Risk Management Archives

Corporate Transparency Act/ Beneficial Ownership Information Reporting — Risk Management Considerations for CPA Firms

July 17, 2023July 10, 2023 by Amber

A folder highlighted with the word "Reports"

The Corporate Transparency Act (“CTA”) was enacted January 1, 2021, as part of the National Defense Authorization Act, representing the most significant reformation of the Bank Secrecy Act and related anti–money laundering rules since the U.S. Patriot Act. The CTA is intended to address and guard against money laundering, terrorism financing, and other forms of … Read more

Claim Chronicles 123-B

July 11, 2023July 10, 2023 by Amber

A piece of paper that says "Paycheck Protection Program"

Topic: False Claims Related to PPP Loans The following Q&A with CAMICO Claims experts reflects recent claims experience involving potential false claims related to Paycheck Protection Program (PPP) loans issued (and forgiven) during the COVID-19 pandemic. Q: What concerns have CAMICO policyholders recently reported regarding some PPP loans? A: They have reported matters involving clients … Read more

Compliance with the Federal Trade Commission “Safeguards Rule”

July 17, 2023July 10, 2023 by Amber

The Gramm-Leach-Bliley Act (“GLBA”) was passed by Congress in 1999 with bi-partisan support. A component of the GLBA, its Safeguards Rule, was first established in 2003, and required organizations defined as “financial institutions” to establish measures to keep their customers’ private information secure. In accordance with GLBA provisions, the Federal Trade Commission (“FTC”) has authority … Read more

Implementing Sound Billing and Collection Practices

May 25, 2023May 25, 2023 by ssAdmin

A woman on a computer with a calculator next to her

Problems arising from billing and collections practices have often plagued CPA firms. By taking a few basic steps in the creation of a thoughtful billing and collections policy, firms can avoid or manage such problems. Further, those same steps will help firms improve the quality of their practices, attract a better client base, help generate … Read more

Common Misconceptions that CPAs Believe Why They Will Never Be Sued

January 26, 2023January 26, 2023 by Amber

Some CPAs believe that they will never be sued and therefore believe that they don’t need professional liability or other forms of insurance. The reasons for this position vary, but some common ones include, “I don’t make mistakes,” “All of my clients are friends,” or “I do tax work only.” The problem with this approach … Read more

Claim Chronicles 122

January 11, 2023January 6, 2023 by Amber

Topic: Voluntary PaymentsServices: Tax Return Prep, Submission Claim 1: Peter Thompson of A6 Accounting Services received a letter from the state of Michigan advising him that an audit had been performed on his client’s 2021 tax return, and that penalties of $2,888 and interest of $11,679 were assessed. Thompson’s client owns a boat rental company … Read more

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