CPA Voice - January/February 2023

CONTENTS

feature

20 The new CPA Exam sets the profession up for success

The change brought on by the CPA Evolution initiative and the new CPA Exam is one of the most significant indicators of a rapidly changing accounting profession.

in depth

2 CEO letter 3 Self-assessment exam

Free for members! 4 Lame-duck legislative wrap-up

Ohio’s lame-duck legislative session at the end of 2022 was plenty busy.

6 Virtual interviews: 5 tips for excelling through the screen Job interviews can be intimidating, but virtual interviews can be even more so. 8 The value of unapologetic authenticity

An action that may feel small or insignificant to you may just be the inspiration someone else needs to continue their journey. 10 Quality management implementation starts now

The best time for firms to begin implementing the new AICPA Quality Management Standards is now. 16

Future of accounting and finance: Integration and elevation

Which matters more: strategists or technicians? Much like the age-old debate between nature and nurture, the answer is that both skill sets matter equally for different reasons. 26 3 R&D tax credit predictions for the new year

2023 may be a mix of favorable and unfavorable changes. 30 Ohio CPA/PAC Annual Report 38 Learning events at a glance

VOLUME 15 | ISSUE 1

EDITOR

Jessica Salerno-Shumaker –jsalerno@ohiocpa.com

GRAPHIC DESIGN

Kyle Anderson – kanderson@ohiocpa.com

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REPRINTS

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CPA Voice is the official magazine of The Ohio Society of Certified Public Accountants. CPA Voice’s purpose is to serve as the primary news and information vehicle for the nearly 21,000 Ohio CPA members and professional affiliates. Articles are reviewed for technical accuracy. However, the materials and information contained within CPA Voice are offered as information only and not as practice, financial, accounting, legal or other professional advice. While we strive to present accurate and reliable information, The Ohio Society of CPAs makes no warranties regarding the accuracy of the information provided herein. Readers are strongly encouraged to conduct appropriate research to determine the accuracy of the information provided and to consult with an appropriate, competent professional adviser before acting on the information contained in this publication. The statements of fact, thoughts, advice and opinions expressed in CPA Voice are those of the authors alone and do not represent or imply the positions, opinions, nor endorsement of The Ohio Society of CPAs or of its publisher, editors, Board of Directors, or members. It is our policy not to knowingly accept advertising that discriminates on the basis of race, religion, gender, age or origin. The Ohio Society of CPAs reserves the right to reject paid advertising in its sole discretion. We do not necessarily endorse the resources, services or products unrelated to The Ohio Society of CPAs that may appear or be referenced within CPA Voice, and make no representation or warranties about those products or services or the accuracy and claims regarding those products and services.

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CPA Voice (ISSN 0749-8284) is published six times per year by The Ohio Society of CPAs, 4249 Easton Way, Suite 150, Columbus OH 43219, 614.764.2727. Subscription price for non-members: $39.95.

Copyright © 2023 by The Ohio Society of CPAs; all rights reserved. No part of the contents of CPA Voice may be reproduced by any means or in any form, or incorporated into any information retrieval system without the written consent of CPA Voice. Permission requests may be sent to the editor at the address above. While care will be given to all materials submitted for publication, we do not accept responsibility for unsolicited manuscripts, and they will not be returned unless accompanied by a self-addressed postage prepaid envelope.

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from our CEO

Make this your year of opportunity

Whether you chose to embrace New Year’s resolutions or not, there is something refreshing about the beginning of the year. And in 2023 I encourage you to look for all the opportunities, big and small, that you can find. This is, after all, the opportunity profession.

Taking advantage of the opportunities in your professional and personal life are what will get you to where you want to be. This isn’t groundbreaking information, but it is a crucial reminder when it can be difficult to see beyond the slog of the daily routine and wonder how you will reach your goals.

From the new graduates entering the profession to those who are contemplating retirement, there are opportunities to gain experience in whatever area you’re searching for, as long as you stay open minded.

Every day, there are trusted advisors in Ohio who are working with startups, mom and pop shops, the middle market and global enterprises. You are taking the opportunity to help business leaders navigate the challenges that this economy is encountering and advancing the state of business.

Remember that learning from OSCPA will always be an opportunity available to you as a member. Coming up we have Town Halls, the Pivot or Pause 2023 Economic Summit, the Strategic Finance & Accounting Conference and much more. Go to my.ohiocpa.com to explore more learning available and partner with us to find new opportunities and reach your goals.

Take care,

Self-Assessment Exam

D.

Log in to my.ohiocpa.com, look up the exam using the product ID number above and answer the 12 required questions based on content in CPA Voice.

COST

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JANUARY | FEBRUARY 2023

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ONLINE INSTRUCTIONS

1. Log in to my.ohiocpa.com

2. Search “CPA Voice” and then find the appropriate exam.

3. If you’re a member, click “Enroll.” If you’re a nonmember, click “Add to cart” and purchase the exam.

4. On the Confirmation Page click “Go to your learning center.”

5. The exam will be available under the “Current” section. Turn off pop-up blockers, then click “Launch.”

SELF-ASSESSMENT EXAM RESULTS

Respondents taking the exam online receive their results immediately. Respondents who pass with a grade of 70% or better receive one hour of CPE credit in specialized knowledge, as approved by the Accountancy Board of Ohio.

Lame-duck legislative wrap-up

By Greg Saul, Esq., CAE, OSCPA director of tax policy

Key issues of broad interest to Ohio CPAs that saw action included:

House Bill 45, drafted initially to create a temporary tax amnesty program, became the vehicle doling out nearly $6 billion of mostly federal ARPA funds. Of note, the legislation authorizes a deposit of $749 million into Ohio’s Budget Stabilization Fund – commonly referred to as the Rainy Day Fund. This deposit will take the fund’s balance from $2.71 billion to $3.46 billion, representing the statutory maximum of 8.5% of the FY 2022 General Revenue Fund (GRF).

At any time in calendar year 2023 (but before Nov. 1, 2023), H.B. 45 requires the Director of Budget and Management to determine if it is necessary for the state to administer a tax amnesty program. The director will make that determination only if they find that the GRF will require additional proceeds from the amnesty program to meet obligations required to be paid from the GRF in the calendar year 2023.

This scenario is not likely to play out because Ohio currently has a FY 2023 surplus of $510.3 million (3.8% above estimates). However, on the very small chance it does occur, the amnesty program would be a two-month

Ohio’s lame-duck legislative session at the end of 2022 was plenty busy, culminating with an overnight marathon session that lasted until around 6 a.m. on Dec.15.

period during which taxpayers owing past-due state taxes and certain fees may discharge the debt by paying the delinquent tax or fee without having to pay the penalty and accrued interest normally due. The most recent general tax amnesty was conducted by the Ohio Department of Taxation in early 2018.

House Bill 66, originally drafted to require the reporting and review of property tax exemptions, became the taxrelated vehicle that passed. The legislation picked up an OSCPA-supported amendment allowing taxpayers to apply to the Tax Commissioner or Superintendent of Insurance for a refund of any amount the taxpayer overpaid, including tax-related penalties and fees. In general, current law specifies that the Commissioner or Superintendent may only refund overpaid taxes, with interest.

