The Natural State of Accounting - MEET ARCPA'S NEW CHAIRMAN
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The Natural State
of Accounting
Issue 4/April 2023
MEET ARCPA’S NEW
CHAIRMAN
Rocky Goodman
Term April 1, 2023-March 31, 2024
Page 6
Arkansas Society of Certified Public Accountants
1 April 2023
The Natural State of Accounting is published
monthly by the Arkansas Society of CPAs for
its members. Views and opinions appearing in
this publication are not necessarily the views
of the ARCPA. The products and services
advertised in the Natural State of Accounting
have not been reviewed or endorsed by the
ARCPA, its board of directors, or staff. Photo
& Media Disclaimer - By attending any ARCPA
event, participants understand that they may
ARCPA STAFF be photographed or videotaped and grant
MARSHA MOFFITT Executive Director/CEO the Arkansas Society of CPAs permission
ZHENGYU LI Director of Finance
to use them in a photograph, video, or other
digital media. This includes any and all of its
STEPHANIE TANNER Director of Education publications, including, but not limited to:
ROBIN HARRIS Director of Communications social media, web-based publications, or email
& Public Relations marketing. Should a registrant decide they do
WHITNEY MAYO Director of Membership not wish to be photographed or recorded during
& Marketing an event, they will make their wishes known to
ARCPA staff prior to the event.
ARCPA OFFICERS
GINA R. MORAN Chair
ROCKY W. GOODMAN Chair-Elect
GARY F. BECKWITH Vice Chair
JILL M. PIERCE Secretary GET PUBLISHED
DANE A. DOVER Treasurer
If you are interested in
STATEWIDE DIRECTORS submitting a column
ROBERT CHRISTIANSEN NATHAN M. NAILLING or feature to
The Natural State
PAULA M. KINNARD JOSEPH A. WHEELER
of Accounting
J. MICHAEL TUOHEY ELIZABETH M. KNIPSCHEER
monthly newsletter,
ANDREW D. ALMAND CHRISTOPHER W. BROWN please submit to
JACK CHAMI membership@arcpa.org.
11300 Executive Center Dr.
Little Rock, AR 72211-4352
501.664.8739, AR Toll free 800.482.8739
arcpa.org
Arkansas Society of Certified Public Accountants
2 April 2023
06 35
Meet ARCPA’s New Leadership
Chairman Conference
29
6 SECURE Act 2.0
Changes to Know in 2023
CONTENTS
MEMBER NEWS
04 Membership renewal - begins April 3rd
06 Rocky Goodman assumes Board Chair position
07 Welcome ARCPA 2023-24 Board of Directors
08 Board meeting recap
09 Mock CPA Exam
13 ARCPA Advocacy - Legislative breakfast recap
16 Welcome new society members
18 NASBA State Board Executive Directors/Legal Conference
20 IRS updates
26 AICPA leadership academy application
27 Members on the move
FEATURE ARTICLES
29 The 6 SECURE Act 2.0 changes to know in 2023
31 ERP is not a four-letter word
32 Restoring Exam credits expired during COVID would help address CPA shortage
33 Lessons for every CPA firm from public audit
CONTINUING EDUCATION
35 ARCPA Leadership Conference
36 2023 Summer Beach Conference
37 2023 Conference schedule
39 Accounting Educators Conference
Arkansas Society of Certified Public Accountants
3 April 2023
Thank you for being a member of ARCPA! ARCPA continues
to bring you the most value for your membership dollars.
We make it our top priority to provide you with relevant
opportunities to learn, grow, give back, and network, helping
you to advance your career toward success.
Members whose employers pay their dues by firm invoice
will not receive a statement.
Your continued commitment to ARCPA enables us to provide:
• Virtual & In-person Learning
• Networking Opportunities
• Legislative and Regulatory Updates
• Member Discount Programs
• And more….
Watch for emailed statements arriving April 3rd
CONTACT US
Phone: 501.664.8739 or 800.482.8739 (in Arkansas)
Email: membership@arcpa.org
Arkansas Society of Certified Public Accountants
4 April 2023
ARCPA Membership Value
As Arkansas’s premier professional home for CPAs
and accounting professionals, the mission of ARCPA
is to promote and engage its members for growth and
success through advocacy, education, networking, and
mentorship. The annual membership renewal period
is coming in April. Here are some of the ways YOU
benefit from investing in ARCPA and continuing your
membership with us.
ADVOCACY
ARCPA keeps you informed on legislative issues that impact you and the
accounting profession. Consider getting more involved and letting your voice
be heard by becoming a Legislative Key Contact.
EDUCATION
ARCPA provides a wide variety of course selections to meet all your
educational needs, many of which are offered in virtual and hybrid formats,
and at discounted member rates, including the annual IRS/DFA Liaison
Meetings. ARCPA also offers one-hour FREE virtual CPE every quarter,
and four hours of FREE CPE at the annual Leadership Conference. Look to
ARCPA first for all your educational needs!
MEMBER ENGAGEMENT
ARCPA provides many ways for members to Connect – through local Chapter
meetings, networking events at in-person conferences, committee meetings,
and the online forum ARCPA Connect.
DISCOUNT PRODUCTS AND SERVICES
ARCPA has partnered with companies like CPA Charge, CCH, Paychex, RIA
Tax Books, Standards Business Systems, UPS, and more to provide you with
discounts on products and services you use every day.
NEWS AND RESOURCES
ARCPA makes sure you stay up to date on the latest news and resources
related to the accounting profession.
Thank you for your continued support of the Arkansas Society of CPAs. For
questions about your member benefits, contact ARCPA at 501.664.8739 or
800.482.8739 (in Arkansas); or at membership@arcpa.org
Arkansas Society of Certified Public Accountants
5 April 2023
Rocky Goodman Assumes Board Chair Position
Term April 1, 2023- March 31, 2024
Rocky Goodman to lead ARCPA in 2023
Rocky W. Goodman becomes the 92nd Chair of the Board of Directors
on April 1. He joined the Arkansas Society of CPAs (ARCPA) in March
2008, shortly after becoming a licensed CPA. He served a two-year
term as Treasurer of the Board from 2018-2020 and rejoined the Board
in 2021 as Vice Chair. During his Board service, Rocky has served
on numerous Board committees including Finance, Policy, Strategic
Planning, Audit, and the Executive Committee. He also served on the
Federal Tax Institute and Taxation committees, as well as the society’s
Peer Review Committee before the society’s peer review administration
was transitioned over to the Alabama Society of CPAs (ASCPA) in 2019,
where he continues to serve on report acceptance bodies (RAB) for all
peer reviews administered by the ASCPA, and currently chairs one of the
RABs. Rocky is also a member of the American Institute of CPAs.
