolidated Appropriations Act, 2021 (CAA), signed into law on December 27, 2020 by President Trump, included provisions that shorten the depreciable life under the Alternative Depreciation System (ADS) for pre-2018 residential real estate for an IRC Sec. 163(j)(7)(A)(ii) electing real property trade or business. For residential real estate placed in service prior to January 1, 2018, the ADS depreciable life was 40 years. CAA changes the ... more
Temporary Relief for Late-leased Units in LIHTC Projects
Notice 2021-12 released by the Internal Revenue Service on January 15, 2021 provided various extensions and modifications to the requirements for low income housing tax credits under Internal Revenue Code (IRC) Section 42. Please refer to our earlier blog, IRS Notice 2021-12 Provides LIHTC Relief and Extends Deadlines. One modification in Notice 2021-12 that will affect the treatment of units that weren’t leased by the end of the first credit ... more
IRS Notice 2021-12 Provides LIHTC Relief and Extends Deadlines
The Internal Revenue Service issued Notice 2021-12 on January 15, 2021 to grant relief and to extend deadlines for various Low-Income Housing Tax Credit requirements. Here is a summary of the relief and extensions. Operational relief for the period from April 1, 2020 to September 30, 2021: Building owners are not required to perform income re-certifications. Owner must resume re-certifications no later than October 1, 2021. State housing ... more
Paycheck Protection Program (PPP), Round 2
On December 27, 2020, the Consolidated Appropriations Act, 2021 (CAA) was signed into law. It contains extensions and expansions of the Paycheck Protection Program (PPP), a program included in the Coronavirus Aid, Relief and Economic Security (CARES) Act that allows eligible employers to obtain forgivable loans for certain payroll and non-payroll purposes. The PPP loan application period had ended on August 8, 2020. CAA now authorizes an ... more
The Importance of Being Organized at Work
A lack of organization can be a real problem in the workplace. It can affect your productivity levels, and hinders your professional appearance to colleagues and clients. It isn’t just about your professional reputation; implementing daily habits to remain organized can have a positive impact on your overall health and well-being. Feeling unorganized can produce unnecessary work-related stress which, as a result, sacrifices the quality of product ... more
How to Ace Your Next Interview
Do Your Homework With an interview in place, it’s now time to learn as much about the firm and position as possible. Gathering background information allows you to tie your qualifications back to the firm during your interview. The employer will expect you to know a few things about the firm and if you will fit in well with their culture. Your research should help you answer questions like “Why do you want to work here?” and “What do you know ... more
Employers: Register for the CalSavers Retirement Program
The California State Treasurer’s office has begun sending email reminders to California employers to register for the CalSavers Retirement Savings Program (CalSavers). CalSavers was passed into law in 2016. California employers with five or more employees, and at least one of whom is age 18 or over, are required by state law to participate in CalSavers if they do not offer an employer-sponsored retirement plan. Employers are required to ... more
COVID-19 Relief Bill Includes 4% Housing Credit Floor Rate
The passage of the new COVID-19 relief bill (Consolidated Appropriations Act, 2021) by Congress on December 21, 2020, which was signed into law by President Trump on December 27, 2020, includes legislation that amends Internal Revenue Code Section 42. This new bill sets a minimum 4% housing credit rate for new and existing buildings that are not eligible for the 9% housing credit floor rate. The 4% housing credit rate applies to: 1. ... more
COVID-19 Relief Bill Clarifies Deductibility of Expenses Paid with PPP Loans
On December 21, 2020, Congress finally passed a new COVID-19 relief bill (Consolidated Appropriations Act, 2021) which President Trump signed into law on December 27, 2020. The bill includes clarification of the deductibility of certain eligible expenses paid with forgiven Paycheck Protection Program (PPP) loans. The bill now permits taxpayers who receive PPP loan forgiveness to deduct the eligible expenses that were paid with the forgiven PPP ... more
How Social Media Impacts your Career
Social media is a widely popular tool for employees and job seekers to post about professional accomplishments, accreditations and even volunteer activities. Unfortunately, an outdated social media account could cost you an interview or hinder your chances of getting a job. Are your social media channels outdated? If so, it’s a good idea to clean them up for your job search and for your professional career in general. Check out these tips to ... more
New IRS Guidance: Non-Deductibility of Expenses Paid with PPP Loans
The Paycheck Protection Program (PPP) created under the Coronavirus Aid, Relief, and Economic Security (CARES) Act provides loan funds to small businesses in order to help them pay eligible expenses (payroll costs, mortgage interest, rent, and utilities). These covered loans are to be fully forgiven and not to be treated as income to the loan recipients as long as the loans are used to pay eligible expenses. While it was clear that a ... more
Nonprofit Purchasing Policy Considerations
Nonprofits have a multitude of compliance standards to juggle, and constructing a comprehensive nonprofit purchasing policy is no exception. Maintaining tax-exempt status requires adherence to very specific behaviors, and written policy should be reviewed periodically to ensure your organization meets or exceeds standards. Under the new procurement standards, all NPOs receiving federal awards must have a written procurement policy that outlines ... more
Big CPA Firm or Local Firm: Which Career Move is Best For You?