Another issue clarified in H.B. 66 specifies that the maximum amount of an existing income tax credit for donations to scholarship granting organizations (SGOs) that can be claimed by spouses filing jointly is $1,500. Current law limits the credit to $750 per taxpayer, but it did not include specific language regarding the treatment of joint returns. For more information on the scholarship donation credit and a list of eligible SGOs, please visit the Ohio Department of Taxation’s website

H.B. 66 was signed into law by Gov. DeWine on January 2, and H.B. 45 was signed on January 6. Both bills were effective immediately.

Greg Saul, Esq., CAE is director of tax policy for The Ohio Society of CPAs. He can be reached at gsaul@ohiocpa.com or 614.321.2224

Virtual interviews: 5 tips for excelling through the screen

By Nicole Garcia, Traphagen CPAs & Wealth Advisors

Many employers have transitioned to virtual recruiting and interviewing. While this has benefits for both parties, it opens the door to some possible challenges. You should enter a virtual interview with the same mentality as you would for an in-person interview.

Choose an appropriate workspace

Making a good first impression is essential when interviewing virtually.

• Ensure the area you’ll be in during the interview has appropriate lighting and is clean, quiet and free from distractions.

• No loud pictures or wall art, piles of papers, open windows or distracting noises.

• If you don’t have an appropriate workspace at home, try a local library, university or communal workspace that offers private spaces.

Test all electronics

One of the added components of a virtual interview is making sure all your electronic devices are working properly.

• Make sure your speakers, microphone, camera and computer are working the day before as well as a few hours before the interview.

• Be familiar with the video software and have an account set up.

• Ensure access to reliable WiFi.

• Don’t rely on your laptop’s battery power; use a power cord.

Dress to impress

Although the interviewer may only see you from your chest up, it is important to dress professionally from head to toe. Dress as if you were going to an in-person interview. Presenting yourself in a polished and professional manner will not only project a business intent but will also help you feel more confident.

Present yourself as you would in person

Sometimes maintaining professional mannerisms and body language can be difficult in the comfort of your own home. However, maintaining good posture and eye contact with the camera shows the interviewer that you are giving them your undivided attention and fosters a better connection. Give a slight head nod or ask clarifying questions to reassure the interviewer that you are engaged.

Be prepared

Log into the meeting at least 10 minutes early. Prior to the interview, spend some time researching the company, their values, their culture and their leadership team. In addition, be prepared with questions for the interviewer; this is your time to truly learn about the position and their expectations and show you are interested and enthusiastic about their company.

Reprinted with permission of the New Jersey Society of CPAs, njcpa.org

Nicole Garcia is an accountant at Traphagen CPAs & Wealth Advisors.

Job interviews can be intimidating, but virtual interviews can be even more so.

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DIVERSITY, equity & inclusion

The value of unapologetic authenticity

By Sergio Rodriguez, CPA

Being one of the only individuals from a specific identity or community can feel extremely isolating and be a large source of anxiety. Over the last 10 years, I’ve experienced firsthand what it feels like being the “lonely only” as both a Latino and an LGBTQIA+ CPA. As a lonely only, my mind was constantly in a state of assessing the safety of the situations I was in, asking myself questions like: Is this place safe for me? If my team leaders find out I’m gay, will it impact my career? Will these clients want to work with me if they know I’m an immigrant?

These questions led to a “conceal, don’t feel; don’t let them know” mentality. I found that juggling my work while covering my true identity really took a toll on me. During my first few years in public accounting, I was always monitoring my gestures, perfecting my “American accent,” and masking pronouns when talking about significant others or friends.

However, that all changed the morning of June 12, 2016, when I woke up to news of a gunman attacking Pulse, an LGBTQIA+ and Latinx nightclub in Orlando, Fla. While we may never know the exact motive for the attack, it felt to me that it was fueled by hatred and prejudice toward my community, and it shook me to my core.

That week, as I took time to mourn the victims and honor their lives, I made a commitment to do my part to increase visibility and awareness of the LGBTQIA+ community—if I could just change one mind or help just one person truly understand who we are, it would be worth it.

First, I came out to my grandparents, the last members of my family that were still in the dark. Then, I wrote an email to my coworkers about the attack, sharing how I was feeling and extending my support to anyone that needed it. This email was shared with my entire office (with my permission), and before I knew it, I instantly came out to thousands of people. I would never not be “out of the closet” again.

From that moment on, I started wearing a Pride rainbow bracelet every day, I talked about my involvement with our LGBTQIA+ employee group during recruiting events and staff trainings, and I stopped masking pronouns. I started living authentically—and the benefits started manifesting in better relationships with my coworkers and clients, more career satisfaction, increased work performance, and less anxiety from not having to hide my true self.

After a few years, when I was a manager, I had a staff member approach me about their professional experience as a member of the LGBTQIA+ community. The staff member shared she’d been suffering from severe anxiety leading up to her first day at the firm, as she’d been treated poorly by a previous employer due to her identity. She told me she felt a huge sense of relief once she saw my Pride bracelet during an onboarding session that I facilitated. Seeing me as an “out” leader and being open about my life and involvement with our LGBTQIA+ group made her feel like she found a place where she could belong authentically. It was amazing to learn that by just being myself—unapologetically authentic—I was able to help this person feel less like a lonely only and more as part of a community. I’ve continued to receive similar messages from others, both in my network and from people I’ve never met before, who’ve been equally impacted by initiatives, social media posts, or presentations that I facilitated.

This has been the most rewarding part of committing to being authentic—being able to show others they can be proud of what makes them unique; that just by being themselves, they are enough; and above all, that they can belong. My biggest lesson? An action that may feel small or insignificant to you may just be the inspiration someone else needs to continue their authentic journey.

Rodriguez, CPA, is a senior manager at Deloitte in Chicago.

Reprinted with permission from the Illinois CPA Society.

An action that may feel small or insignificant to you may just be the inspiration someone else needs to continue their journey.

Sergio

Quality management implementation starts now

By Laura Hay, CPA, CAE, OSCPA executive vice president

The best time for firms to begin implementing the new AICPA Quality Management Standards is now.

Ahava Goldman, AICPA associate director of Audit and Attest Standards spoke to attendees at the Ohio Accounting Show and shared a best-practice implementation timeline and strategies for the new standards.

Issued in June 2022, the four new standards are:

• Statement on Quality Management Standards (SQMS) No. 1, A Firm’s System of Quality Management

• SQMS No. 2, Engagement Quality Reviews

• Statement on Auditing Standards (SAS) No. 146, Quality Management for an Engagement Conducted in Accordance with Generally Accepted Auditing Standards

• Statement on Standards for Accounting and Review Services (SSARS) No. 26, Quality Management for an Engagement Conducted in Accordance with Statements on Standards for Accounting and Review Services

Key callouts

The requirement to implement Quality Management (QM) standards applies to every firm that conducts engagements under SASs, SSAEs, or SSARS.

The standards apply a risk-based approach, in which the firm is required to consider risks specific to the practice, rather than being able to rely upon one-size-fits-all practice aids.

Updated components include more robust leadership and governance requirements, and an enhanced monitoring and remediation process.