Rocky grew up in the Rose City area of North Little Rock. After graduating from high school, he attended
the University of Central Arkansas in Conway, eventually graduating from the University of Arkansas at Little
Rock. Upon obtaining his CPA license in 2008, he began working for the Little Rock firm of McIlroy, Keen &
Company, where he persevered and thrived, eventually being approached about becoming a partner in the
firm. Rocky joined the firm as a principal in 2012. Since that time, the firm has grown rapidly. In 2021, McIlroy,
Keen & Company joined three other firms around the state, forming Garland & Greenwood CPAs & Advisors,
PLLC, where Rocky serves as co-managing partner, predominately providing tax planning and services, as
well as assisting the A&A practice. He also provides peer review services for many Arkansas accounting
firms. The firm has locations in Little Rock, Hot Springs, Conway, Bentonville, and Jonesboro.
Outside of accounting, Rocky serves on the board of the Heights Neighborhood Association and is a member
of the Rotary Club 99 and the Downtown Little Rock Partnership.
Rocky and his wife, Jenni, also a CPA and member of ARCPA, live in Little Rock. They have two sons, Blake
and Phillip (who have officially flown the coop), and they have a new Golden Retriever pup, Tori. Rocky and
Jenni enjoy cooking and traveling together.
When asked about his goals and aspirations for his year as chair, Rocky said, “My goal for this year is for
CPAs around the state to know that the ARCPA is listening to them and their concerns. This Society is here
to serve every member, no matter how far from Little Rock, how small the firm, or if they work in industry or
education.” Rocky says, “We are stronger when all of us believe we are better together and are united in our
strive for excellence in our industry.”
Arkansas Society of Certified Public Accountants
6 April 2023
Welcome ARCPA Board of Directors
Officers and Directors Effective April 1, 2023
Rocky W. Goodman Gary F. Beckwith
Chair Chair-Elect
Term Expires March 31, 2024 Term Expires March 31, 2025
Deana A. Jill M. Dane A.
Infield Pierce Dover
Vice Chair Secretary Treasurer
Term Expires Term Expires Term Expires
March 31, 2026 March 31, 2024 March 31, 2024
Andrew D. Nathan M. Joseph A.
Almand Nailling Wheeler
Director Director Director
Term Expires Term Expires Term Expires
March 31, 2024 March 31, 2024 March 31, 2024
Elizabeth M. Christopher W. Jack
Knipscheer Brown Chami
Director Director Director
Term Expires
Term Expires Term Expires
March 31, 2025
March 31, 2025 March 31, 2025
A. Ross Lou Anne David A.
Baldwin Emrich Vaden
Director Director Director
Term Expires
Term Expires Term Expires
March 31, 2026
March 31, 2026 March 31, 2026
Arkansas Society of Certified Public Accountants
7 April 2023
From the Board Room
The following issues were covered in the virtual February 23, 2023, Officers and Directors Meeting:
• Received legislative report from Lobbyist Rodney Baker
• Received report from ASBPA Executive Director Jimmy Corley
• Approved revisions to the 2023-2026 Strategic Plan and appointed member task forces as follows:
Learning & Development Task Force
Gary Beckwith, Chair
Shawna Barber
Andy Almand
Noah Styles
Melissa Cary
Stephanie Tanner, Staff Liaison
Community & Engagement
Joe Wheeler, Chair
Ross Baldwin
Allen Pierce
Cara Brazeal
Dr. Gaurav Kumar
Robin Harris, Staff Liaison
Whitney Mayo, Staff Liaison
• Discussed AICPA’s Draft 8-Point Plan to Address Pipeline Issues
• Discussed Minnesota Society of CPAs’ recently filed legislation to offer multiple pathways to CPA
• Discussed NASBA’s UAA Rule 5.7 exposure draft to permanently expand test window to 24 months
• Reviewed and approved the Finance Committee report for the period ending December 31, 2022
• Reviewed and approved the proposed budget for fiscal year 2023/2024
• Reviewed and approved the Membership Report as of February 3, 2023, including 1 resignation and 2
applications for Life membership
• Reviewed and approved the 2023/2024 Committee List
• Received report from the Western Chapter of CPAs
• Recognized the following Board members with terms ending March 31, 2023:
◊ Joseph Rugger – Immediate Past Chair
◊ Bob Christiansen – Director, Northwest Chapter
◊ Paula Kinnard – Director, Central Chapter
◊ Mike Tuohey – Director, DeGray Chapter
The next scheduled Board of Directors’ Meeting will be held at 1:30 p.m. on Thursday, May 11, 2023, in
Little Rock, following the 2023 Leadership Conference and Lunch.
Arkansas Society of Certified Public Accountants
8 April 2023
MOCK
CPA EXAM
Are you truly ready to pass the CPA Exam? Have you studied
enough? Are you focusing on the right material? There is only one
April
way to find out, give it a try! 20
1pm (CST)
Students and non-certified Associate members are invited to
participate in a live 4-hour mock CPA Exam workshop hosted by the
Arkansas Society of CPAs and Surgent CPA Review. This unique opportunity will allow
you to experience what it is like to sit for any CPA Exam section as you immerse
yourself in questions pulled from the actual CPA Exam Blueprints. Plus, you will receive
your own personalized ReadySCORE (an accurate measurement of your actual exam
score) as well as a detailed report showing your areas of strength and weakness for
that section.
Advanced registration is required, and the information provided will be sent to Surgent
to set up your simulation on Surgent's software.
Don't go into exam day unprepared. Find out if you are ready.
Sign up Today!
