If you invest in mutual funds, be aware of some potential pitfalls involved in buying and selling shares.

man looking at documents with data and charts; image used for blog post about mutual funds tax pitfalls

Surprise Sales
You may already have made taxable “sales” of part of your mutual fund investment without knowing it.

One way this can happen is if your mutual fund allows you to write checks against your fund investment. Every time you write a check against your mutual fund account, you’ve made a partial sale of your interest in the fund. Thus, except for funds such as money market funds, for which share value remains constant, you may have taxable gain (or a deductible loss) when you write a check. And each such sale is a separate transaction that must be reported on your tax return.

Here’s another way you may unexpectedly make a taxable sale.

Continue Reading Avoid Tax Pitfalls of Mutual Funds

The city of Houston is known for being a giving city, but how has the COVID-19 pandemic affected fundraising for not-for-profit organizations? PKF Texas is a proud sponsor of the Houston Business Journal’s upcoming live philanthropy webinar, and we invite you to join us on Tuesday, October 27, 2020, from 2:00 – 3:00 p.m. for “The State of Giving & Nonprofits.”

graphic logo for Houston Business Journal's State of Giving & Nonprofits Zoom Webinar

The free webinar event will host a panel of knowledgeable speakers, including:

  • Lisa Helfman, Director of Public Affairs, H-E-B; Founder and board Chair, Brighter Bites
  • Stephen Ives, President & CEO, YMCA of Greater Houston
  • Kim Sterling, Founder & President, Sterling & Associates

For more event details and registration information for HBJ’s “The State of Giving & Nonprofits,” visit www.bizjournals.com/houston/event/166283/2020/live-webinar-the-state-of-giving-and-nonprofits.

Portrait of Danielle Supkis Cheek, Director at PKF Texas; image used for announcement about Danielle's appointment IFAC committeePKF Texas is excited to announce Director Danielle Supkis Cheek, CPA, CFE, CVA, has been appointed to serve as the U.S. Representative to the International Federation of Accountants (IFAC) Small and Medium Practices (SMP) Committee. Her term will last from January 1, 2021 – December 31, 2023.

The IFAC SMP Committee is an advisory body providing strategic input on IFAC’s activities in three areas:

  • Providing regular and timely input to the international standard-setting process
  • Developing and sharing practical guidance, tools and resources
  • Promoting the visibility and recognition of SMPs

“With the coming adoption of new coming international quality control standards, this is an important time for firms,” said Supkis Cheek. “The industry continues to evolve rapidly, so the opportunity to be part of a committee providing what firms need is rewarding.”

For more information about the IFAC SMP Commitee, visit www.ifac.org/who-we-are/advisory-groups/small-and-medium-practices-advisory-group.

It would be an understatement to say 2020 has been challenging. Leaders of not-for-profits still standing are justified in having anxiety and worrying about strained budgets and their ability to deliver on their organization’s promises during a pandemic, financial crisis and time of social and political upheaval.

green and yellow paper forming a speech bubble with an ellipses; image used for blog post about easing not-for-profit staffers' anxiety

Staffers are likely to be just as concerned about the future of your organization and its constituents. Understandably given the current high unemployment rate, many are also worried about their own job security. Now more than ever, you need to be as open and transparent as possible.

Continue Reading How to Help Ease Your Not-for-Profit’s Staffers’ Anxiety

If you’re finally done filing last year’s return, you might wonder: Which tax records can you toss once you’re done?

files and books of paper stacked across a shelf; image used for blog post about keeping tax records or throwing them away

October 15 is the deadline for individual taxpayers who extended their 2019 tax returns. (The original April 15 filing deadline was extended this year to July 15 due to the COVID-19 pandemic.) Now is a good time to go through old tax records and see what you can discard.

Continue Reading Keep Tax Records or Throw Them Away?

makeshift logo for award of Best Firms for Women from Accounting TodayFollowing on the coattails of “Best Accounting Firms to Work For” rankings from Accounting Today, PKF Texas has also been named one of the “Best Firms for Women!” We are one of 10 firms selected for this recognition.

“This acknowledgement is a tremendous honor,” said Sonia Freeman, CPA, CGMA, Chief Culture Officer and Audit Director. “Supporting the women at PKF Texas has always been part of our firm culture and DNA. We look forward to continue developing our efforts to elevate their careers.”

Each year, Accounting Today recognizes the 100 Best Accounting Firms to Work For in the United States and then selects the 10 Best Firms for Women among the 100, based on the responses of their female staff to a comprehensive employee survey. The information is compiled into a report, which spotlights the firms that are most successful at creating workplaces of choice for women.

IRS audit rates are historically low, according to the latest data, but that’s little consolation if your return is among those selected to be examined. But with proper preparation and planning, you should fare well.

In fiscal year 2019, the IRS audited approximately 0.4% of individuals. Businesses, large corporations and high-income individuals are more likely to be audited but, overall, all types of audits are being conducted less frequently than they were a decade ago.

two men look at stats and documents; image used for blog post about getting ready for an IRS audit

There’s no 100% guarantee that you won’t be picked for an audit, because some tax returns are chosen randomly. However, the best way to survive an IRS audit is to prepare for one in advance. On an ongoing basis you should systematically maintain documentation — invoices, bills, cancelled checks, receipts, or other proof — for all items to be reported on your tax returns. Keep all your records in one place. And it helps to know what might catch the attention of the IRS.

Continue Reading Getting Ready for an IRS Audit in Advance

2020 Best Accounting Firms to Work ForPKF Texas has been named as one of the 2020 Best Accounting Firms to Work For by Accounting Today and Best Companies Group, ranking at #24 of mid-sized firms. The annual survey and awards program are designed to identify, recognize and honor the best employers in the accounting profession, and almost 250 firms across the United States entered the two-part survey process.

Following the July announcement of the 100 unranked firms, Accounting Today recognized the top workplaces in an in-depth ranking September report, where Senior Editor Sean McCabe states,

“As 2020 has represented a year of extraordinary challenges for accounting firms across the country, this year’s Best Accounting Firms to Work For made an especially strong case as to why they deserve to be recognized among the very top workplaces. Years of building rewarding cultures, flexible work environments and professional empathy has helped these firms not only survive but thrive during a tumultuous year.”

Firms from across the United States entered the two-part survey process to determine Accounting Today’s Best Accounting Firms to Work for. The first part consisted of evaluating nominated companies’ workplace policies, practices, philosophy, systems and demographics – worth approximately 25% of the total evaluation. The second part consisted of an employee survey to measure the employee experience – worth approximately 75%. For more information, visit www.BestAccountingFirmsToWorkFor.com.

For the list of mid-sized firms, visit www.accountingtoday.com/list/meet-the-2020-best-midsized-and-large-firms-to-work-for.

As trusted business advisors, we enjoy working with you to co-create ideas and co-develop innovative solutions for your business. Even amidst the COVID-19 pandemic, we still want to continue providing valuable information, including upcoming Houston events that we support, and think may be of interest to you.

  • Houston Business Journal
  • Greater Houston Women’s Chamber of Commerce
  • Turnaround Management Association
  • Texas A&M

If you have questions about any event details or registration information, the organization-specific contacts are below. We hope to see you at any or all of these Houston events!

Continue Reading Mark Your Calendars! Upcoming October 2020 Houston Events…