SQMS No. 1 components

The firm’s system of quality management includes eight components, two of which are new:

1. The firm’s risk assessment process (new)

2. The monitoring and remediation process

3. Governance and leadership (adapted from the current leadership responsibilities for quality within the firm)

4. Relevant ethical requirements

5. Acceptance and continuance of client relationships and specific engagements

6. Engagement performance

7. Resources (adapted from the current human resources component)

8. Information and communication (new)

Of note:

Firm leadership is required to take overall responsibility for the quality management system, to ensure that there is an annual evaluation of the system, and to perpetuate a culture that demonstrates a commitment to quality and permeates throughout the firm.

“ WE BELIEVE THIS QUALITY MANAGEMENT SYSTEM IS VERY SCALABLE, BECAUSE IT IS TAILORED TO THE NATURE AND CIRCUMSTANCES OF THE FIRM AND THE ENGAGEMENTS IT PERFORMS. THIS DOES NOT REQUIRE FIRMS TO DO THINGS THAT ARE NOT RELEVANT FOR THEIR SIZE OF FIRM.”

Ahava Goldman, AICPA associate director of Audit and Attest Standards

The risk assessment process requires the firm to (1) establish quality objectives specified in SQMS No. 1 (2) identify and assess risks that would affect the ability to achieve quality objectives, (3) design and implement responses to those risks in the form of policies and procedures, and (4) identify circumstances that would require updating the responses in between evaluations (for example, accepting a new industry or level of engagement.)

Monitoring and remediation include (1) a framework for evaluating findings, identifying deficiencies, and investigating the root causes of deficiencies, (2) appropriate remediation of deficiencies and determining if those remedial actions are effective, and (3) communication to the engagement team and others.

Determination of when an Engagement Quality Review (EQR) is appropriate is the firm’s judgment, but the QM system needs to set the criteria for when an EQR is performed.

For audit engagements, SAS 146 addresses the engagement partner being sufficiently and appropriately involved in the audit.

Effective dates

Dec. 15, 2025, is the date by which SQMS No. 1 implementation should be completed, and the quality management system of the firm be in place and operational.

From now until 2025, firms should perform their risk assessment, gap analysis, and designing and implementing new responses. Peer reviewers are a great resource to consult in conducting the firm’s risk assessment and identifying new responses.

Between Dec. 15, 2025, and Dec. 15, 2026, firms should:

• Perform the firm’s first annual evaluation as required under the new standards

• Perform EQ reviews as required by firm policy

• Apply the requirements of the QM SAS starting with calendar year 2026 engagements

Early adoption is permitted if all the QM standards are implemented at the same time.

Implementation steps

Best-practice implementation steps Goldman recommended are:

1. Understand the standards

Several implementation resources can be found at: https://www.aicpa.org/auditqm

In addition to CPE and executive summaries, practice aids include a crosswalk from Statement on Quality Control Standards No. 8 to SQMS No. 1, and a practice aid for small firms and sole practitioners.

2. Develop a plan for implementation

Develop an implementation plan and timeline. Determine who in the firm will own the process, and who will lead the implementation. Consult with the firm’s peer reviewer. Include time in budgets for appropriate personnel.

3. Perform the firm’s risk assessment

Establish required quality objectives. Identify and assess quality risks. Consider tackling one component at a time.

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4. Perform a gap analysis

Map existing responses to the risks identified and identify gaps for which new responses are required. “You may find that there are things you can stop doing,” noted Goldman. “Some firms are identifying existing responses that don’t match to a risk.”

5. Design and implement new responses

AICPA practice aids are helpful in identifying potential responses, but the tailoring of the process to the circumstances of the firm will require customizing those responses and identifying additional responses.

6. Document

Prepare the plan document. “The hardest part in documenting the firm’s QM plan is getting the level of risks right,” said Goldman. “The firm is not required to document every single consideration. You don’t want to be at 30,000 feet; but you don’t want to be in the weeds either. For smaller practices, the elements for each component may simply be Quality Objectives, Quality Risks and Responses, and how they address risks.”

7. Establish the process for ongoing monitoring and remediation

Design the monitoring system, including how findings will be identified, evaluated, remediated and communicated. How will the design of the QM system and processes be evaluated, including changes in standards and consideration of the results of previous monitoring activities?

8. Evaluate whether the system provides reasonable assurance that objectives of Quality Management are being met

This is a step-back requirement of leadership, to be conducted annually, including in peer review years. The first annual evaluation is to be completed within one year of Dec. 15, 2025.

“

DEC. 15, 2025 SEEMS LIKE A LONG WAY OFF, BUT THE IMPLEMENTATION PROCESS IS LONG. START NOW, GET IT RIGHT THE FIRST TIME, GET IT DONE ON TIME, AND IT WON’T BE OVERWHELMING.”

Ahava Goldman, AICPA associate director of Audit and Attest Standards

Laura Hay, CPA, CAE is the executive vice president of The Ohio Society of CPAs and staff liaison to the Accounting, Auditing, Professional Ethics Committee and Peer Review Committee. She can be reached at Lhay@ohiocpa.com or 614.321.2231.

Learn more about the new quality management standards by taking “Audit & Attest Update: What’s Going on at the AICPA” at my.ohiocpa.com

THREE THINGS

3. Dec. 15, 2025 is the date by which SQMS No. 1 implementation should be completed, and the quality management system of the firm be in place and operational.

1. The best time for firms to begin implementing the new AICPA Quality Management Standards is now.

2. The requirement to implement QM standards applies to every firm that conducts engagements under SASs, SSAEs, or SSARS.

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Future of accounting and finance: Integration and elevation

By Tiffany Crosby, CPA, CGMA, MBA, OSCPA chief learning officer

Strategists help define the action plan that will take you where you want to go. Tactical technicians help you execute the individual steps and actions that will get you there. For success, organizations need both aspects to work in alignment. In the world of accounting and finance, strategists and technicians were often separated by roles and team structures. However, the rapid pace of business no longer affords such distinctions. The future of accounting and finance is one in which individuals possess strategic and technical skills.

When AICPA surveyed their CFO Leadership Advisory group about the top five trends facing finance and accounting in the fall of 2022, the top challenge was finding and retaining talent. The need for new competencies was tied for second place along with the impact of inflation and maintaining culture in a hybrid environment. Accelerated digital transformation, recession risk, and emerging trends in DEI and ESG, supply chain, and cyber rounded out the top five. When taken collectively, these trends point to the evolving role of accounting and finance professionals as valued partners with expanded responsibilities. Companies need talent that can manage risk, provide insight and foresight, and guide the organization toward positive performance. This talent need is the driving force for efforts to upskill and reskill the existing workforce and for elevating the skills of entrants into the profession through CPA Evolution.

CPA Evolution

At its core, CPA Evolution recognizes that the accounting profession has evolved. Changes in the business environment have intensified the need for broad business acumen, strategic analysis, critical thinking and problem-solving. Our technological environment demands digital proficiency as a baseline skill. At the same time, the accounting and finance technical body of knowledge continues to grow.