CONTACT US EVENT SPONSOR
Robin Harris
rharris@arcpa.org
(501) 664-8739
Arkansas Society of Certified Public Accountants
9 April 2023
G O L F
A M E N T
TOU R N
2 0 2 3
SAVE THE DATE
Arkansas Society of CPAs
Annual Mac & Barbara Angel Memorial Golf Tournament
Monday, May 22, 2023
Save the date for the Arkansas Society of CPAs Annual Mac & Barbara Angel Memorial Golf Tournament at
Maumelle Country Club nearby Little Rock. We hope that you will invite your friends, clients, coworkers, and
colleagues to play in this tournament. Returning as Co-Chairs will be Michael Pierce, of Landmark PLC,
CPAs, and Taylor Stockemer, of Friday Eldredge & Clark.
All proceeds benefit ARCPA Student Education Fund scholarships to accounting students in the state. Please
watch for more information coming soon. We hope to see you there!
For more information, contact:
Robin Harris Michael Pierce, Co-Chair Taylor Stockemer, Co-Chair
ARCPA Landmark PLC, CPAs Friday, Eldredge & Clark, LLP
501.664.8739 501.210.7338 501.376.2011
rharris@arcpa.org mpierce@landmarkcpas. tstockemer@fridayfirm.com
com
Arkansas Society of Certified Public Accountants
10 April 202328TH MAC & BARBARA ANGEL MEMORIAL GOLF TOURNAMENT
Monday, May 22, 2023 All net proceeds
Maumelle Country Club - Maumelle, AR awarded as
Players Lunch at 11:30 a.m. scholarships
Four Person Scramble Shotgun Start at 1:00 p.m.
TEAM SPONSORSHIP OPPORTUNITIES
□ Presenting Sponsor $5,000 (Two Team Entries, Full Page Ad in ARCPA Newsletter, Tee Box Sign, Company Name/Logo
on all event promos, and customized promotional items)
□ Golf Carts Sponsor $2,500 (One Team Entry, Half Page Ad in ARCPA Newsletter, Tee Box Sign, Company Name/Logo in
placard of all players carts)
□ Platinum Sponsor $2,250 (Two Team Entries, Half Page Ad in ARCPA Newsletter, Tee Box Sign)
□ Gold Sponsor $1,500 (One Team Entry, Qtr. Page Ad in ARCPA Newsletter, Tee Box Sign)
□ Silver Sponsor $1,250 (One Team Entry, Tee Box Sign)
□ Team Entry $1,000 (One Team Entry) *$100 discount for a 2nd Team (duplicate this form to submit names)
Team Name (for promos/signage)
Players Names Phone Email
1.____________________________________________________________________________________
2.____________________________________________________________________________________
3.____________________________________________________________________________________
4.____________________________________________________________________________________
TEAM EXTRAS MULLIGANS AND BLASTERS
□ All Mulligans for 4 person Team $60.00 (12 per Team) Allows player an extra shot
□ All Blasters for 4 person Team $20.00 (2 per Team) Allows player to hit from ladies’ tee.
FRIENDS OF TOURNAMENT, EVENT & IN-KIND SPONSORSHIP OPPORTUNITIES
All sponsors will receive signage at the event and recognition in the ARCPA Newsletter
□ Tee Box $500 □ Hole in One $500 □ Putt for Dough $500
□ Long Drive $500 □ Closest to Pin $500 □ Beverage Cart $500
□ Friend of the Tournament $_______ donation. (Minimum suggested amount $300)
□ Lunch □ Beers □ Soft Drinks/Waters □ Golf Balls □ Signage □ Other ______________
Name (for promos/signage)
Contact Phone Email
□ INDIVIDUAL PLAYER REGISTRATION $250
Player Name Phone Email
As always, we appreciate any form of support for this event. All net proceeds are awarded as scholarships to
undergraduate and graduate accounting students in Arkansas, by ARCPA Student Education Fund a 501(c)3 corporation.
Payment Method: □ Check □ AMEX □ VISA □ MasterCard
Credit Card #________________________________________ Exp. Date_________ Signature_____________________
For More Information Contact:
Robin Harris Michael Pierce Taylor Stockemer
AR Society of CPAs Landmark PLC Friday Eldredge & Clark, LLP
(501) 664-8739 (501) 375-2025 (501) 370-1445
rharris@arcpa.org mpierce@landmarkcpas.com tstockemer@fridayfirm.com
Return This Form by May 8, 2023 to Receive Signage
Arkansas Society of Certified Public Accountants
11300 Executive Center Drive Little Rock, AR 72211-4352
Fax: 501-664-8320
Arkansas Society of Certified Public Accountants
11
Email: rharris@arcpa.org
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ARCPA Advertiser Index
Accounting BizBrokers.................. 19
Accounting Practice Sales............ 17
Is your member information Arkansas PBS................................. 15
up to date?
GE Appliances................................. 12
Has your employment, mailing
or email address changed? You
can update your member profile
McDaniel Wolff................................ 19
through the ARCPA website at
https://www.arcpa.org/my-arcpa/ McGriff Insurance........................... 28
profile
Paychex........................................... 23
UPS................................................... 22
Classifieds....................................... 43
Arkansas Society of Certified Public Accountants
12 April 2023ARCPA Legislative Appreciation Breakfast
The Arkansas Society of CPAs hosted a Legislative Appreciation Breakfast for members of the Arkansas
Legislature’s 94th General Assembly regular session, and their staff on February 15, at the Capitol Hill
Building adjacent to the State Capitol in Little Rock. The reception offered an opportunity for all ARCPA
members in attendance to personally meet, visit and become acquainted with Arkansas’ legislators. A
catered buffet of breakfast foods with beverages was provided, and the reception was very enjoyable.
