Audit & Assurance

We provide an unbiased look at your financial and operational situation with our Audit and Assurance services for nonprofit and privately held organizations.

Audit & Assurance Services include:

  • Audits, reviews and compilations
  • Financial statements—audits, reviews, compilations
  • Agreed upon procedures
  • Internal audits
  • Internal policies assurance
  • Retirement plan audits
  • Audit committee consulting
  • Forecasts and projections

Specialization
We offer specialized audit and assurance teams with in-depth experience in affordable housing, nonprofit organizations, financial institutions, healthcare providers and retirement plans.

Quality
We are committed to the highest standards in performing quality audits. Our commitment to quality and to the profession is illustrated by our participation as a reviewer in the American Institute of CPAs Peer Review Program.

 

We are proud to hold membership in the top industry assurance organizations:

American Institute of Certified Public Accountants

The AICPA represents the CPA profession nationally regarding rule-making and standard-setting, and serves as an advocate before legislative bodies, public interest groups and other professional organizations.

Governmental Audit Quality Center

The GAQC promotes the importance of quality governmental audits and the value of such audits to purchasers of governmental audit services.

Center for Audit Quality

The CAQ is an autonomous public policy organization dedicated to enhancing investor confidence and public trust in the global capital markets.

Employee Benefit Plan Audit Quality Center

The EBPAQC is a voluntary membership organization for firms that perform ERISA employee benefit plan audits, established to promote the quality of employee benefit plan audits.

“Accounting is really about people and building rewarding relationships.”

— Fritz Duncan, CPA, Partner & Shareholder

Audit & Assurance Team


Fritz Duncan, CPA

Fritz Duncan, CPA

Partner and Shareholder

Bio

Sara Hummel, CPA

Sara Hummel, CPA

Director of Quality Control

Bio

Evan Dickens, CPA

Evan Dickens, CPA

Partner and Shareholder

Bio

Jon Newport, CPA

Jon Newport, CPA

Partner and Shareholder

Bio

Kari Young, CPA

Kari Young, CPA

Senior Manager

Bio

Sarah Fantazia, CPA

Sarah Fantazia, CPA

Manager

Bio

Mathew Hamlin, CPA

Mathew Hamlin, CPA

Manager

Bio


Questions?

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Recent News

Real Estate Investor vs. Professional: Why it Matters

Real Estate Investor vs. Professional: Why it Matters

Income and losses from investment real estate or rental property are passive by definition — unless you’re a real estate professional. Why does this matter? Passive income may be subject to the 3.8% net investment income tax (NIIT), and passive losses generally are deductible only against passive income, with the excess being carried forward.

Of course the NIIT is part of the Affordable Care Act (ACA) and might be eliminated under ACA repeal and replace legislation or tax reform legislation. But if/when such legislation will be passed and signed into law is uncertain. Even if the NIIT is eliminated, the passive loss issue will still be an important one for many taxpayers investing in real estate.

“Professional” requirements

To qualify as a real estate professional, you must annually perform:

• More than 50% of your personal services in real property trades or businesses in which you materially participate, and

• More than 750 hours of service in these businesses.

Each year stands on its own, and there are other nuances. (Special rules for spouses may help you meet the 750-hour test.)

Tax strategies

If you’re concerned you’ll fail either test and be subject to the 3.8% NIIT or stuck with passive losses, consider doing one of the following:

Increasing your involvement in the real estate activity. If you can pass the real estate professional tests, the activity no longer will be subject to passive activity rules.

Looking at other activities. If you have passive losses from your real estate investment, consider investing in another income-producing trade or business that will be passive to you. That way, you’ll have passive income that can absorb some or all of your passive losses.

Disposing of the activity. This generally allows you to deduct all passive losses — including any loss on disposition (subject to basis and capital loss limitations). But, again, the rules are complex.

Also be aware that the IRS frequently challenges claims of real estate professional status — and is often successful. One situation where the IRS commonly prevails is when the taxpayer didn’t keep adequate records of time spent on real estate activities.

If you’re not sure whether you qualify as a real estate professional, please contact us. We can help you make this determination and guide you on how to properly document your hours.

 

© 2017

Operating Across State Lines Presents Tax Risks — or Possibly Rewards

Operating Across State Lines Presents Tax Risks — or Possibly Rewards

It’s a smaller business world after all. With the ease and popularity of e-commerce, as well as the incredible efficiency of many supply chains, companies of all sorts are finding it easier than ever to widen their markets. Doing so has become so much more feasible that many businesses quickly find themselves crossing state lines.

But therein lies a risk: Operating in another state means possibly being subject to taxation in that state. The resulting liability can, in some cases, inhibit profitability. But sometimes it can produce tax savings.

Do you have “nexus”?

Essentially, “nexus” means a business presence in a given state that’s substantial enough to trigger that state’s tax rules and obligations.

Precisely what activates nexus in a given state depends on that state’s chosen criteria. Triggers can vary but common criteria include:

• Employing workers in the state,
• Owning (or, in some cases even leasing) property there,
• Marketing your products or services in the state,
• Maintaining a substantial amount of inventory there, and
• Using a local telephone number.

Then again, one generally can’t say that nexus has a “hair trigger.” A minimal amount of business activity in a given state probably won’t create tax liability there. For example, an HVAC company that makes a few tech calls a year across state lines probably wouldn’t be taxed in that state. Or let’s say you ask a salesperson to travel to another state to establish relationships or gauge interest. As long as he or she doesn’t close any sales, and you have no other activity in the state, you likely won’t have nexus.

Strategic moves

If your company already operates in another state and you’re unsure of your tax liabilities there — or if you’re thinking about starting up operations in another state — consider conducting a nexus study. This is a systematic approach to identifying the out-of-state taxes to which your business activities may expose you.

Keep in mind that the results of a nexus study may not be negative. You might find that your company’s overall tax liability is lower in a neighboring state. In such cases, it may be advantageous to create nexus in that state (if you don’t already have it) by, say, setting up a small office there. If all goes well, you may be able to allocate some income to that state and lower your tax bill.

The complexity of state tax laws offers both risk and opportunity. Contact us for help ensuring your business comes out on the winning end of a move across state lines.

© 2017