There has been much discussion about restructuring the California Tax System. Currently, California relies significantly on personal income tax collection to fund its state expenditures. Tax revenue based on personal income relies heavily on the unpredictability of capital gains which makes it impossible to forecast the state’s future revenue. This puts California in a very vulnerable situation should the stock market collapse, creating an abrupt shortfall in the State budget. Most people would agree that the California tax system is outdated, unfair, unreliable and long overdue for tax reform. (more…)
Amie Gray, CEO of N³ Innovation, spoke at the ASL Emerging Business Group’s best practices seminar on, “Using Innovation to Grow Your Emerging Business.” In this podcast, Amie shared that innovation sustains your business and to do research to plan for what your market will look like in three to five years out. Take a listen to hear more about what Amie shares in this mini podcast.
Google executives recently defended the company’s tax settlement with the United Kingdom to a select committee of the British House of Commons.
The appearance before the panel followed news of a deal the company struck with the U.K. under which it will pay £130 million ($186 million) in back taxes. British tax authorities said the amount is over and above the tax that Google would have paid for past years (or would pay for the current period). (more…)
China has widened the number of qualifying research and development (R&D) costs that are eligible for a super deduction for Chinese corporate income tax purposes.
The country released Circular 119, which would allow Chinese resident enterprises to retroactively deduct qualifying R&D expenses incurred over the past three years, among other things. The information in the guidance is part of China’s continuing efforts to strengthen and encourage R&D innovation and development strategies. (more…)
The IRS has issued proposed regulations requiring large companies to report information such as the
amount of revenue, profit or loss, capital and accumulated earnings for each country where they operate.
The filing of these annual country-by-country (CbC) reports is consistent with recommendations by the Organisation for Economic Cooperation and Development (OECD) aimed at helping to combat base erosion and profit shifting. Under the IRS regulations, the reports are to be filed by the U.S. persons that are the ultimate parent entity of a multinational enterprise (MNE) group with annual revenue of $850 million or more for the immediately preceding annual accounting period. The reporting form would include, on a country-by-country basis for each separate entity, such information as: (more…)
For years, ASL has published a well-received resource for entrepreneurs called the “New Business Start-Up Guide.” The newest edition adds helpful sections on how to value a start-up, and how to value an ongoing business. In addition, there are new exhibits on: “Top Five Challenges Facing Start-ups Today” and “Ten Governing Principles for a Start-up.” All the other sections have been updated for the latest best practices, and links to useful resources. (more…)
The Australian Taxation Office (ATO) took the unprecedented step of publishing a report with the tax details of 1,500 large corporate taxpayers, showing that nearly 600 of the largest companies operating in Australia paid no tax in 2014. (more…)
Rev Rec (Wreck?) and Other Changes for Startup Companies
The accounting world has been keeping pretty busy. While most of the noteworthy news revolves around the new revenue recognition standard ASU 2014-09, the latest standards released by the Private Company Council (PCC) to address the unique needs of the users and preparers of private company financial statements are not too far behind. (more…)