Representative Jeremy Wooldridge and ARCPA Executive Director Representative Chad Puryear and Senator Jim Petty, ARCPA past Rep. Rick McClure, Rep John P. Carr, Senator Joshua Bryant, and
Marsha Moffitt president and member Rep. Fred Allen
ARCPA past presidents Pete Parks and Senator Jim Petty ARCPA members enjoyed catching up with each other during the
Representative Johnny Rye, Marsha Moffitt, Rep. Jack Fortner
breakfast
ARCPA members enjoyed catching up with each other during the Rep. Ron McNair, ARCPA members Jerry Dodd, Noah Styles, Paul Rep. Bruce Cozart, Jenny Stone, Senator Matt Stone, and Pete
breakfast Osborn, and Joey L. Carr Parks
Arkansas Society of Certified Public Accountants
13 April 2023YOU ARE THE KEY TO LEGISLATIVE SUCCESS!
Let us know who you know
Name __________________________________________________________________________
Firm/Company _________________________________________________________________
Address _________________________________________________________________________
City/State/ Zip ___________________________________________________________________
Business ________________________________________________________________________
Phone ___________________________________________________________________________
I know the following State Government Officials and would like to assist the Society as
a contact person:
Official’s Name _________________________________________________________________________
State Senator ___________________________________________________________________________
Do you live in his/her district? ___________________________________________________________
Relationship (Business, campaign contributor, campaign worker, casual acquaintance
personal friend, relative, CPA, other)
_________________________________________________________________________________________
State Representative ____________________________________________________________________
Do you live in his/her district? ___________________________________________________________
Relationship (Business, campaign contributor, campaign worker, casual acquaintance,
personal friend, relative, CPA, other)
__________________________________________________________________________________________
Fax: (501) 664-8320
Web: https://www.arcpa.org/news-resources/advocacy
Mail:
ARCPA
11300 Executive Center Drive
Little Rock, AR 72211-4352
Email Robin Harris at rharris@arcpa.org
Arkansas Society of Certified Public Accountants
14 April 2023HOW TO
What’s in your attic? PARTICIPATE
Get ready for “Arkansas Treasures,” a new program Registration is required to
showcasing the wonderful, weird and wild collectibles attend the event. Due to
and antiques to be found throughout Arkansas. occupancy restrictions, walk-
ins cannot be accommodated.
This is your chance to meet with a professional
evaluator on the set of our upcoming show, “Arkansas PAID REGISTRATION ($120):
Treasures.” Admission for two people and
evaluation of up to two items
(in total, not per person).
We’re inviting supporters from across the state to
bring their unique, antique and collectible treasures
FREE LOTTERY: A limited
to a two-day taping at the Arkansas PBS studios in
number of free lottery tickets
Conway Aug. 5-6. will be made available closer to
the August taping dates.
Whether you collect Pokémon or Picassos, our team
of highly experienced evaluators will be on site to
hear your stories, share their expertise and provide For more info, visit
an evaluation (for entertainment purposes) of your
myarpbs.org/arkansastreasures
prized possessions.
QUIZ BOWL STATE FINALS
LIVE ON ARKANSAS PBS · APRIL 22 · 9 A.M.
+ Streaming at myarpbs.org/watch.
Never miss
an update.
Scan to sign up.
Arkansas Society of Certified Public Accountants
15 April 2023Welcome New Society Members!
The Arkansas Society of CPAs welcomes the following new members. Please take the time to
welcome these members and invite them to society and chapter events.
To find members, visit https://www.arcpa.org/my-arcpa/member-directory
Learn more about our society and the benefits of membership at https://www.arcpa.org/
CPA MEMBERS
Jalin L. Parry, FORVIS, New York
Collin Prather, Mann Hasson & Company PA, Little Rock
NaTashia Riley, Southern Arkansas University, Magnolia
Alexander Segalla, Erwin & Company PA, Little Rock
Aaron R. Townsend, Landmark PLC, Little Rock
ASSOCIATE MEMBERS
Cody E. Clubb, Landmark PLC, Fort Smith
Josiah Cotner, Hubbs & Whitehead CPAs, Van Buren
Sherry Hester, Landmark PLC, Fort Smith
Amanda Holder, Landmark PLC, Fort Smith
Gordon McGuire, Frost PLLC, Little Rock
STUDENT MEMBER
Christy N. Breeding, Arkansas State University, Jonesboro
IN MEMORIAM The Arkansas Andrea Hall
Society of Certified Public 4372 (1988)
Accountants deeply regrets the Senior Accountant
loss of the following members: Rogers
Arkansas Society of Certified Public Accountants
16 April 2023Tax Season
Cessation Program
Experiencing:
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Arkansas Society of Certified Public Accountants
17 April 2023HCJ CPAs & Advisors PLLC Announces
New IT Manager
LITTLE ROCK, Ark. – HCJ CPAs & Advisors
PLLC is pleased to announce the addition of
James Churchwell to their professional team.
Churchwell joins the firm as IT Manager. A
professional in the field since 2005, he brings
nearly 20 years of experience to the firm.
“We are so excited to welcome James to the HCJ team,” said
Karen Garrett, CPA, Managing Partner of HCJ CPAs & Advisors
PLLC. “He is a hardworking and focused individual who will
ARCPA Student provide excellent support and robust security protection for our
networks.”
Education Fund
James graduated from Arkansas State University with a
Each year the Student Education Fund Bachelor of Science in Management Information Systems in
2005. He earned his Master of Learning Systems Technology
awards scholarships to qualifying accounting
from the University of Arkansas at Little Rock in 2020. He
majors attending four-year colleges and currently lives in East End, Arkansas, with his wife, their two
universities in Arkansas. The Student children, and two dogs.
Education Fund is supported entirely by
contributions. It is a 501(c)(3)non-profit About HCJ CPAs & Advisors PLLC
corporation, and gifts to the Student HCJ CPAs & Advisors PLLC was formed by the 2021 merger of Hudson,
Education Fund are tax deductible. Cisne & Co., LLP and Jones & Company, LTD. The firm has over 30 years’
experience providing accounting, tax, and audit services to closely-held
businesses and nonprofit organizations of all sizes. With more staff and four
DONATE TODAY! offices throughout Arkansas, HCJ CPAs & Advisors PLLC is able to offer
a greater depth of services, including management consulting, retirement
plan administration, payroll, sales tax, QuickBooks, outsourced accounting,
business advisory, and business valuation. HCJ CPA &Advisors PLLC is an
independent member of the BDO Alliance USA. To learn more, visit www.
hcjcpa.com.