After years of late nights, hitting the books to earn your degree while doling out an unfathomable amount of money to pay for that education, you are finally ready for your first career position in accounting. Now what? Perhaps you’ve already passed a couple of parts of your CPA exam and are on your way to being licensed. Or maybe not. Instead, perhaps you prepared a few tax returns or participated in auditing a company while apprenticing at an ... more
Webinar Round-Up: Risk Identification Matrix Unveiled
S. Scott Seamands, partner at Lindquist von Husen & Joyce, LLP, and Julie Goldfine, COO/CFO at Mutual Housing California, revealed a risk identification matrix currently under development by our firm that serves as an information network for financial learning in the nonprofit affordable housing industry. After years of interviews and discussions with CFOs about their approach to risk, we are creating this comprehensive tool designed to help ... more
The Evolution of a CPA’s Career
The skills a CPA needs at the beginning of their career shifts over the years and depends heavily on the path chosen. Let’s a take a look at that shift as a CPA career progresses. Early Stages of a CPA’s Career In the beginning of a CPA’s career, the skills and expertise are developing and growing. It can seem a bit intimidating when you’re just getting started but there’s no need to panic. Just set a few goals to achieve each year and in just ... more
Pandemic Heightens Sustainable Affordable Housing Efforts
Since the PATH Act in 2015, no major federal legislation has come about to address massive shortages in affordable housing across the U.S. While the House and Senate introduced many bills since then, legislation seems to die in committee or across the aisle. Much more legislation is enacted at the state level, but we know that new affordable housing can be a tough sell at the neighborhood level. There is still a public perception that ... more
Five Ways to Add Inspiration to Your Accounting Career
Like anything in life, a career ebbs and flows. You go through stages where you feel invincible and ready to take on the world, but there are also those times where you may feel like you don’t have the same fire as when you started out. These are the times when being creative and proactive can add some fresh inspiration into your accounting career. Connect with a mentor or become a mentor No matter what stage you are at in your career, a mentor ... more
How Affordable Housing Really Happens: Finance + Community
An article last fall in the New York Times demonstrated what billions can and can’t do to bring about more affordable housing in a large metropolitan area. It can’t, for example, convince community groups to allow development in their neighborhoods or local government leaders to support it. Money alone also can’t ensure that a deal is properly structured to support sustainable affordable housing. Citing efforts by tech giants Apple, Google and ... more
FASB Updates Post COVID
As a result of COVID-19 and the disruption it is causing, FASB has issued an Accounting Standards Update (ASU) 2020-05, Revenue from Contracts with Customers (ASC 606) and Leases (ASC 842) Effective Dates for Certain Entities regarding deferral of effective dates for Revenue from Contracts with Customers and Leases. Revenue from Contracts with Customers (ASC 606) According to FASB, “The deferral of the effective date applies to private ... more
Pitfalls of Revenue Recognition for Nonprofits
One of the challenges many not-for-profit organizations face is determining whether or not revenue falls under the category of a contribution or exchange transaction. In some cases, it’s a pretty straight forward determination, but the waters can occasionally become a bit murky. In June 2018, the Financial Accounting Standards Board (the FASB) issued the Accounting Standards Update (ASU) 2018-08, Clarifying the Scope and the Accounting Guidance ... more
SBA Revises Forms for PPP Loan Forgiveness, Including New EZ Form
The Small Business Administration (SBA) has issued a revised Form 3508, Paycheck Protection Program (PPP) Loan Forgiveness Application. The SBA also released a streamlined PPP Loan Forgiveness Application, Form 3508EZ. The newly issued application forms were needed to address the changes brought upon by the PPP Flexibility Act (PPPFA) of 2020. Form 3508EZ This new three-page form reduces the documentation and calculations required to apply ... more
Webinar Round-Up: PPPFA Forgivable Loan Accounting
Partners S. Scott Seamands and Stanley Woo hosted our quarterly virtual affordable housing roundtable, along with our client Mutual Housing of California. We have hosted these quarterly roundtables since the early 1990’s but in the current environment the roundtables have become virtual meetings. This quarter we outlined the issues related to obtaining loan forgiveness and other aspects of the SBA Paycheck Protection Program (PPP). We also ... more
Paycheck Protection Program Flexibility Act of 2020
The Paycheck Protection Program Flexibility Act (PPPFA) was signed into law on June 5, 2020, to modify certain provisions related to the forgiveness of loans under the Paycheck Protection Program (PPP). One change allows recipients of loan forgiveness under PPP to also defer a portion of 2020 payroll taxes, but there are several other modifications. The following chart summarizes the key provisions compared to the original CARES Act ... more