September 1999

Society Introduces Fiscal Year Reform Site

President Urges Letter Writing Campaign

By James A. Woehlke, CPA

The NYSSCPA recently introduced the Center for Fiscal Year Reform, a special section on the Society's website that contains a number of resources on fiscal year reform.

The new site is part of Society President Alan E. Weiner's efforts to mobilize members and CPAs across the country to communicate to the AICPA their concerns about fiscal year reform, sometimes referred to as "workload compression."

The issue dates back to the Tax Reform Act of 1986. While traditionally, CPAs have experienced a heavy first-quarter workload due to calendar year-end audits and tax filing deadlines for individuals and certain businesses, the 1986 act seriously aggravated the problem by requiring nearly all small businesses to use a calendar year-end.

The AICPA studied the issue, and, in the early 1990s, encouraged Congress to pass a law to alleviate the year-end burden on small businesses. When legislative efforts failed, the issue became a low priority for the Institute, which eventually adopted a belief that CPAs generally have adjusted to the workload compression problems.

The Society's Center for Fiscal Year Reform provides related articles from various Society publications, discussion points, and other background information. Members also can complete an e-mail letter to AICPA Chair Olivia Kirtley. The Society will gather all responses and forward them to the Institute.

"I hope that CPAs across New York state remain concerned about the crying need for fiscal year reform," Weiner said. "Increased flexibility will give small businesses more freedom to set their accounting period, and, at the same time lessen CPAs' workload compression. I encourage CPAs to register their concerns about fiscal year reform with the Institute--and soon."

Weiner asks CPAs to send letters prior to the AICPA Council meeting that begins on October 17, in an effort to get AICPA leaders to re-examine the issue as soon as possible.

Members can access the center through a link on the Society's home page (www.nysscpa.org) or directly at www.nysscpa.org/society/fiscal_reform/reform.htm.

Previously, Weiner wrote to the managing partners of New York public accounting firms and to the presidents of other state CPA societies to encourage them to communicate their concerns to the AICPA. These efforts follow the NYSSCPA board of directors' June resolution that recognizes the continuing problems of workload compression, and calls on the AICPA to address the issue. Weiner also sent a letter in August to Kirtley outlining the board's views.

CPAs choosing to use traditional mail should send their letters to Kirtley at the AICPA's New York City headquarters (1211 Avenue of the Americas, New York, NY 10036-8775), with copies to AICPA President Barry C. Melancon (same address as Kirtley), and Weiner (NYSSCPA, 530 Fifth Avenue, New York, NY 10036-5101).