NASBA State Board Executive
Directors/Legal Conference
ARCPA Executive Director Marsha Moffitt joined
ASBPA’s Executive Director Jimmy Corley and
Investigators Tim Montgomery and Dale Edge
at the recent NASBA State Board Executive
Directors/Legal Conference in Tucson, AZ, where
attendees heard presentations and participated
in discussions with attendees from other state
boards and state societies on issues surrounding
the pipeline and the new CPA Exam coming in
January 2024.
Arkansas Society of Certified Public Accountants 18 April 2023SPECIALIZED
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Arkansas Society of Certified Public Accountants
19 April 2023IRS: May 15 tax deadline extended to Oct. 16 for disaster area taxpayers in California, Alabama and
Georgia
IR-2023-33, Feb. 24, 2023
WASHINGTON — Disaster-area taxpayers in most of California and parts of Alabama and Georgia now have until Oct.
16, 2023, to file various federal individual and business tax returns and make tax payments, the Internal Revenue Service
announced today. Previously, the deadline had been postponed to May 15 for these areas.
The IRS is offering relief to any area designated by the Federal Emergency Management Agency (FEMA) in these three states.
There are four different eligible FEMA declarations, and the start dates and other details vary for each of these disasters. The
current list of eligible localities and other details for each disaster are always available on the disaster relief page on IRS.gov.
The additional relief postpones until Oct. 16, various tax filing and payment deadlines, including those for most calendar-year
2022 individual and business returns. This includes: Individual income tax returns, originally due on April 18; Various business
returns, normally due on March 15 and April 18; and returns of tax-exempt organizations, normally due on May 15.
Among other things, this means that eligible taxpayers will also have until Oct. 16 to make 2022 contributions to their IRAs and
health savings accounts.
In addition, farmers who choose to forgo making estimated tax payments and normally file their returns by March 1 will now
have until Oct. 16, 2023, to file their 2022 return and pay any tax due.
The Oct. 16 deadline also applies to the estimated tax payment for the fourth quarter of 2022, originally due on Jan. 17, 2023.
This means that taxpayers can skip making this payment and instead include it with the 2022 return they file, on or before Oct.
16.
The Oct. 16 deadline also applies to 2023 estimated tax payments, normally due on April 18, June 15 and Sept. 15. It also
applies to the quarterly payroll and excise tax returns normally due on Jan. 31, April 30 and July 31.
The IRS disaster relief page has details on other returns, payments and tax-related actions qualifying for the additional time.
Taxpayers in the affected areas do not need to file any extension paperwork, and they do not need to call the IRS to qualify for
the extended time.
The IRS automatically provides filing and penalty relief to any taxpayer with an IRS address of record located in the disaster
area. Therefore, taxpayers do not need to contact the agency to get this relief. However, if an affected taxpayer receives a late
filing or late payment penalty notice from the IRS that has an original or extended filing, payment or deposit due date falling
within the postponement period, the taxpayer should call the number on the notice to have the penalty abated.
In addition, the IRS will work with any taxpayer who lives outside the disaster area but whose records necessary to meet a
deadline occurring during the postponement period are located in the affected area. Taxpayers qualifying for relief who live
outside the disaster area need to contact the IRS at 866-562-5227. This also includes workers assisting the relief activities who
are affiliated with a recognized government or philanthropic organization.
Individuals and businesses in a federally declared disaster area who suffered uninsured or unreimbursed disaster-related
losses can choose to claim them on either the return for the year the loss occurred or the return for the prior year. See
Publication 547, Casualties, Disasters, and Thefts for details.
The tax relief is part of a coordinated federal response to the damage caused by these storms and is based on local damage
assessments by FEMA. For information on disaster recovery, visit disasterassistance.gov.
Arkansas Society of Certified Public Accountants
20 April 2023IRS issues renewed warning on Employee Retention Credit claims; false claims generate compliance
risk for people and businesses claiming credit improperly
IR-2023-40, March 7, 2023
WASHINGTON -- The Internal Revenue Service today issued a renewed warning urging people to carefully review the Employee
Retention Credit (ERC) guidelines before trying to claim the credit as promoters continue pushing ineligible people to file.
The IRS and tax professionals continue to see third parties aggressively promoting these ERC schemes on radio and online. These
promoters charge large upfront fees or a fee that is contingent on the amount of the refund. And the promoters may not inform
taxpayers that wage deductions claimed on the business’ federal income tax return must be reduced by the amount of the credit.
“While this is a legitimate credit that has provided a financial lifeline to millions of businesses, there continue to be promoters who
aggressively mislead people and businesses into thinking they can claim these credits,” said Acting IRS Commissioner Doug
O’Donnell. “Anyone who is considering claiming this credit needs to carefully review the guidelines. If the tax professional they’re
using raises questions about the accuracy of the Employee Retention Credit claim, people should listen to their advice. The IRS
is actively auditing and conducting criminal investigations related to these false claims. People need to think twice before claiming
this.”
The IRS has been warning about this scheme since last fall, but there continue to be attempts to claim the ERC during the 2023
tax filing season. Tax professionals note they continue to be pressured by people wanting to claim credits improperly. The IRS
Office of Professional Responsibility is working on additional guidance for the tax professional community that will be available in
the near future.
People and businesses can avoid this scheme, and by not filing improper claims in the first place. If the business filed an income
tax return deducting qualified wages before it filed an employment tax return claiming the credit, the business should file an
amended income tax return to correct any overstated wage deduction.
Businesses should be cautious of advertised schemes and direct solicitations promising tax savings that are too good to be true.
Taxpayers are always responsible for the information reported on their tax returns. Improperly claiming the ERC could result in
taxpayers being required to repay the credit along with penalties and interest.
What is the ERC?
The ERC is a refundable tax credit designed for businesses who continued paying employees while shut down due to the
COVID-19 pandemic or who had significant declines in gross receipts from March 13, 2020, to Dec. 31, 2021. Eligible taxpayers
can claim the ERC on an original or amended employment tax return for a period within those dates.
