Starting Jan. 3 you can renew access to your clients’ MyFTB accounts from your Client List page. To avoid interruptions in access to your clients’ accounts, be sure to renew your access more than 10 business days in advance of the 13-month expiration date. When you renew your access, FTB will send a notification to your client (FTB 4099, 10 business day hold), giving them an opportunity to deny your access.

As a reminder, FTB recommends you use FTB Form 743, Online Account View Access Authorization, or a comparable form, to obtain your client’s permission prior to adding them to your Client List. Do not send FTB Form 743 to the FTB; instead, retain a copy as part of the client’s tax information.

You also must reset your MyFTB password every 12 months. The FTB will send you an email 30 days prior to your password expiration, at which time you can reset it. If your password expires, you will be able to reset it the next time you log on without having to re-register your Tax Preparer account.

Be Heard: CPA Day in Sacramento

Registration is open for the next CPA Day at the Capitol—Jan. 31—in Sacramento. This event allows members to set the groundwork for CalCPA’s advocacy efforts for the upcoming session by discussing important issues facing the CPA profession and businesses.

CPA Day provides members with the chance to be at the forefront of several key issues, such as taxes on professional service proposals. The Legislature will reconvene in January, and CalCPA plans to once again maintain an active presence in the Capitol.

New Jan. 31 Deadline for Employers

The Protecting Americans from Tax Hikes Act, enacted in December, includes a new requirement stating employers must file their copies of Form W-2, submitted to the Social Security Administration, by Jan. 31. The new filing deadline also applies to certain Forms 1099-MISC reporting non-employee compensation such as payments to independent contractors.

The new accelerated deadline will help the IRS improve its efforts to spot errors on returns filed by taxpayers. Having these W-2s and 1099s earlier will make it easier for the IRS to verify the legitimacy of tax returns and properly issue refunds to taxpayers eligible to receive them. In many instances, this will enable the IRS to release tax refunds more quickly than in the past.

California Competes Tax Credit Deadline Approaching

The California Competes Tax Credit is an income tax credit available to businesses that want to come, stay or grow in California. Tax credit agreements are negotiated by GO-Biz and approved by a statutorily created California Competes Tax Credit Committee, consisting of the State Treasurer, the Director of the Department of Finance, the Director of GO-Biz and one appointee each by the Speaker of the Assembly and Senate Committee on Rules.

For fiscal year 2016-17, GO-Biz will accept applications for the California Competes Tax Credit during the following periods:

  •  Jan. 2–Jan. 23: ($100 million available)
  •  March 6–27: ($68.3 million plus any remaining unallocated amounts from the previous application periods)

Build Leadership Skills, Share Expertise

Want to use your talents at the statewide level? Your opportunity awaits—the application period is open through Jan. 15 to serve on our CalCPA committees for 2017-18. From estate planning to technology, and from personal financial planning to taxation, there’s a committee meeting your interests and expertise.

Please note: If you serve on a state committee and would like to continue, reapplication is necessary.

Serving on state committees allows you to work with your peers on projects that increase members’ technical knowledge, enhance the profession’s image and draw the best and brightest into accounting—all while you build leadership skills and make valuable contacts.

FASB Issues Targeted Changes to Key Areas of Accounting Guidance

The Financial Accounting Standards Board issued an Accounting Standards Update that clarifies and removes inconsistencies in key areas of U.S. Generally Accepted Accounting Principles.

The provisions in the ASU impact several topical areas in the FASB Accounting Standards Codification. Most of the amendments are effective immediately; others take effect for interim and annual reporting periods beginning after Dec. 15, 2016. The amendments in the ASU apply to all reporting organizations—including public companies, private companies, and nonprofit organizations—within the scope of the affected accounting guidance.

Read a list of the amendments affecting all companies and organizations.