Mastery across the full body of knowledge is not possible. By making a clear distinction between the technical knowledge necessary to provide a strong foundation for all professional accountants and the specialized knowledge required within a particular discipline, the redesigned CPA exam provides three clear benefits for the talent pipeline:

1. Employers benefit from knowing that CPAs possess essential technical knowledge, relevant digital skills and the ability to analyze and synthesize information.

The entry-level technical and business skills gaps noted by employers should

Which matters more: Strategists or technicians? Much like the age-old debate between nature and nurture, the answer is that both skill sets matter equally for different reasons.

continue to decline as more students are exposed to new curriculum in preparation for sitting for the CPA Exam. In previous OSCPA surveys, employers noted gaps in business acumen, financial statement preparation, internal controls, business process, and critical thinking and problem-solving skills.

2. Students benefit by gaining the ability to align elective studies with career interests, such as information technology or business analysis, which broadens their skill sets in competencies valued by employers. For example, a student selecting the Information Systems and Controls (ISC) discipline may have an interest in data management, data science or IT auditing. However, an individual choosing the Business Analysis and Reporting (BAR) discipline may have more of an interest in general accounting or controllership. Of course, the exam taken does not affect the CPA license awarded or confine an individual to a potential job path. Instead, the discipline exposes students to a deeper knowledge in a particular area.

3. The profession benefits by becoming better poised to respond to business environment changes. For example, the mix of core and specialized content can be adapted to incorporate emerging risks more easily. Additionally, accountants taking a lead in ESG, supply chain, or cyber will have a broad business and technical skill set to build upon.

Talent structures

The future of accounting is not just changing how we develop talent for the pipeline, but also how accounting and finance teams are structured as integrated functions and the role of the CFO is elevated. Spurred by technological innovations, many middle market organizations are consolidating strategic finance, general accounting, and risk management roles and responsibilities under one leader.

Where necessary to augment skills or maintain sufficient capacity, finance organizations are sourcing talent externally in on-shore and off-shore arrangements. These new multi-disciplinary, dispersed team structures have caused leaders to recognize inadequacies in the team’s interpersonal communication and relationship building skills and processes. Revised talent structures are also creating stretch opportunities for team members to develop

THREE THINGS

skills in a different accounting and finance discipline. Both the organization and the individual benefit from the broadened strategic and technical skill set.

Although this environment makes any prediction on the future direction of organizations null and void as soon as it’s made, what is clear is that talent expectations will continue to grow. Tactical technicians will need to deepen their understanding of strategy.

Strategists will need to consider the tactical realm. Accounting personnel will need to navigate more traditional finance topics. Finance personnel will need general accounting knowledge. And the professional accountant will need it all: strategy, tactics, accounting and finance. The previous boundaries have fallen away.

Tiffany Crosby, CPA, CGMA, MBA is the chief learning officer for The Ohio Society of CPAs. She can be reached at tcrosby@ohiocpa.com or 614.321.2255 .

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1. Companies need talent that can manage risk, provide insight and foresight, and guide the organization toward positive performance.

2. By making a clear distinction between the technical knowledge necessary to provide a strong foundation for all professional accountants and the specialized knowledge required within a particular discipline, the redesigned CPA exam provides benefits for the talent pipeline.

3. The future of accounting is not just changing how we develop talent for the pipeline, but also how accounting and finance teams are structured as integrated functions and the role of the CFO is elevated.

TALENT management & human resources

The new CPA Exam sets profession up for success

By Jessica Salerno-Shumaker, OSCPA senior content manager

And while the exam is given slight updates every quarter based on emerging standards, test scores and where the profession is going, in 2024 it will undergo one of the biggest changes in years.

CPA Evolution

The new 2024 CPA Exam has been years in the making, and began with CPA Evolution, a joint effort of NASBA and AICPA to transform the CPA licensure model to recognize the changing skills and competencies accounting requires today and will require in the future.

In 2020 the AICPA Governing Council and the NASBA board of directors voted to support CPA Evolution. The new model offers a core in accounting, auditing, tax and technology that all candidates will be required to complete. Then, candidates will have opportunity to select a discipline to gain deeper knowledge in one of three specific areas:

• Business analysis and reporting

• Tax compliance and planning

• Information systems and controls

Regardless of the chosen discipline, this model leads to full CPA licensure, with rights and privileges consistent with any other CPA. A discipline selected for testing does not mean the CPA is limited to that practice area.

According to Mike Decker, AICPA vice president of CPA examination and pipline, it’s important to remember that the CPA Exam is a licensure exam, not a graduation exam. The emphasis is not on whether someone has passed their required college courses but has the capability to work in this challenging business environment.

Mike Decker, AICPA vice president of CPA examination and pipeline

“We’re assessing newly licensed competency, typically at about the twoyear level,” he said. “Essentially, the exam has to adapt to the profession.”

The exam has a more than 100-year history, he said, and protecting the public interest has always been at the heart of it. That protection necessitates updating testing standards, not unlike other professions.

“When you look at other licensing exams, whether it’s a pharmacist or a nurse or a doctor, they can’t be adaptive to what’s being taught, they have to be adaptive to the current climate,” he said. “What a pharmacist needs to know to dispense drugs today is probably different than 5-10 years ago.”

The change brought on by the CPA Evolution initiative and the new CPA Exam is one of the most significant indicators of a rapidly changing accounting profession.

“ WE DON’T SHIFT THE EXAM TO REFLECT EDUCATION, WE SHIFT TO THE PROFESSION, HOWEVER, THE PROFESSION CHANGES.”

Digging into disciplines

That shift in the profession has meant firms and businesses are asking for CPAs to do more technology, analytics and critical thinking skills. The disciplines offer candidates the chance to focus on areas they are most passionate about or have more experience in.

Decker said it’s also a reflection of flexibility, because while all candidates need to know what’s in the core, this is an opportunity to demonstrate knowledge in an emerging area.

The AICPA and NASBA conducted a survey of more than 600 university students and recent graduates in 2020 and 90% reported already selecting a focus area or feeling comfortable choosing a focus area.

“I get asked a lot, ‘Which discipline should I take?’” he said. “Regardless of which discipline you pass, you’ll end up with the same CPA license.”

When to sit

One of the most common questions Decker said he receives lately is if candidates should sit for the current exam before the new exam format launches.

“Everybody is different,” he said. “For me, I would sit based on my schedule, education and work experience.”

Every candidate’s situation is different, and Decker said each person will have an order to sitting for the exam that makes the most sense for them. It might make sense for a candidate to sit in 2023, but Decker warned against rushing through the current exam simply to avoid the new one. Instead, he suggested candidates focus on the core and go from there.

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“If you’re ready for audit, sit for audit,” he said. “If you’re ready for financial accounting or tax, you should sit as soon as you’re ready.”

For those who end up taking the exam in 2023 and 2024, NASBA and the state boards of accountancy have issued guidance around what to take and when.

The AICPA states: “Candidates who have credit for AUD, FAR or REG on the current CPA Exam will not need to take the corresponding new core section of AUD, FAR or REG on the 2024 CPA Exam. Candidates who have credit for BEC on the current CPA Exam will not need to take any of the three discipline sections.