To be eligible for the ERC, employers must have:
• sustained a full or partial suspension of operations due to orders from an appropriate governmental authority limiting
commerce, travel or group meetings due to COVID-19 during 2020 or the first three quarters of 2021,
• experienced a significant decline in gross receipts during 2020 or a decline in gross receipts during the first three quarters of
2021, or
• qualified as a recovery startup business for the third or fourth quarters of 2021.
As a reminder, only recovery startup businesses are eligible for the ERC in the fourth quarter of 2021. Additionally, for any quarter,
eligible employers cannot claim the ERC on wages that were reported as payroll costs in obtaining PPP loan forgiveness or that
were used to claim certain other tax credits.
To report tax-related illegal activities relating to ERC claims, submit by fax or mail a completed Form 14242, Report Suspected
Abusive Tax Promotions or Preparers and any supporting materials to the IRS Lead Development Center in the Office of Promoter
Investigations.
Arkansas Society of Certified Public Accountants
21 April 2023Mail: Internal Revenue Service Lead Development Center
Stop MS5040
24000 Avila Road
Laguna Niguel, California 92677-3405
Fax: 877-477-9135
Employers should also report instances of fraud and IRS-related phishing attempts to the IRS at phishing@irs.gov and Treasury
Inspector General for Tax Administration at 800-366-4484.
Go to IRS.gov to learn more about eligibility requirements and how to claim the Employee Retention Credit :
• For qualified wages paid after March 12, 2020, and before Jan. 1, 2021 – Notice 2021-20, Notice 2021-49, and Revenue
Procedure 2021-33
• For qualified wages paid after Dec. 31, 2020, and before July 1, 2021 – Notice 2021-23, Notice 2021-49 and Revenue
Procedure 2021-33
• For qualified wages paid after June 30, 2021, and before Oct. 1, 2021 – Notice 2021-49 and Revenue Procedure 2021-33
• For qualified wages paid after Sept. 30, 2021, and before Jan. 1, 2022 – Notice 2021-49 and Notice 2021-65
Additional Information
• Employee Retention Credit - 2020 vs 2021 Comparison Chart | Internal Revenue Service (irs.gov)
• Form 941-X Instructions (April 2022 Revision) – for use in conjunction with Form 941 Instructions from relevant calendar
quarter
• Form 941 Instructions (December 2021 Revision)
• Form 941 Instructions (2020 Revisions)
• Form 943, 943-X, 944, 944-X, CT-1 and CT-1-X Instructions
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Arkansas Society of Certified Public Accountants
22 April 2023Master This Tax Season
Accounting professionals have free access to our robust online Accountant Knowledge Center (AKC).
Stay informed of changes to federal and state tax information and access links to timely information on
topics impacting your industry.
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• CPE self-study courses law summaries, and wage tax information
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Arkansas Society of Certified Public Accountants
23 April 2023AICPA drafts plan to address pipeline issues
The accounting profession is grappling with a talent The program’s online learning will be priced at or below
shortage. Many professions are facing the same the average cost of a community college credit. It will be
issue, driven by factors including shifting workforce customizable to the number of credits students need, since
demographics and rising education costs. But sharing the many students graduate with more than 120 credit hours.
problem doesn’t lessen the pressure. The courses will be based on skills and competencies
needed by first-year staff.
Clients ranging from governments to nonprofits to
small businesses and beyond rely on CPAs to perform The program will launch as a pilot in Fall 2023 with up to
critical work. Ensuring that a steady supply of qualified 1,000 students and a single university partner to allow for
accountants is ready to meet the demand is essential. a rapid start and needed testing of the model. Proposals
Meaningful, quick action is needed. from universities interested in the next phase will be
sought this summer. Outreach to firms about participation
ARCPA, along with other state CPA societies, the AICPA, is beginning now.
firms, academia, state boards of accountancy and their
organizing body, the National Association of State Boards An advisory group of leaders from state societies and
of Accountancy (NASBA), and others are working together state boards of accountancy is helping to shape ELE state
on profession-wide, multi-stakeholder efforts to attract outreach and materials.
students to the accounting profession, prepare them for
licensure, and ready them for careers in accounting. Goals of the program include increasing access to and
affordability of entry into the profession for a diverse pool
As a subset of the broader work, the AICPA has drafted of candidates. The program will benefit both candidates
an action plan for addressing certain root causes of and firms by recruiting more students into the pipeline and
pipeline issues. The plan is designed to maintain rigor helping them reach their CPA licenses.
while increasing flexibility for CPA candidates. It’s also
intended to drive quick results and lasting progress. It 2. Highlighting success stories. This awareness
should be viewed as an action plan that is a piece of a campaign will focus on how the additional 30 credit hours
comprehensive effort. required for licensure can best be used to increase career
readiness. Firms of all sizes told the AICPA in a recent
AICPA’s intent is to offer solutions in areas including survey what the key first-year skills and competencies
attractiveness of the profession and the cost and time for are. Their responses are helping define the ELE Program
licensure. The AICPA is also calling on firms to ensure that coursework while also informing this awareness campaign.
work is both welcoming and rewarding for all. The campaign will also do some myth-busting around the
Here’s an overview of the Draft Pipeline Acceleration Plan: 30 hours of education needed to become a CPA. Working
within guidelines set out in the Uniform Accountancy Act
1. AICPA-NASBA Experience, Learn & Earn Program and with an eye toward the revised CPA Exam in 2024,
(ELE). The initiative blends work, experience, and candidates are developing competencies needed to
online courses for the final stretch of credit hours and succeed in an ever more complex business environment.
a focus on licensure. The AICPA and NASBA program Campaign materials spotlighting success stories and firm
would provide university students on a CPA career data that can guide other students will begin rolling out in
pathway an opportunity to work at a firm and gain a mix the second quarter of 2023.
of work experience, study time, and affordable college
credit hours. Students will be eligible after completing a 3. Addressing the 18-month exam window. Qualified
bachelor’s degree and core accounting courses and before candidates may be unable to complete all four parts of the
achieving 150 credit hours of education. The program is exam within 18 months for numerous reasons. Working
not an internship or an apprenticeship. The graduates with NASBA, the AICPA is exploring what changes are
are first-year staff with a reduced workload and time to needed to keep students progressing to licensure while
complete the additional credit hours they need to reach the ensuring the window isn’t shutting out qualified candidates.
