55 tagged with "Audit"
Independent audit and assurance engagements — SOC 2, financial statement audits, internal controls testing, evidence collection, and audit readiness for service organizations and growing businesses
How Long to Keep Business Records: A Plain-English Retention Schedule Tied to the IRS Statute of Limitations
The IRS retention clock varies by record type — three years for routine returns, four for employment tax, six when income is understated by more than 25%, seven for bad-debt and worthless-securities losses, and indefinite for unfiled or fraudulent returns. A defensible schedule built on the statute of limitations, Rev. Proc. 97-22 electronic-records rules, and DOL and OSHA overlays.
Non-Medical Home Care Agency Bookkeeping: Payer Mix, EVV Compliance, Caregiver Classification, and Surviving Medicaid Audits
How non-medical home care agencies should structure a payer-segmented chart of accounts, reconcile EVV data under Section 12006 of the 21st Century Cures Act, classify caregivers as W-2 employees, manage aging receivables across Medicaid, VA, and LTC insurance payers, and prepare documentation that survives a Medicaid post-payment audit.
Nonprofit Grant Accounting: Donor Restrictions, ASC 958, and the New Uniform Guidance Rules
A practical guide to nonprofit grant accounting under ASC 958 and the 2024 OMB Uniform Guidance updates — net asset classification, the conditional-versus-unconditional barrier test, cost-reimbursement revenue recognition, the new 15% de minimis indirect cost rate, and the $1 million Single Audit threshold.
Tribal Gaming and Casino Accounting Under NIGC MICS: Win, Drop, Hold, and the Internal Controls That Keep a Sovereign Casino Auditable
How tribal casinos account for win, drop, and hold under NIGC Minimum Internal Control Standards — covering Class II and Class III chart-of-accounts design, cage and vault key control, Title 31 Form 8362 CTR filing, IGRA per-capita withholding under IRC Section 3402(r), and the annual Agreed-Upon Procedures engagement that ties surveillance to the ledger.
Daycare and Childcare Center Bookkeeping Under CACFP: Reimbursement Rates, Parent Co-Pays, State Vouchers, and Recordkeeping That Survives an Audit
How daycare operators should structure their books to handle CACFP reimbursements, state subsidy vouchers, and parent co-payments — covering chart of accounts, daily meal count discipline, classroom-level labor allocation, and the recordkeeping that holds up under state audits.
Real Estate Broker Trust Account Reconciliation: The Three-Way Match That Protects a License
A brokerage that commingles a single earnest money deposit can lose its license, even with no theft involved. Here is the three-way reconciliation between bank, general ledger, and client sub-ledgers that brokers use to comply with state escrow rules, document deposit handling, and stay audit-ready.
Section 277 and 501(c)(7): Member vs. Nonmember Income for Social Clubs
Section 501(c)(7) social clubs must keep nonmember income under 35% of gross receipts and nonmember facility use under 15%, while Section 277 quarantines member-side losses for nonexempt membership organizations. This guide walks through how the two rules interact, how to allocate UBTI expenses on Form 990-T, and how to structure a chart of accounts so the member/nonmember split survives an IRS examination.
Distillery Accounting and TTB Bonded Inventory: A Craft Distiller's Guide to Proof Gallons, Excise Tax, and Form 5110.40
How craft distilleries should account for bonded inventory, capitalize aging costs, and reconcile TTB Form 5110.40 to the general ledger — including the $2.70 CBMA reduced rate, controlled-group traps, and why federal excise tax belongs in COGS, not operating expense.
IRS Office of Appeals and Audit Reconsideration: How Small Businesses Fight an Audit Without Going to Tax Court
A small business guide to resolving IRS audit disputes without litigation — the 30-day letter, Form 12203 Small Case Request, formal written protest, Fast Track Settlement, audit reconsideration, and the 90-day statutory notice of deficiency.
CAM Reconciliation: How to Audit Your Landlord's Year-End True-Up Bill Before You Pay It
Industry recovery audits find 5%–15% of billed CAM charges are miscalculated or not owed. This guide explains how to read a landlord's year-end true-up statement, where pro rata share and gross-up errors hide, and how to dispute charges before the audit window closes.
ASC 205-40 Going Concern: Documenting Substantial Doubt, Mitigating Plans, and Audit Opinions
A step-by-step guide to ASC 205-40 — how management evaluates substantial doubt about going concern within one year of issuance, which mitigating plans qualify, what to disclose under each of the three outcomes, and how to coordinate with auditors under AU-C 570 and PCAOB AS 2415 to land an unmodified opinion.
Section 530 Safe Harbor: How Businesses Survive IRS Worker Reclassification Audits
Section 530 of the Revenue Act of 1978 blocks the IRS from assessing back payroll taxes on reclassified 1099 workers if a business proves reasonable basis, substantive consistency, and reporting consistency. Revenue Procedure 2025-10 now requires examiners to consider the relief first and sets 25% / 10-year thresholds for the industry-practice safe harbor.