Accounting Today - July 2011

OFFSHORE DISCLOSURE P.20

FIRM OF THE FUTURE P.35

Our tax columnists on the latest changes to the IRS’s

2011 Offshore Voluntary Disclosure Initiative

MOBILE COMPUTING P.30 Case studies of four ;rms exploring the latest tools for marketing, client service and more

The next great ;rms will know what their staff know — and how to put a price on it.

Expand any way you can Firms pursue both geographical and vertical expansion

Target:

CPAs

Liability claims and cases are on the rise Accountants today face much more risk today than they did even ;ve years ago.

BY ROGER RUSSELL

BY BILL CARLINO

As if running a CPA ;rm didn’t pose enough wrenching decisions for owners and managing partners on an almost daily basis, selecting a suitable frame work for expansion has traditionally added to the litany of leadership headaches. While the importance of strategic gro wth for survival and pro;t-ability is inarguable, constrained resources, a less-than-stellar economy and pressures on client fees and margins often dictated whether CPA ;rms pursued a geographical or vertical expansion avenue.

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See page 6 t andTaxWisebyCCH,TaxWorks d i o tion,thedealwasseenaspoten- andmarginsoftendictatedwheth- “Inalmosteverycase,CPAsare G

THE PERILS AND PITFALLS OF STARTING YOUR OWN FIRM —

And according to Bill ;ompson, president of CPA Mutual Insurance Co. of America, there are a number of reasons behind that increase in risk. “Since 2000, judges have been less likely to throw out cases against CPAs than they once were,” he explained. “Fewer motions for summary judgment are granted, and judges seem to require additional discovery before making decisions on cases.”

AND HOW ATLANTA CPA SAM LEVY BEAT THEM ALL

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Test drives for tax prep: 2011 summer bargains

“In almost every case, CPAs are required to perform an extensive amount of discovery before they can possibly reach a settlement,” he said. “Of course, this entails subpoenas, depositions, hiring expert witnesses, and countless hours of time.”

BY ROGER RUSSELL

Even though some say that tax season never ends, the summer is traditionally the time when software manufacturers o;er tryouts, early renewals and promotional pricing, and when practitioners have the opportunity to try something new.

the Tax Code and tax legislative changes mean that taxpayers will continue to rely on professional preparers, which in turn should boost the profession and help stabilize the software market.

lawsuit filed in May. Although Tax ACT produces a professional package as well as a consumer edition, the deal was seen as potentially damaging to the strength of the do-it-yourself market.

;ompson cited the claims history of CPA Mutual, comparing

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SPECIAL REPORT

Meanwhile, the complexity of

;ere continues to be a contraction in the number of independent makers of tax preparation software, as a result of acquisitions of small-

er companies by the dominant manufacturers.TaxRelieffrom AccountantsWorld and Package Ex from ExacTax were discontinued when purchased by ;omson Reuters, and Sage Software’s CPA Tax Manager was discontinued when the company entered an alliance with CCH ProSystem fx for its tax prep customers.

Following are manufacturers with special summer tryouts and discounts.

More recent purchases of ATX and Tax Wise by CCH, Tax Works by H&R Block, and TaxSimple by Thomson Reuters have ensured these companies’ continued existence for the foreseeable future. The Justice Department is currently seeking to stop the proposed purchase by H&R Block of 2nd Story Software, the maker of TaxACT software, in an antitrust

CCH, A WOLTERS KLUWER BUSINESS

(800) 739-9998 http://cchgroup.com ProSystem fx Of;ce Suite

Evaluation software is available for tryout for ProSystem fx Suite, including ProSystem fx Tax, Engagement, Practice, Fixed Assets, Trial

2011 TOP FIRMS

BY AUM

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