“If, however, a candidate loses credit for AUD, FAR or REG after Dec. 31, 2023, they then must take the corresponding new Core section of AUD, FAR or REG. A candidate who loses credit for BEC after Dec. 31, 2023, must select one of the three Discipline sections to be tested. It is important to note that none of the sections of the current CPA Exam will be available for testing after December 31, 2023. There is a hard cutover from the current CPA Exam sections to the 2024 CPA Exam sections on the January 2024 launch.”

The 2024 CPA Exam Final Report, which includes the final Blueprints, has been released and is available at www.aicpa.org/resources/article/learn-what-istested-on-the-cpa-exam

Prep tips

Decker urged candidates to look at the available blueprints, which are included in the 2024 CPA Exam Final Report.

“You should look to them to learn how to study and to do your practice questions,” he said. “And if there’s something in the blueprint that you don’t understand, go to your professor, mentor, trusted colleague, test prep provider, and ask for help understanding an area of the blueprint. I can’t emphasize enough the importance of the blueprint.”

Since a high percentage of candidates are those who have recently finished school and starting their post-collegiate lives, Decker said it can be a time of intense change for many test-takers. While it may be difficult to carve out time to focus on the exam, it’s well worth the effort in the long run.

“You can get through it,” he said. “We just want to prove that you know your stuff. We’re not here to keep you out, we’re here to get you in.”

THREE THINGS

Jessica SalernoShumaker is the senior content manager for The Ohio Society of CPAs. She can be reached at jsalerno@ohiocpa.com or 614.321.2231

For more information reference the CPA Evolution Exam Blueprint, product #57400, at my.ohiocpa.com

1. The new CPA Exam will begin in 2024 and is built on a core + discipline model.

2. The new model offers a core in accounting, auditing, tax and technology that all candidates will be required to complete and a discipline of the candidate’s choosing.

3. Look at blueprints to prepare and ask for help from colleagues, professors and others.

3 R&D tax credit predictions for the new year

By Michael Krajcer, JD, CPA, founder and president of TCG

changes.

For nearly 40 years, I have worked with the Federal Research and Development (R&D) Tax credit—first as an auditor scrutinizing taxpayers who claimed it, and later as an adviser helping taxpayers navigate the claims process. Throughout this time, I have witnessed firsthand the highs and lows of this valuable, yet often misunderstood, tax credit.

When first enacted in 1981, the R&D tax credit served as a huge win for U.S. taxpayers, as it was regarded as a valuable tool created to help domestic companies fight back against strong foreign competition. But by the mid 2000s, this much regarded credit began to receive so much scrutiny that it hit the Internal Revenue Services “Tier 1” audit list. Despite its fall from grace, the reputation of the R&D credit has been restored and has grown in esteem. In recent years, the credit has received widespread bipartisan support, paving the pathway for much new and improved legislation, which has significantly expanded and bolstered the opportunity for a new generation of taxpayers.

Unfortunately, despite these modern-day wins, signs are once again pointing to a pendulum swing, and it’s possible that the credit will face a bumpy road of ups and downs this next year. With that in mind, here are my top three predictions for 2023:

1Good news is on the horizon for startups

Just a few months ago, the Inflation Reduction Act (IRA) of 2022 was signed into law, effectively doubling the amount of R&D tax credit that startups¹ can use to offset their payroll taxes. Prior to this, early-stage companies were limited to offsetting $250,000 of credit against the 6.2% employer portion of FICA, for up to five years. Now, under the new act, they can use an additional $250,000 of credit against the 1.45% employer portion of the Medicare tax for the same five-year time period. In theory, this allows a firsttime startup who never claimed the credit to offset up to $2.5 million in tax liability.

Beyond this new act, there are at least four additional bills sitting in Congress, all of which propose further improvements to the R&D tax credit for the benefit of startup companies. Most notably, the Fostering Innovation and Research to Strengthen Tomorrow (FIRST) Act and the Furthering Our Recovery with American Research & Development (FORWARD) Act.

Under the FIRST Act, legislation proposes doubling the payroll tax credit offset for startup companies from $250K to $500K against Social Security taxes. Given the new IRA Act, if the FIRST Act moves forward, it’s possible that a startup company would have an opportunity to offset up to $750K of annual payroll tax. Further, this act also proposes increasing the current gross receipts cap from $5 million up to $25 million (U.S. Code § 448(c)(1), which would significantly open the opportunity up to more businesses.

Like the FIRST Act, the FORWARD Act also aims to improve credit access to startups, by enhancing the definition of a Qualified Small Businesses (QSB) from those with less than $5 million in gross receipt for five years to those with less than $20 million for eight years. It also proposes an allowance of up to $25K minimum gross receipts before the taxable-year period begins.

2023 may be a mix of favorable and unfavorable

Software developers will seek refuge in the credit

Perhaps one of the greatest tax challenges facing CPAs and taxpayers alike in 2023 is how to treat R&D expenditures under IRC Section 174. This stems from legislative changes that were baked into the Tax Cuts and Jobs Act (TCJA) Act of 2017 which go into effect this year. Rather than being able to deduct R&D expenses in the year they were incurred, taxpayers are now required to capitalize and amortize them overtime (five years for domestic expenditures and 15 for foreign expenditures).

Overall, these changes are bad news. However, there may be a silver lining for taxpayers who are developing software. Because the new changes mandate software development to be treated as R&D – making them subject to IRC Sec. 174 treatment – these same expenses should now be eligible for the R&D tax credit.

This should open the credit for more software developers, giving them an additional tool to combat their increased tax liability under the larger amortization changes to IRC Sec. 174. Of course, there is no guarantee these new credit claims won’t come under federal audit, but it will prove difficult for the IRS to argue against software development activities as R&D, considering Congress has now explicitly called out software development as R&D.

3

Audits will be on the rise

The IRA Act may have increased the amount of R&D tax credit that startups could claim, but it also increased the amount of funding for the IRS, approximately $80 billion over the next 10 years. Using a portion of these funds, the IRS will now hire 87,000 new agents, many of whom will be focused on tax enforcement. This news will likely lead to an uptick in the overall number of R&D audits.

Beyond IRS staffing increases, the agency also sent additional warning signals in October 2021, in the form of a memorandum outlining new information taxpayers will be required to provide to amend past tax returns to claim the R&D credit. In addition to their Form 6765, taxpayers are now also required to provide a signed statement compiling five items of additional documentation regarding the grounds for the claim.

Thus far, taxpayers who have attempted to claim credits under this new rule have found it incredibly challenging and overly burdensome. The purported goal of this mandate is to allow the IRS to better determine upfront if an R&D tax credit claim should be paid immediately or undergo further examination. The mandate is already deterring taxpayers from claiming retroactive claims altogether, while simultaneously giving the IRS a powerful tool to deny claims before they ever make it to audit.

¹

This mandate only applies to amended returns, however, there is speculation the IRS may try to issue similar rules for credits claimed on originally filed returns.

Another telltale sign audits will be on the rise comes from recent litigation. In the 2021 U.S. Tax Court Case, “Little Sandy Coal Company Inc. vs. Commissioner” the court disallowed all taxpayer R&D claims citing the company’s failure to document that “Substantially All” of its research cost and activities (80% or more) were elements of a process of experimentation.

