SEC Tax Services

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As the SEC continues to refine and issue new guidelines, companies are required to properly analyze, document and disclose financial information. Our team of former “Big Four” CPAs work with our clients and their external auditors to meet the requires for proper financial statement disclosure.

FAS 109-Accounting for Income Taxes

The objectives of accounting for income taxes are to recognize (a) the amount of taxes payable or refundable for the current year and (b) deferred tax liabilities and assets for the future tax consequences of events that have been recognized in an enterprise's financial statements or tax returns.

Accounting for Income Taxes under the Financial Accounting Standards Boards may seem a simple concept but in practice, a technical and often times difficult computation. Managing FAS 109 to properly report both deferred and permanent tax differences can be a daunting task. The complexities are compounded with the introduction of SOX 404, FIN 48, reportable transaction and other financial and tax driven changes. Additionally, public companies must now either complete the analysis and work internally or outsource it to a firm other than their independent auditor.

At Acena Consulting, our team of former Big Four Tax professionals has worked with hundreds of public and privately-held companies. International issues, timing difference, changes in tax law and dissecting the intricacies of international taxes versus financial statement reporting are a daily task for our professionals. Let our team help you manage your FAS 109 analysis and reporting in an efficient and cost effective manner.

For more information, please contact us at SECTAX@acenaconsulting.com

FIN 48-Accounting for Uncertainties in Income Taxes: An Interpretation of FASB Statement No. 109

The objectives of FIN 48 are to clarify the uncertainty in accounting for income taxes recognized in an enterprise’s financial statements in accordance with FASB Statement No. 109, Accounting for Income Taxes. 

The goals of financial statement disclosure and taxation will always be different. Yet, because the amount of taxes paid by a company are dependent upon their taxable income and impact financial statements and financial income, proper reporting is critical to financial statement disclosure. Some taxes are paid today, others may be deferred for many years due to various tax regulations, positions taken on a tax return or structures set up by the company to minimize the taxes they pay. Recognizing these complexities, FIN 48 attempts to give companies guidance on how to properly recognize and account for these tax issues on their financial statements.

Under these new guidelines, a new standard, more-likely-than-not, was introduced and require a two-step approach to analyzing each individual tax position taken by a company. The process requires quantifying the potential impact to the company assuming all parties had full knowledge of all facts of each tax position.

At Acena Consulting, our team of former Big Four tax professionals has worked with hundreds of public and privately-held companies. International issues, timing difference, changes in tax law and dissecting the intricacies of international taxes versus financial statement reporting are a daily task for our professionals. Let our team help you manage your FAS 109 analysis and reporting in an efficient and cost effective manner.

For more information, please contact us at SECTAX@acenaconsulting.com

SFAS 123R-Share Based Payments

SAFS 123R was issued in December 2004 by the FASB to address the accounting for transactions that involved equity compensation issues and the exchange for goods and services. SFAS generally requires that a fair value methodology is used to account for these transactions and eliminates the ability to account for share-based payments under the intrinsic value method (APB Opinion 25).

Acena Consulting works with our clients to properly address and account for compensation arrangements on their financial statements under SFAS 123R.

For more information, please contact us at SECTAX@acenaconsulting.com.