On Wednesday, February 8, KyCPA held its annual CPA Day at the Capitol with approximately 30 CPA members traveling from across the Commonwealth to participate in the event.
This article sets out to provide commentary on the extant body of literature in the stream of behavioral research in accounting. More specifically, the discussion that follows will focus on existing research examining the psychological effects and subsequent job outcomes of the busy season workload in US public accounting firms. Although anecdotal evidence seems to have been around for decades, scientific research exploring this relationship has been scarce in accounting literature until recent years. Based upon important recent research findings, public accounting firms can develop policies to promote an organizational culture that will help mitigate the negative effects of tremendous workloads that accounting professionals encounter during peak seasonal demands.
Countless retirement provisions will take effect in the coming years because of the act. This article outlines the ones to take note of during your 2023 planning, including: RMD age increase RMD excise tax reduced Qualified charitable distribution rules eased Longevity annuity contract limits lifted Roth treatment allowed for matching or non-elective contributions Credits increased for small-employer retirement plans
H.B. 8 recently passed in the state legislature and it has big implications, especially for software. What is the big issue with prewritten computer software now? It is prewritten computer software access services, which is one of the services made subject to sales tax by 2022 H.B. 8. Notably, unlike downloaded prewritten computer software which is taxed as tangible personal property, prewritten computer software access services are taxed as services. KRS 139.200(2)(ay).
The prevalence of occupational license taxes on wages and net profits imposed by local tax districts in Kentucky underscores Kentucky local tax districts’ dependence on these taxes for revenue. The Commonwealth has historically been dependent on taxes based on income as well but has recently moved away from income-based taxes to become more competitive. Local occupational taxes are significant. For Kentucky to become competitive, should not local taxes be addressed as well?
KyCPA CEO Darlene Zibart shares highlights from 2022 and a look ahead to 2023.
The Employee Retention Credit (ERC) is a generous credit of up to $5,000 per employee for the year (March 13 to December 31, 2020) and up to $7,000 per employee per quarter (January 1 to September 30, 2021, though a recovery startup business may claim ERC through December 31, 2021). The potential ERC for any eligible employer could be quite significant.
Meet Olivia Davis, University of Kentucky Professor, who tells us about "catch-ups", a tool she uses to connect to her students in a meaningful way.
The Inflation Reduction Act of 2022 includes significant climate-related provisions that may impact some of your tax clients. This article covers: Provisions for sustainable energy households Nonbusiness energy property credit Residential energy-efficient property credit Energy-efficient home credit Clean vehicle credits
Manufacturing supplies matter! Manufacturers across the Commonwealth use manufacturing supplies in their manufacturing operations to produce many kinds of products. The Kentucky Supreme Court recently granted discretionary review in Century Aluminum of Kentucky, GP v. Department of Revenue, 2020-CA-0301-MR (Ky. App. July 9, 2021), discretionary review granted, 2021-SC-0300 (Ky. Feb. 16, 2022). This case involves the manufacturing supplies exemption of KRS 139.470(9)(b)2.b. The Court of Appeals relied upon an exception from the supplies exemption, i.e., “‘Supplies’ does not include repair, replacement, or spare parts of any kind…” and “The exemption … does not include repair, replacement, or spare parts[.]”, Id. at 2-3 (emphasis in original, quoting KRS 139.470(9)(b)2.b & (e)), to hold that the involved items were not tax-exempt. The Court of Appeals, borrowing heavily from the Circuit Court, focused its analysis on whether each item at issue, a repair, replacement, or spare part was because it was (or was not) “tangible personal property used to maintain, restore, mend, or repair machinery or equipment”. Id. at 3-4.