While this ruling only serves as a tax court memorandum, the IRS will likely see it as precedent for disallowing credits using a similar argument in the future. The taxpayer has appealed the case to the United States Court of Appeals for the Seventh Circuit, but for now we can expect the Process of Experimentation test to become more burdensome. Since most taxpayers do not time track their specific activities, we are already advising clients to provide more detailed documentation and explanation of their activities whenever they are dealing with the substantially all thresholds.

Defined as a business having less than $5 million in gross receipts, for less than five years. There is currently no exception for de-minimis amounts of gross receipts. 1.

Michael Krajcer, JD, CPA, is founder and president of TCG. He has spent his entire career working with the Research and Development Tax Credit. This includes a decade of experience auditing businesses who claimed it, and over 20 years of experience helping U.S. companies navigate it. He has also resolved dozens of IRS and state audits of credit claims.

THREE THINGS

2022 Annual Report

A Year in Review

Scott D. Wiley, CAE President & CEO

Dear Colleagues:

Promoting and protecting the profession and advocating for a more competitive business environment in our state are the driving forces for The Ohio Society of CPAs and Ohio CPA/ PAC. We are pleased to report we made significant advances on all fronts in 2022. Your active involvement and investment in OSCPA membership and the Ohio CPA/PAC are directly tied to the effectiveness of our efforts. Thank you for demonstrating your commitment to the profession through your continued financial support.

This election year was a challenging one. Many of our legislative friends were locked in very tight races. While most of our CPA Preferred Candidates ultimately prevailed, at least one longtime legislative supporter was not so fortunate. Losing even one legislative ally makes it harder for us to advance initiatives that are important to you, the profession, and the business community. And while Ohio CPA/PAC donations to our CPA Preferred Candidates were not the only determining factor in their successful re-election, they did make a difference, which is why your contributions are so important.

Your involvement in the political process—through letter writing campaigns, feedback on issues and financial support of the Ohio CPA/PAC—is essential to our ability to advance your professional interests. It’s important to note that we have legislative advocates in both political parties and supporting those candidates who share our interests, regardless of political affiliation, is paramount to achieving our legislative objectives.

Engaged members like you, combined with the expertise of our Government Relations team, allowed us to move a number of key legislative initiatives across the finish line in 2022. As we look to the year ahead, we encourage you to remain involved, because when we come together for the common good, we can achieve great things.

LaPlace, CPA Ohio CPA/PAC Chair

Sincerely,

Scott D. Wiley, CAE President & CEO Mark LaPlace, CPA Ohio CPA/PAC Chair

Mark

Advancing the Profession’s Interests 2022 OSCPA Legislative Wins

It was an action-packed year filled with a number of significant wins for Ohio’s CPAs and business community, including the following:

• Prevailed in driving legislation that ensured qualified hybrid workers could obtain municipal income tax refunds for 2021.

• Secured clarification that residents’ gains from the sale of an ownership interest in a business qualify for Ohio’s business income tax deduction (BID).

• Pushed for SALT Deduction Cap Parity that authorizes a PTE owner to claim a refundable credit against the owner’s Ohio income tax liability equal to the owner’s proportionate share of the tax paid by the PTE.

• Spearheaded the effort to reduce the number of income tax brackets from nine in 2016 to the current four, saving Ohio taxpayers $2.7 billion in state income tax.

• Championed a rate reduction to 3%—an annual savings of up to 5.5%—for Ohio’s withholding on income generated from pass-through entities, such as partnerships and S-corporations.

• Partnered with the Ohio Department of Taxation to refine the centralized collection process for municipal net profits tax, including requiring ODT—rather than the taxpayer—to notify cities when a taxpayer has opted in or out.

2023 OSCPA Legislative Priorities

The Ohio Society’s nationally recognized government relations team actively monitors the legislative landscape to ensure your best interests are protected and advocate for a healthy and sustainable economy in Ohio. OSCPA’s legislative agenda for 2023 is already taking shape as the team has identified several key issues, including:

• False Claim Lawsuits – working to fight a measure pursued by trial attorneys that seeks to create a new approach for individuals to, for financial gain, make claims against state contractors regarding alleged false, fraudulent or misleading claims for payment with the state despite other contractual and legal remedies that already exist in Ohio. If passed, the bill likely would increase legal risks tied to doing business with the state, causing highly qualified firms and businesses to decline engagements and driving up costs to the state.

• Diversity and Inclusion – advocating for legislation that would make Ohio a more welcoming and diverse state, including efforts to expand Ohio anti-discrimination laws to include employment protections for gender preference and sexual orientation.

• Municipal Income Withholding and Refunds – OSCPA filed an amicus brief in August 2022, in Schaad v. Alder, siding with taxpayers’ regarding the unconstitutionality

of requiring individual taxpayers to pay income tax to municipalities where they neither lived nor physically worked. Oral arguments in the case are scheduled in early March.

• Non-Economic Damage Caps in Civil Lawsuits –this important damage cap came under attack yet again in a recently decided Ohio Supreme Court case. OSCPA filed an amicus brief in support of the damage cap to protect Ohio’s business community from rising insurance costs and costly frivolous lawsuits, and the decision largely kept the cap in place except under limited circumstances. In the 2023-24 legislative session, OSCPA will work to prevent legislative changes that seek to take Ohio back to the “Wild West” litigation environment we experienced through the early 2000s.

ADVOCACY in Action

This year’s third and final virtual Advocacy in Action program offered OSCPA members with a unique opportunity to get an inside look at the legislative process as they heard from state lawmakers, Ohio Supreme Court justices, The Ohio Society’s government relations team, and members involved in OSCPA’s advocacy efforts.

Attendees heard from several legislators about the value they place on CPA input on key issues. Participants also got to meet three Ohio Supreme Court justices and learn about how they determine which cases to hear and their thought process in deciding such cases. Finally, OSCPA members talked about the value they and their organizations gained from being involved in OSCPA advocacy initiatives and explained how easy it is for all Ohio CPAs to ensure their voice is heard.

Proceeds from this year’s Advocacy in Action virtual event went to The Ohio CPA Advocacy Fund. Created to help pay for white papers, research, PR and other materials designed to support and advance key legislative initiatives, the Ohio CPA Advocacy Fund is yet another way OSCPA is working to proactively protect your professional interests.

OSCPA will return to having Advocacy in Action in person at the Ohio Statehouse in 2023.

Driving for a More Competitive Business Environment

OSCPA and Ohio CPA/PAC work together to achieve a better legal, legislative, and regulatory climate for CPAs and businesses. If it is an issue impacting you, your business, your client or your license, we ensure your voice is heard.

OSCPA’s support of my extremely close race had a huge impact on my ability to win reelection to the House. The PAC’s very generous support of my campaign enabled me to purchase more media time and mailings, which were essential to having my record of being a pro-business legislator better known in the new parts of my district.

– The Honorable Bill Roemer, CPA, Ohio House of Representatives The lone CPA serving in the Ohio General Assembly

We’ve each gone to great effort and cost for an education that has provided a great career in a great profession. Supporting the Ohio CPA/PAC is a commitment to protect that investment. Their track record of results in protecting my professional interests is unmatched.