150-hour requirement. CPA firms of any size and practice NASBA is exposing a proposal that will be a guide for state
type could choose to recruit entry-level hires into the boards to extend the exam window to 24 months. The
program. proposal also provides greater clarity on a state board’s
authority to allow additional time to candidates.
Arkansas Society of Certified Public Accountants
24 April 2023Comments and recommendations on the proposal can be a fresh data-driven look at the profession’s pipeline and
sent to the NASBA Uniform Accountancy Act Committee via firm hiring via the 2023 Trends Report. The report, due
uaacomments@nasba.org by April 17, 2023. out mid-2023, outlines trends in U.S. accounting program
enrollments and graduates, as well as hiring in the public
4. Tackling inconsistencies in state licensure pathways. accounting sector, and provides select information about
When inconsistencies in state regulations result in CPA Exam candidates.
candidate confusion and frustration, we all lose. Minimizing
unneeded differences in requirements will smooth out 6. Win STEM recognition for accounting. Interest in
bumps in the journey to licensure. The AICPA completed professional careers starts with exposure and awareness.
state-by-state research in January that revealed differences And one fact that may surprise and intrigue the next
in experience requirements, as well as requirements for generation of the workforce is that the accounting
recommendation letters and candidate submissions of profession is increasingly about technology. The AICPA and
experience “portfolios.” Collaboratively, stakeholders will state CPA societies are working diligently to win recognition
assess these identified differences, and jointly develop an of accounting as a STEM field under the technology
action plan for 2024 state legislative sessions (and beyond) banner. Legislation introduced in 2021 would allow STEM
to tackle either regulatory changes, legal changes, or both. K-12 grant funding to be used for accounting awareness
and education, with a focus on increasing access to
5. Revving up high school and college efforts. underrepresented groups.
Accounting stakeholders are working to spark a new era
of engagement with students about the opportunities At the higher education level, the profession can work
and value of a career in accounting. This is a critical step with colleges and universities to expand their accounting
toward energizing interest in the profession. Effective curricula to include additional technology-focused courses
communication efforts must be paired with pipeline building to meet the profession’s current and future needs.
activities at the high school and college level.
7. Shift AICPA Foundation funding to focus on CPA
The AICPA is developing a high school education candidates. The AICPA Foundation has agreed to shift
strategy that includes dual-credit course options that its focus to students who plan to pursue CPA licensure or
allow high school students to earn college credit and is those who are currently CPA candidates. The Foundation,
also researching an AP accounting course. The goal of which is projected to award more than $2 million in
the strategy will be to raise awareness and interest in scholarships and grants in 2023, will assist individuals with
accounting and the CPA profession while streamlining the financial needs through a variety of scholarship programs.
educational process. An estimated 61% of grants and scholarships are expected
to go to diverse populations. When viewed collectively,
To maximize ongoing communications, the AICPA will the combined giving of the Foundation, state societies
leverage recent Center for Audit Quality (CAQ) research and firms is helping to make the pursuit of a CPA more
for improved messaging to students and teachers affordable for more candidates.
promoting accounting and the CPA profession. This
includes developing an awareness campaign strategy that 8. Engage the system of stakeholders in solutions.
messages students directly and promotes accounting and The CPA pipeline decline is the result of many factors,
the CPA profession. This work will align with the CAQ-led ranging from lower college enrollment and higher costs
Accounting+ initiative. Accounting+ is a multi-year branding to the expense of exam preparation to the disconnect of
and persuasion campaign designed to elevate the image starting salaries from new market realities. The AICPA
and attractiveness of accounting among Black and Hispanic is calling on all stakeholders to assess and address the
or Latino student populations. environmental forces deterring individuals from pursuing a
CPA career. This includes meetings between AICPA leaders
At the college level, the AICPA’s 2023 plan includes and regulators this spring, and a continued dialog with firms
strategy development in three key areas: about the need for evolving their business models and
• Improving the curriculum and delivery of Introduction to heightening their attractiveness to young talent.
Accounting courses
• Providing relevant information and resources to inform While there is no silver bullet for solving the talent
teaching and research shortage, this package of initiatives is designed to better
• Promoting accounting and the CPA profession to online position students and the system for success, through
universities, Historically Black Colleges and Universities the collaborative work and input of key stakeholders,
(HBCUs), Minority Serving Institutions, and their including the ARCPA. This plan will continue to grow and
students evolve through this phase of ongoing discussion, and
implementation will become even more impactful through
And, notably, in partnership with stakeholders including input from key stakeholders. The best steps to solve the
firms, colleges, and universities, the AICPA will provide profession’s talent shortage are steps we take together.
Arkansas Society of Certified Public Accountants
25 April 20232023 AICPA Leadership Academy
Dec. 11 – 14, 2023
Going into its fifteenth year, the AICPA Leadership Academy, a program for young accounting
professionals, engages candidates in a self-examination of leadership, what that means and
how that impacts their personal life, career path, and the CPA profession. To date, more than
475 CPAs have participated in the AICPA Leadership Academy, many of whom go on to serve in
volunteer leadership roles at their state societies and the AICPA. ARCPA is very proud to have
had 11 members attend AICPA Leadership Academy since its inception.
The 2023 AICPA Leadership Academy will be held Dec. 11 – 14th in Durham, NC. ARCPA
encourages emerging CPAs to apply for this once-in-lifetime event!
To be considered, applicants must:
• Be a licensed CPA between the age of 25 – 35
• Be a regular member of the AICPA
• Be a member of a state society and/or professional accounting organization
• Have 3+ years of experience with the CPA profession
Applicants will need to provide:
• An updated resume along with a photo
• Two letters of recommendation
• Responses to two short essays on successful leadership and why they want to attend
Leadership Academy
The deadline to apply is June 30, 2023.
For more information, visit https://www.aicpa.org/resources/landing/aicpa-leadership-academy.
Arkansas Society of Certified Public Accountants
26 April 2023Charlott A. Jones appointed to the AICPA
Benevolent Fund Board of Trustees
Charlott A. Jones has been appointed to the AICPA Benevolent Fund Board
of Trustees, effective May 24, 2023, for a one-year term. Charlott is a Tax
Manager at HCJ CPAs & Advisors PLLC in Jonesboro.
