Click Here for a free estimate!

25 East Spring Valley Avenue
Maywood, NJ 07607
1 (877) CPA-GOLD

Section 7216 – requesting client permissions

Post Image

By Rickard Jorgensen, FCII, ARM, ACIArb We would recently approached by a  policyholder about affirmative consent requirements imposed by IRS regulations under Internal Revenue Code section 7216. Under the code, a tax return preparer is subject to criminal penalties under section 7216 if the preparer “knowingly or recklessly” discloses or uses tax return information. A […]

Read More

Does failure to notify your insurer of a subpoena void your professional liability insurance coverage?

Post Image

By Rickard Jorgensen, FCII, ARM, ACIArb We have frequently been contacted by members of the CPAGold™ program for assistance to respond to a subpoena, either for documents or for testimony. In fact, the CPAGold™ policy provides a specific coverage extension a follows: 1.2.2     Subpoena Expenses We will pay on your behalf Defense Expenses approved by […]

Read More

The Statute of Limitations in Professional Malpractice

Post Image

Both Accountants and Wealth Advisers are “professionals” for the purpose of the various statutes of limitations. This means that firms’ decisions concerning document retention and the purchase of an extended reporting period can be heavily influence by a firm’s State of domicile (or the States where a firm practices).  The longest statute of limitation is […]

Read More

Engagement Letter Defense Rejected

Post Image

This month, guest blogger Seth L. Laver of Goldberg Segalla writes about a recent legal development concerning the use of engagement letters in the defense of accountants’ malpractice claims. ——————————————————————————————————————— We often write about the importance of engagement letters, in fact we have an entire sub-category devoted to engagement letter defenses. That’s because the engagement […]

Read More

Example Disengagement letters

Post Image

In a recent posting on the CPAFMA website there was a request for a specific template for client disengagement letter.  You may recall we blogged about the topic of client disengagement in 2018 (Go here). The following are two suggested templates for disengagement letters: a relative simple version aimed at individual clients from the AICPA […]

Read More

Security Policy for CPA firms – a template

Post Image

We have received several enquiries from members of the CPAGold™ program for help with a suggested wording for a Cyber Security Policy as required by the IRS rules. As you will be aware, there is a lot of information available about this topic.  One of the best white papers is Small Business Information Security: The […]

Read More

UP IN SMOKE IV – A Bill to end marijuana prohibition in the U.S. passes key committee

Post Image

Late last month a congressional committee approved a piece of legislation to end marijuana prohibition in the United States. According to a press release, the Marijuana Opportunity, Reinvestment, and Expungement Act, better known as The MORE Act (HR 3884), would remove marijuana from the Controlled Substances Act and impose a minor excise tax on the […]

Read More

Outsourcing – malpractice risk management perils concerning subcontractor’s indemnification provisions.

Post Image

by Rickard Jorgensen, FCII, ARM, ACIArb. We have received several inquiries from CPAGold™ members about QBE’s coverage position when it comes to the use of sub-contractors for the provision of professional services to clients. The CPAGold™ policy is comprehensive and contains a broad definition of who is covered via DEFINITIONS 8,28 wherein its states: 8.28 […]

Read More

Embezzlement 101

Post Image

By Rickard Jorgensen, FCII, ARM, ACIArb This month we thought you might find an article about employee theft from the perspective of the crime insurer, Hiscox Insurance. If you were to ask a group of business owners about the biggest risks they face, you’d probably get a lot of different answers. Some might say external […]

Read More

The future of privacy starts in California

Post Image

By Rickard Jorgensen, FCII, ARM, ACIArb You may recall the recent blog postings in connection with the CCPA in California: http://cpagold.com/2018/11/consent-armageddon-is-coming/ http://cpagold.com/2018/11/are-new-statutory-claims-covered-by-your-cyber-policy/ http://cpagold.com/2018/11/california-privacy-laws-gdpr-ii/ The California Consumer Privacy Act of 2018 ["CCPA"] is effective Jan. 1, 2019  will give Golden State residents the right to find out what a company knows about them and get it […]

Read More