– Jamie Menges, CFP®, CPA, Shareholder, PDS Planning, Inc. Member since 2011

Being involved in the advocacy efforts of The Ohio Society over the years has been an invaluable experience. I’ve seen fi rsthand the importance and the impact that the Society has from an advocacy standpoint. Their efforts positively affect the business climate in our state and can result in attracting new talent and new business to Ohio.

– Craig Marshall, CPA Assurance Partner & Central Region Independence Consultant, EY Member since 1991

Lifecycle of a contribution

Members voluntarily invest in Ohio CPA/PAC

Ohio CPA/PAC Board strategically allocates funds to legislator campaigns

Ohio CPA/PAC builds allies at the Statehouse who support OSCPA’s interests

Ohio CPA/PAC strengthens your voice and influence

Republicans hold 2021-22 veto-proof majority control in Ohio House (64-35) and Ohio Senate (25-8) and chair all committees. Republicans hold all five statewide constitutional offices and four of the seven Ohio Supreme Court seats. Summary of Ohio CPA/PAC contributions made to candidates during the 21-22 cycle:

Meet Your Ohio CPA/PAC Board of Trustees

Your Issue Advocacy Team

Mark LaPlace, CPA Chair

Scott Wiley, CAE President & CEO

Ann Gabriel, CPA, PhD Trustee

Jeff Brooks, CPA, CGMA Trustee

Barbara Benton, CAE Vice President, Government Relations

Matt Yuskewich, CPA Trustee

Jacob Nix, CPA, CISM, CISA Trustee

Jane Pfeifer, CPA Treasurer

Laura Hay, CPA, CAE Executive Vice President

Owen Wyss, CPA Trustee

Ranjan Manoranjan, CPA Trustee

Gregory Saul, Esq., CAE Director, Tax Policy

Thank you to Our Contributors - 2022

The Ohio Society of CPAs’ political action committee, Ohio CPA/PAC, is a critical part of OSCPA’s successful legislative arsenal.Without the financial support of members like you, Ohio CPA/PAC would be unable to continue the stellar track record it has achieved over the years. Ohio CPA/PAC gives you the opportunity to ensure your voice is heard by those who can affect change.

employees. Ohio law prohibits the

Contributions of $500 or more Joseph Bacon, Wilder KY

John Barnes, Cleveland Daniel Borton, Cincinnati Jeffrey Brooks, Hudson Michael Colagiovanni, Cleveland Scott DeVenny, Cincinnati Crystal Faulkner, Cincinnati Robert Fay, Canton Todd Fentress, Westerville Eric Floriani, Twinsburg Thomas Freeman, Akron

Patrick Gable, Mentor Ann Gabriel, Upper Arlington

Michael Gebura, Cleveland Margaret Gothot, Westlake Laura Hay, Galloway Matthew Jessup, Cincinnati Mark LaPlace, Plain City Ying Lee, Cincinnati Thomas Libeg, Avon Ranjan Manoranjan, Columbus

Darrel Miller, Westerville Jay Moeller, Dayton Jacob Nix, Cleveland

Jeffrey Robinson, Strongsville Kerry Roe, Cincinnati Thomas Rudibaugh, Cleveland

Anthony Schweier, Cincinnati

Richard Sittema, Cleveland Darrin Spitzer, Springfield

Stephen Thome, Cleveland Edward Walsh, Columbus Scott Wiley, Powell

Constance Woods, Vandalia Owen Wyss, Columbus

Contributions of $300 – $499 Barbara Benton, Delaware

Paul Breen, Columbus William Edwards, Mason Roy Fales, Cincinnati

Darlene Finzer, Stone Creek

Thomas Hazelbaker, Middletown

Herbert LeMaster, Dayton Douglas Michel, Cincinnati

Contributions of $100 – $299

Jenifer Anderson, Dublin

Ron Antal, Stow

David Armour, Ozark MO

Christopher Axene, Dublin

Todd Babione, Columbus

Patricia Basti, Mason

Robin Baum, Shaker Heights

Daniel Bayer, Cincinnati

Scott Bechtel, Blacklick

James Bechtel, Columbus

Robert Beresford, Loveland

George Bethea, Uniontown

Francis Bezon, Salem

Tara Bollinger, Sylvania David Brockman, Fairlawn Jillian Brown, Cincinnati

Patrick Burke, Cincinnati

Stephen Bybee, Cincinnati

Brian Campbell, Columbus Edward Chanda, Columbus

Courtney Clark, Columbus

Michael Comer, Cincinnati

Darci Congrove, Columbus

Russell Corwin, Wadsworth

Gilbert Corwin, Lakewood James Creeden, Cincinnati

Tiffany Crosby, Dublin Melissa Crowley, Canfield Richard Dailey, Dayton

Benjamin Danhauer, Cincinnati

Robert Deimling, Mentor

On the Lake Yatish Desai, Cleveland James DeSantis, Columbus

Scott Deters, North Bend

Mike Dickey, Delaware

Michael Dickson, Columbus

Dennis Dlugosz, Avon Lee Ann DuBois, Toledo

Barry Edelstein, Avon Lake William Edwards, Mason Gregg Feltrup, Cincinnati

Darlene Finzer, Stone Creek

Teresa Fitzgerald, Columbus

Richard Flynn, Cincinnati Brian Foster, Cincinnati

Emily Frolick, Cincinnati

Troy Gaerke, Plain City

Michael Gavigan, Cleveland Andrew Geiser, Millersburg

Thomas Giere, Troy Paul Gregory, Amherst David Groves, Canton Peter Hackett, Springfield Cathleen Hare, Columbus John Hawkins, Cleveland Justin Hess, Strongsville

Nicole Hilbert, Broadview Heights

Cary Hines, West Chester Louis Homan, Dayton C. Edward Hoppes, Olmsted Falls Masahiro Inomata, Columbus Steven Julian, Westerville Devesh Kamal, Springfield Dipan Karumsi, Powell William Kasch, Dayton Brian Kennedy, Whitehouse

James King, Lakewood Ranch FL

Jennifer Koder, Swanton Matthew Kramer, Columbus Robert Lehman, Independence John Lewis, Cincinnati

Elizabeth L'Hommedieu, Washington DC

Michael Livesay, Akron Eric Logan, Cleveland

Michael Long, Hamilton John MacIntosh, Flower Mound TX

John Malloy, Parma Heights Ronald Marcin, New York NY

Kathryn Matz, Genoa Suzanne McCann, Westerville John McEwan, Columbus Paul McEwan, New Philadelphia

Chris McGee, Columbus Michaela McGinn, Columbus Colin McHugh, Toledo Donald McIntosh, New Philadelphia

Russell Meyer, Dublin William Miller, Columbus Brian Mischel, Cincinnati Kathleen Mitts, Villa Hills KY

William Morand, Loveland Sean Morrison, Columbus Peggy Mountcastle, Louisville Gregory Muresan, Cleveland D. J. Muse, Van Wert James Mylen, Cleveland Heights

Jacqueline Neumann, Cincinnati Stanley Olejarski, Cleveland Kari Palmer, Columbus Michael Pappas, Cleveland Michael Patterson, Saginaw MI

Anthony Perazzo, Cincinnati

Kenneth Phillips, Zanesville Cassandra Pierce, Marietta Gianluca Pitetti, Lewis Center