The AICPA Benevolent Fund was created in 1933, as a non-profit 501(c)(3) entity for the purpose of
assisting AICPA members through temporary periods of financial difficulty. The Fund aids with meeting
daily living expenses, and medical and prescription expenses that exceed insurance coverage brought
about by serious illness, an accident, or the death of the primary source of family income. The Fund
assists with:
• Temporary monthly living expenses
• Temporary monthly medical, mental and prescription expense payments that exceed insurance
coverage
• Medicare or other health insurance premiums
• Most medically necessary services for dependent children (under age 21)
• One-time Emergency Grants
• Other, as deemed appropriate by the Board of Trustees
For more information: https://www.aicpa.org/resources/landing/aicpa-benevolent-fund
**Have you recently changed jobs, earned a new certificate, been promoted, received special recognition, made a
presentation to a civic group, etc.? Let the ARCPA know about it! Send us a note or email a press release to
rharris@arcpa.org.**
AICPA Benevolent Fund
The AICPA Benevolent Fund was created to support AICPA members with short-term personal financial
needs. For example, the Fund can potentially help individuals who are experiencing temporary loss of
income, increases in cost of living, insurance deductibles, and replacement costs associated with natural
disasters. The Fund focuses its assistance on individual members (rather than businesses). Eligibility is
limited to current AICPA members; surviving spouse of a member, at the time of their death; dependent
children (under age 21) of an AICPA member.
Please visit the AICPA Benevolent Fund website to download an application for assistance, or reach out
with questions at benevolent_fund@aicpa.org to connect with a Fund Administrator.
Arkansas Society of Certified Public Accountants
27 April 2023Focused on the insurance
needs of Arkansas CPAs
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offer solutions tailored to the needs of professionals, including specialized group-rated insurance products
available only to members of the Arkansas Society of Certified Public Accountants (ARCPA). As the
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Professional Liability • General Liability • Business Owner’s Policy
Arkansas Society of Certified Public Accountants
28
Building • Business Personal Property • Workers’ Compensation
April 20236 SECURE Act 2.0 Changes to Know in
2023
By Daniel F. Rahill, CPA/PFS, JD, LL.M., CGMA
Reprinted with permission
Countless retirement provisions will take effect in the the beneficiary dies, what’s left in the trust goes to a
coming years because of the act—here are the ones to charitable cause. Unlike a direct charitable contribution,
take note of during your 2023 planning. contributions to a split-interest entity benefit not only the
charity but also the individual IRA owner. The overall
Three years after the Setting Every Community Up for economic impact is that a portion of what’s transferred
Retirement Enhancement (SECURE) Act was enacted, goes to charity and up to 90% of the economic value of
SECURE Act 2.0 is now law, with the goal of “securing” what’s transferred (up to approximately $45,000 under
American workers’ retirement options well into the the new rule) can be paid to the individual IRA owner
future. With the act containing upward of nearly 100 new over a selected term of years (not exceeding 20 years).
retirement provisions, here are six of the most notable
changes taking effect this year. The key benefit of a QCD, which must be made from
a taxable IRA by year’s end, is that it counts toward a
1. RMD Age Increased taxpayer’s annual RMD. While no deduction materializes,
Individuals saving for retirement via individual retirement the disbursement keeps an RMD from moving a donor
accounts (IRAs) and most employer-sponsored into a higher tax bracket. Whether to a traditional charity
retirement accounts must begin taking required minimum or to a trust or gift annuity, the distribution also counts
distributions (RMDs) when they hit a certain age. This toward the $100,000 that can be gifted annually.
age limit increases to age 73 in 2023 and age 75 in 2033.
Increasing the age of when RMDs must begin benefits The act indexes the $100,000 annual exclusion limit for
savers who don’t need the money for current living inflation beginning in 2024 and provides a second option
expenses, as it prolongs their investment timeframe, to take advantage of the exclusion beginning in 2023 for
pushes out the income tax deferral on their account taxpayers who’ve reached age 70 1/2 and are required to
balances, and allows a longer window to consider and take minimum distributions.
complete Roth IRA conversions.
4. Longevity Annuity Contract Limits Lifted
2. RMD Excise Tax Reduced The act raises the ceiling for how much retirement savers
Prior law required those who failed to take their full can put into a qualified longevity annuity contract (QLAC),
RMD amount by the deadline to pay a tax of 50% of the a type of deferred annuity that’s funded from a retirement
amount not taken. SECURE Act 2.0 reduces this tax to account and is exempt from RMDs until distributions are
25% in 2023. The act further drops the tax to 10% of the taken (up to age 85), to provide a source for guaranteed
amount not taken if account holders take the full RMD income in later years. The prior limit was the lesser of
amount and report the tax by the end of the second year 25% of the value of the qualified retirement account or
after it was initially due and before the IRS demands $135,000. SECURE Act 2.0 eliminates the 25% limit and
payment. increases the amount that can be put into a QLAC to
$200,000 (indexed for inflation).
3. Qualified Charitable Distribution Rules Eased
The new rule for qualified charitable distributions (QCD) 5. Roth Treatment Allowed for Matching or Non-
from IRAs expands the types of “charities” that can Elective Contributions
receive the gift. Beginning in 2023, individuals can make Participants in employer-sponsored 401(k), 403(b), and
a one-time gift of up to $50,000 (adjusted annually for 457(b) plans can now designate some or all matching
inflation) to a charitable remainder unitrust, a charitable contributions and non-elective contributions as Roth
remainder annuity trust, or a charitable gift annuity. contributions. Previously, employer matches had to
Previously, distributions had to go to charities with a go into an employee’s pre-tax account. This applies
501(c)(3) status. However, disbursements to private only to the extent that a participant is fully vested in
foundations or donor-advised funds still aren’t allowed. these contributions. While this provision takes effect
immediately, it may take some time for employers to
Charitable remainder trusts and gift annuities provide amend their plans to include this feature.
income to a beneficiary during the grantor’s life; when
Arkansas Society of Certified Public Accountants
29 April 2023You can also read
