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“Ethics is knowing the difference between what you have a right to do and what is right to do.”- Potter Stewart Ethics is an integral part of an individual that defines his/her professional ethics. And accounting is one such profession that affects the lives of millions of people each day which makes ethical accounting practices even more important. An accountant’s one mistake (be it intentional or unintentional) can wreak havoc in people’s life. Enron scandal of 2001 is one such example that is cited as the biggest audit failure and left the Accounting profession questionable. Therefore, ethical accounting practices are very important as businesses are counting on them to be fair and also it influences the lives of ordinary people to a great extent. Here’s what Ethical Accounting incorporates: Ethical Accounting and How to Practice it: We are living in a globalized marketplace where Accounting services can be carried out from all around the world. Fair and transparent accoun...

On June 16, 2020, The Small Business Administration (SBA), released new loan forgiveness application forms and corresponding instructions for borrowers seeking forgiveness of their Paycheck Protection Program (PPP) loans.They also unveiled a new EZ form for forgiveness of PPP loans. On June 17,2020, SBA also released a new interim final rule #19 providing updated guidance on the use of PPP loan proceeds and loan forgiveness. These updated materials implement and clarify aspects of the recently enacted Paycheck Protection Program Flexibility Act (PPPFA) which changed several aspects of PPP loan and the calculation of loan forgiveness. The new guidance issued on PPP loan forgiveness and interim final rule #19 are provided below: Key Takeaways: Guidance issued on PPP loan forgiveness continues to be inconsistent. The new loan forgiveness application forms use a calculation that would exclude interest from the calculation of loan amount to be forgiven.  Previously SBA had r...

The Revenue Recognition Principle is the concept that determines how revenue should be recognized and reflected in a business’ balance sheets and Financial Preparation services statements. It differs in how one accounting principle does it than the other. The International Financial Reporting Standard (IFRS 15) was introduced by the Accounting Standards Board to provide a way to determine the revenue recognition model in its unique way. This helps improve comparisons within industries, across industries and in different parts of the capital market. Why is the IFRS 15 Important? The IFRS 15 is important as it helped outline the difference and therefore make a common ground between the revenue recognition of IASB and IFSB. As the guidance and principles of both differed, the IFRS 15 brought consensus to the same. Since when is IFRS 15 in Effect? The fresh IFRS rules have been in effect since May 2014 and the annual reporting period has begun from January 2018 and replaces all...

Statutory compliance in Payroll is a complex process with changing legislation, varying allowances and deductions and compliance issues. Many businesses manage payroll in-house while some outsource it to a third party. The goal is to adapt constantly changing legislation and to avoid compliance risk. One of the most important concerns of an employer is to meet statutory compliance in payroll. Payroll is one of the most regulated functions in an organization that must meet federal, state and local jurisdictions requirements. What is Statutory Compliance? Statutory Compliance is the process of fulfilling official requirements. Hence, statutory compliance is a legal framework to which organizations must abide by. In nutshell, statutory compliance means adhering to rules and regulations. About this Process There’s a pre-defined legal framework within which any given organisation must function. This framework is termed as statutory compliance. Basically, the organisation must treat...

Businesses can find it difficult as well as challenging to keep accurate records of their financial transactions. Bookkeeping can take up a lot of time. It also requires specialised knowledge to perform bookkeeping. You may hire an in-house bookkeeper or outsource your bookkeeping to a third party. But virtual bookkeeping service providers would offer a better solution. What is Virtual Bookkeeping? Virtual bookkeeping is an online platform with the use of technology that allows experienced and qualified bookkeepers to offer their accounting process to businesses virtually. Enabled by the online collaboration skills and internet, it consists of a team of virtual bookkeepers offering online bookkeeping services instead of working at the client’s office. You may communicate with them using software. The bookkeepers record the company’s financial transactions from a remote location. All your interactions would be through video calls or messaging apps. You may never meet them in perso...

Accounting in the year 2020 is more than just crunching the numbers and availing maximum tax benefits. It is about going ahead and overcoming the major challenges faced by accountants that are hindering you from achieving your goals. The failure to see these and acting on them promptly, not only affect your profits, but derail you from your path of efficiency. This blog is a round-up of all the challenges and industry forecasts for the year 2020, and how you can act on them today, and secure your accounting practices with a clear and promising future. Accounting Challenges Faced by Accountants Today: · Keeping Up With the Changes in Tax Regulations: Tax compliance and maximising client benefits is the base task for any tax accountant. But the constant changes in taxation are making the need to keep up with the updates, more important than ever. Whether it is to do with regulations, client benefits, revenue generation, etc. or more complex changes, failing to abide by which ca...

Organizing and streamlining your business operations and logistics is the ultimate goal of every business. Outsourcing bookkeeping and accounting tasks are one such way to efficiently run your business. The financial professionals assist you in handling your financial records and finance-related concerns. These industry experts are a team of highly accredited and trained professionals. They help you in running your business better by taking away these tasks off your hand so that you can get more time to run your business and generate better profits. There are various advantages of outsourcing your bookkeeping activities, like saving overhead employment charges and additional costs. These hard to pass up advantages have made businesses largely take the plunge.  But, then there are some businesses that still are not completely sold on the idea of giving the reins of their financial operations in the hands of a third party. Charting out a complete list of the pros and cons of...

Finance is an unpredictable procedure with evolving enactment, fluctuating recompenses and findings and compliance issues. Numerous organizations oversee finance in-house while some re-appropriate it to an outsider. The objective is to adjust continually changing enactment and to maintain a strategic distance from compliance hazard. One of the most significant worries of a business is to meet Statutory Compliance in finance. Finance is one of the most controlled capacities in an association that must meet government, state and nearby locales necessities. What is Statutory Compliance? Statutory Compliance is the way toward satisfying authority prerequisites. Subsequently, statutory compliance is a legitimate structure to which associations must maintain. In nutshell, statutory compliance implies sticking to rules and guidelines. A great deal of difficult work, time and cash goes in to ensure finance is agreeable through statutory reviews. Each organization has dive...

Managing business finances is a vital part of a business and good accounting software can help with managing it. Most of the small businesses use QuickBooks as their accounting software.  QuickBooks is easy to use and is loaded with features that save you time. QuickBooks saves around 40 hours per month on accounting tasks, which makes it the best choice for QuickBooks for Small Business owners so that they can focus the rest of their time on managing and growing their business. The software is incredibly affordable.  QuickBooks is the dream accounting software application for small businesses. It consists of the following features: Automations: QuickBooks automates the task, making the accounting work less time-consuming and less stressful for small business owners. The software can automate recurring invoices, bill payments, paying reminders, sync data from bank and credit card transactions, reconcile and categorize expenses- all of this eliminates the ...

Outsourcing accounting services has increasingly become a common trend for today's businesses. Virtual accounting is the newest outsourced method which is cost effective and efficient. Technology has made virtual accounting very easy and is really helpful for companies nowadays.  During this pandemic, more and more companies are hiring cloud based virtual accountants for their accounting related services.  You’ll enjoy accurate financial reporting at your convenient time. You’ll get instant 24X7 accesses to financial data to make business decisions and more.  What is Virtual Accounting? Virtual accounting is an online platform with the use of technology that allows experienced and qualified accountants to offer their services to businesses virtually. Enabled by the online collaboration skills and internet, it consists of a team of virtual accountants offering online Virtual accounting services instead of working at the client’s office.  The following ar...