We’re doing the news brief today because yesterday was President’s Day. I’m saying that because I’m sure many of you weren’t aware some people had yesterday off.
Some obvious news from Economic Times of India:
India’s outsourcing landscape is undergoing a significant transformation, with 81% of organisations planning to increase their outsourcing efforts over the next three to five years, according to Deloitte’s latest report, The outsourcing compass: Decoding strategies of today.
We’ll dig up that report and give it a look.
A related r/accounting convo from last week:
Who says accountants aren't funny pic.twitter.com/YDw7ytLQfS
— Going Concern (@going_concern) February 15, 2025
The alternate CPA pathways rebellion is well underway and spreading out from where it first spawned in the Midwest. Pennsylvania and Virginia had announcements this week.
First, Pennsylvania:
The Pennsylvania Institute of Certified Public Accountants (PICPA) is proud to announce a bold initiative to modernize Pennsylvania’s CPA licensure laws. The proposed updates introduce a new pathway for aspiring CPAs to attain licensure while upholding the rigorous standards required as a professional CPA that maintain financial trust, transparency.
The initial memo introducing the Senate bill today has bipartisan backing, led by Sen. Scott Hutchinson (R-Venango) and Sen. Nick Pisciottano, CPA-Inactive (D-Allegheny). A companion bill is set to be introduced in the state House by Rep. Ben Sanchez (D-Montgomery) and Rep. Keith Greiner, CPA (R-Lancaster).
The Virginia Society of Certified Public Accountants (VSCPA) applauds the Virginia House and Senate for passing VSCPA-backed legislation to address a crucial barrier preventing accountants from becoming CPAs — a requirement to obtain 150 hours of secondary education before becoming licensed.
HB 2042 and SB 1042, introduced at the request of the VSCPA, create an additional pathway beginning Jan. 1, 2026, to licensure for prospective CPAs: a baccalaureate degree with completion of required accounting coursework, two years of experience, and passage of the CPA Exam. Prospective CPAs can still follow the older pathway (150 hours of education plus one year of experience and passing the Exam), but the new path allows accountants to opt for more real-world experience rather than take an additional 30 hours of education.
“Increasing the options accountants have to become licensed has been a major focus of the VSCPA and the profession nationwide,” said VSCPA President and CEO Stephanie R. Peters, CAE. “With declining college enrollments and new majors like data analytics, the competition to attract students to the accounting profession is strong. Corporations can’t run without finance teams, and businesses rely on their CPAs for valuable tax planning and strategic advice. It’s crucial we develop new ways to get accountants licensed as CPAs to become the trusted business advisors that help keep our economy running.”
Related:
Looks like audit reform in the UK is dying:
UK ministers are exploring further scaling back legislation aimed at reforming the audit market as they seek to ease regulation on businesses in a push to boost economic growth.
Ministers overseeing the Audit Reform and Corporate Governance bill have discussed ditching a measure that would force the Big Four accounting firms to share audits of the largest companies with smaller firms, according to four people familiar with the matter.
The move could in effect gut the legislation, which Labour had promised to enact if it won the 2024 general election, while two other principal reforms are also at risk of being watered down or shelved.
KSHB in Kansas City talked to a tax pro about how President Trump’s government payroll downsizing might affect this year’s filing season:
‘It’s just a big unknown’: Taxpayers, financial advisors speak on potential impact of IRS layoffs
“We can respond to the IRS, but we can’t control when they respond back to us,” said Laurie Martin, owner of Martin Tax & Financial Services. “I’m not sure that we’ll be able to as easily reach out to the IRS, get feedback on what’s going on with the return, what’s the status of the refund — things like that.”
Martin said an understaffed IRS could lead to longer wait times for assistance and delays in tax returns.
Hold up, you were easily able to reach out to the IRS before??
On a related note, Washington Post discusses a DOGE development:
Elon Musk’s U.S. DOGE Service is seeking access to a heavily guarded Internal Revenue Service system that includes detailed financial information about every taxpayer, business and nonprofit in the country, according to three people familiar with the activities, sparking alarm within the tax agency.
Under pressure from the White House, the IRS is considering a memorandum of understanding that would give officials from DOGE — which stands for Department of Government Efficiency — broad access to tax-agency systems, property and datasets. Among them is the Integrated Data Retrieval System, or IDRS, which enables tax agency employees to access IRS accounts — including personal identification numbers — and bank information. It also lets them enter and adjust transaction data and automatically generate notices, collection documents and other records.
According to a draft of the memorandum obtained by The Washington Post, DOGE software engineer Gavin Kliger is set to work at the IRS for 120 days, though the tax agency and the White House can renew his deployment for the same duration. His primary goal at the IRS is to provide engineering assistance and IT modernization consulting.
Wouldn’t it be incredible if they’re able to figure out an efficient way to modernize the IRS’s ancient systems?
EY got what amounts to an ad in Unleash, don’t bother reading it unless you enjoy the sound of tongue slurping on boot leather. But this figure seems worth sharing:
“Nearly three quarters (72%) of the EY workforce is under 35…”
Global fintech investment fell to seven-year low of $95.6 billion in 2024 according to this KPMG deep dive:
2024 was another difficult year for fintech, with just $95.6 billion of investment globally across 4,639 deals. Both global fintech investment and the number of deals fell to levels not seen since 2017, according to the Pulse of Fintech H2’24—a bi-annual report published by KPMG highlighting fintech investment trends globally and in key jurisdictions around the world. The report is based on data provided by PitchBook Data Inc. A perfect storm of factors combined to soften investor appetite, including macroeconomic challenges, geopolitical conflicts and tensions, a year of elections in major jurisdictions, and concerns about valuations and the lack of exits.
The second half of the year was notably slower than the first, with investment falling from $51.7 billion in H1’24 to $43.9 billion in H2’24. A closer look at the results offered some optimism, however; between Q3’24 and Q4’24, global fintech investment rose from $18 billion to $25.9 billion. Both M&A deal value and VC investment also rose quarter-over-quarter, from $7.4 billion to $14.2 billion and from $9.7 billion to $11.2 billion, respectively.
Something helpful from Business Insider: I’m an ex-PwC HR director with 36 years of experience. Here’s how to tell if you’re well-liked at work. A couple highlights:
- If you’re being encouraged to participate in projects or being asked to undertake jobs, new assignments, or tasks on behalf of your manager, it’s a subtle hint that you’re liked and respected.
- Every manager likes an employee who makes them look good. You can do this by taking problems away and providing solutions or exceeding expectations.
- Passing on recognition to others in your team, even if it’s rightfully yours, can show a humble and generous attitude. Sharing information, working collaboratively, and contributing to formal and informal workplace meetings can cement an employee’s position in a team.
- Small things like making coffee and tea are seen as thoughtful gestures. They foster goodwill, showing you’re willing to contribute to the group’s comfort and camaraderie. It demonstrates that you’re a team player and reflects a positive, approachable attitude, which is key to building strong workplace relationships.
OK I’m done here. Email or text if you have something to say, a tip to share with us, or see a story you think we should be talking about. Have a good week and don’t work too hard.
BP Completes Cementing Macondo Oil Well From Top [