Diane Powers, Cincinnati

Melissa Pozniak, Aurora Jason Recard, Columbus

Brian Roberson, Cincinnati William Roemer, Richfield Robert Roll, Columbus Gregory Saul, Gahanna

Joseph Sbrocco, Cleveland Michael Scheiding, Whitehouse

Charles Schillig, Wakeman

Michael Schmidt, Cincinnati

Arthur Scherbel, New Albany

Anthony Schweier, Cincinnati

Michael Scurria, Dublin

Sanjay Sehgal, Solon Marybeth Shamrock, Strongsville

Janice Shannon, Beavercreek

Ashraf Shehata, Cincinnati Linda Sheridan, Lancaster Robert Sielschott, Lima Donald Sinko, North Olmsted John Snoble, Dublin Alan Solomon, Cincinnati Jon Stangel, Troy Donald Stewart, Dayton Linda Velandra, Ottawa Lake MI

Randal Verhoff, Ottawa Theodore Wagner, Twinsburg Mark Walla, Toledo Lawrence Weeks, Springfield Charles Weible, Broadview Heights

Dale Welsh, Cincinnati

Denise Werling, Cincinnati John White, Holland Adam Wieder, Beachwood William Wortzman, Beachwood

J. Matthew Yuskewich, Columbus

Thomas Zaino, Blacklick Anne Zavarella, Columbus

Jonathon Zavislak, Westerville Kimberly Zavislak, Westerville David Zentkovich, Columbia Station

MEMBERS in motion

CANFIELD

Schroedel, Scullin & Bestic, CPAs has made the following promotions:

• Eric E. Ehrenberg, CPA to manager

• Bryant J. Croach to supervisor

Schroedel, Scullin & Bestic, CPAs has made the following new hires:

• Brian T. Frederick, CPA as tax manager

• Nicholas D. Locke, Michelle A. Reynolds, and Steven J. Theil as team accountants

CLEVELAND

HW&Co. has made the following promotions:

• Michael Shea, CPA , and Michelle McCon, CPA to senior manager

• Nicholas Bubon, CPA , Katy Karasek, CPA , and Alan McManus, CPA to manager

HW&Co. has made the following new hires:

• Lawrence Havens, CPA , and James Reynolds, CPA as senior managers (Columbus)

• Patrick Collins, CPA , and Camille Ho-A-Lim, CPA as managers

• Karen Decker, as supervisor

HW&Co. has been voted the Best Accounting Firm in Ohio (with more than 25 employees) for the third straight year, by Ohio Business Magazine.

COLUMBUS

John Venturella, CPA and Jim Haubrock, CPA both retired from Clark Schaefer Hackett this summer.

POWELL

Kaiser Consulting has been recognized on the 2022 Best Firms for Equity Leadership list for elevating women’s careers for the fourth consecutive year.

DISCIPLINARY ACTIONS

Krantz, Kevin M. of Westlake, OH

Under the automatic disciplinary provisions of the OSCPA bylaws, Mr. Krantz’s OSCPA membership was terminated effective December 6, 2022. Mr. Krantz was found guilty of Conspiracy to Commit Mail Fraud and Wire Fraud, 18 U.S.C. § 1349.

Michael Shea, CPA

Katy Karasek, CPA

Michelle McCon, CPA

Alan McManus, CPA

Nicholas Bubon, CPA

1/26 12:00 p.m. – 1:00 p.m. Town Hall 1 credit MS

2/08 10:30 a.m. – 1:30 p.m. Pivot or Pause 2023 Economic Summit 1.5 credits EC

2/22 10:30 a.m. – 3:00 p.m. Accounting Show Replay – Strategy 5 credits MULTIPLE

2/23 12:00 p.m. – 1:00 p.m. Town Hall 1 credit MS

3/10 10:30 a.m. – 3:30 p.m. Accounting Show Replay – Technical 5.5 credits MULTIPLE

3/16 12:00 p.m. – 1:00 p.m. Town Hall 1 credit MS

5/10 8:00 a.m. – 12:00 p.m. YSU Ethics CPE Day 4 credits MULTIPLE

5/23 8:30 a.m. – 4:30 p.m. CoreCon – Core Skills Conference 8 credit MULTIPLE

6/15 8:30 a.m. – 11:30 a.m. Summer Ohio Professional Standards & Responsibilities 3 credits RE

7/20 8:00 a.m. – 5:00 p.m. Women, Wealth and Wellness 8 credits MULTIPLE

THE OHIO SOCIETY OF CPAs | 2022–2023 BOARD OF DIRECTORS

CHAIR OF THE BOARD

Craig Marshall, CPA Ernst & Young Plain City

CHAIR-ELECT

Libby Cullins, CPA, MBA JPMorgan Chase Columbus

PAST CHAIR

Lori Kaiser, CPA, MBA, CGMA Kaiser Consulting Columbus

VICE CHAIR, FINANCE

Jessie C. Wright, CPA, CGMA, CVA

Schroedel, Scullin & Bestic, CPAs and Strategic Advisors, Canfield

DIRECTORS

PRESIDENT AND CEO Scott D. Wiley, CAE

The Ohio Society of CPAs Columbus

Keenan Cooper, CPA, CISA

Grant Thornton LLP Cincinnati

Rick Fedorovich, CPA

Bober Markey Fedorovich Akron

Chris Igodan Jr., CPA Nationwide Financial Columbus

Gregory J. Jonovich, CPA, MBA The Lubrizol Corporation Wickliffe

on the pocast lately

Angela Lewis, CPA Crowe Columbus

A’Shira Nelson, CPA Wellspring Financial Advisors Cleveland

Carolyn Smith, CPA, MBA, CRMA Columbus City Schools Columbus

Aaron Swiggum, CPA/PFS William Vaughan Company Maumee

Amy Vetter, CPA, CGMA, CITP

The B3 Method Institute & Drishtiq Yoga Mason

Mark Welp, CPA, CFE Holbrook & Manter Columbus

Ellen Wisbar, CPA

Mayer Hoffman McCann, P.C. Cleveland

and wherever you get your podcasts!

The Ohio Society of CPAs podcast “The State of Business” covers the latest news impacting accounting professionals.

Episode title: Fraud expert shares concerning trends to watch

From the episode: “Fraud is not going away. But at the same time, the methods people use to commit fraud will continue to evolve.”

James Rumph, enterprise anti-fraud leader at Columbus-based insurance and financial services company Nationwide.

Coming up: This spring look for a refreshed version of The State of Business. More to come soon!

No matter where you are in your career or role in your organization, OSCPA has what you, your team (and maybe even your boss) need to excel.

and growing; together we transform careers, business, legislation, and lives.

to taxpayers through OSCPA-backed income tax bracket reductions and rate cuts.

attended and connected through Town Halls and Advance to stay current on hot topics in the profession.

in The Ohio CPA Foundation, which allowed us to create one of the largest student pipelines in the nation!

were delivered twice a week through Takeaways and LegUp to keep you in the loop on the ever-changing business and tax environment.

of complimentary learning/CPE. Your Membership Curriculum is included with your membership to keep you current on the topics that matter most.

Renew