<br />
Beyond the<br />
Fraud<br />
Triangle<br />
Enhancing Deterrence<br />
of Economic Crimes<br />
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Plus<br />
· Disclosure of Taxpayer Information · Establishing a VITA Program · Risk-Based IT Auditing<br />
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Did you<br />
Did you<br />
Did you<br />
know the<br />
know the<br />
know the<br />
NYSSCPA<br />
NYSSCPA<br />
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available?<br />
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The Society is<br />
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Use it to: register for CP<a title="CPAJ July 2010 page 1" href="http://viewer.zmags.com/publication/1fadbbed?page=1">Beyond the Fraud TriangleEnhancing Dete</a> Beyond the Fraud TriangleEnhancing Dete<a title="CPAJ July 2010 page 2" href="http://viewer.zmags.com/publication/1fadbbed?page=2"></a> <a title="CPAJ July 2010 page 3" href="http://viewer.zmags.com/publication/1fadbbed?page=3"> Did you Did you Did youknow theknow thek</a> Did you Did you Did youknow theknow thek<a title="CPAJ July 2010 page 4" href="http://viewer.zmags.com/publication/1fadbbed?page=4">C ONTENTSjuly 2010 </a> C ONTENTSjuly 2010 <a title="CPAJ July 2010 page 5" href="http://viewer.zmags.com/publication/1fadbbed?page=5">vol. LXXX/no.76PERSPECTI</a> vol. LXXX/no.76PERSPECTI<a title="CPAJ July 2010 page 6" href="http://viewer.zmags.com/publication/1fadbbed?page=6"> PublisherJOANNE S. BARRY </a> PublisherJOANNE S. BARRY <a title="CPAJ July 2010 page 7" href="http://viewer.zmags.com/publication/1fadbbed?page=7">Save Money andEnjoy Exclusive Members-Only B</a> Save Money andEnjoy Exclusive Members-Only B<a title="CPAJ July 2010 page 8" href="http://viewer.zmags.com/publication/1fadbbed?page=8">P ERSPECTIVESviewpointThe Journey Toward </a> P ERSPECTIVESviewpointThe Journey Toward <a title="CPAJ July 2010 page 9" href="http://viewer.zmags.com/publication/1fadbbed?page=9">publisher's columnIs There a CPA in the Ho</a> publisher's columnIs There a CPA in the Ho<a title="CPAJ July 2010 page 10" href="http://viewer.zmags.com/publication/1fadbbed?page=10">(Continued from page 6)meddling that the IASB ha</a> (Continued from page 6)meddling that the IASB ha<a title="CPAJ July 2010 page 11" href="http://viewer.zmags.com/publication/1fadbbed?page=11">and avoid unnecessary risks. Over time,experienc</a> and avoid unnecessary risks. Over time,experienc<a title="CPAJ July 2010 page 12" href="http://viewer.zmags.com/publication/1fadbbed?page=12">Developments in Accounting Education</a> Developments in Accounting Education<a title="CPAJ July 2010 page 13" href="http://viewer.zmags.com/publication/1fadbbed?page=13">Many firms also expect that candidates will have</a> Many firms also expect that candidates will have<a title="CPAJ July 2010 page 14" href="http://viewer.zmags.com/publication/1fadbbed?page=14">practice management Accounting </a> practice management Accounting <a title="CPAJ July 2010 page 15" href="http://viewer.zmags.com/publication/1fadbbed?page=15">CPAs and connections to experts in non-standard </a> CPAs and connections to experts in non-standard <a title="CPAJ July 2010 page 16" href="http://viewer.zmags.com/publication/1fadbbed?page=16">A New Type of EngagementBy Lyndsey Havill</a> A New Type of EngagementBy Lyndsey Havill<a title="CPAJ July 2010 page 17" href="http://viewer.zmags.com/publication/1fadbbed?page=17">Want to earn your CPE credits LIVE WEBC</a> Want to earn your CPE credits LIVE WEBC<a title="CPAJ July 2010 page 18" href="http://viewer.zmags.com/publication/1fadbbed?page=18">InFocus</a> InFocus<a title="CPAJ July 2010 page 19" href="http://viewer.zmags.com/publication/1fadbbed?page=19">Beyond theFraud TriangleBy Jack W. Dorminey, A</a> Beyond theFraud TriangleBy Jack W. Dorminey, A<a title="CPAJ July 2010 page 20" href="http://viewer.zmags.com/publication/1fadbbed?page=20">Seminal Efforts in Fraud Research Much of the </a> Seminal Efforts in Fraud Research Much of the <a title="CPAJ July 2010 page 21" href="http://viewer.zmags.com/publication/1fadbbed?page=21">■ large education expenditures,■ family or p</a> ■ large education expenditures,■ family or p<a title="CPAJ July 2010 page 22" href="http://viewer.zmags.com/publication/1fadbbed?page=22">of pressure (e.g., analysts' forecasts, man-agem</a> of pressure (e.g., analysts' forecasts, man-agem<a title="CPAJ July 2010 page 23" href="http://viewer.zmags.com/publication/1fadbbed?page=23">those taken by other millionaire CEOs andCFOs wh</a> those taken by other millionaire CEOs andCFOs wh<a title="CPAJ July 2010 page 24" href="http://viewer.zmags.com/publication/1fadbbed?page=24">Internal Controls: The Achilles' Heel of ■ </a> Internal Controls: The Achilles' Heel of ■ <a title="CPAJ July 2010 page 25" href="http://viewer.zmags.com/publication/1fadbbed?page=25">both access to commit the fraud and the per-cept</a> both access to commit the fraud and the per-cept<a title="CPAJ July 2010 page 26" href="http://viewer.zmags.com/publication/1fadbbed?page=26">A CCOUNTING & AUDITINGaccounting</a> A CCOUNTING & AUDITINGaccounting<a title="CPAJ July 2010 page 27" href="http://viewer.zmags.com/publication/1fadbbed?page=27">141(R) indicates that the change inaccounting fo</a> 141(R) indicates that the change inaccounting fo<a title="CPAJ July 2010 page 28" href="http://viewer.zmags.com/publication/1fadbbed?page=28">“cost to a market participant (buyer) toacquire </a> “cost to a market participant (buyer) toacquire <a title="CPAJ July 2010 page 29" href="http://viewer.zmags.com/publication/1fadbbed?page=29">assigning value, the types of inputs used,all es</a> assigning value, the types of inputs used,all es<a title="CPAJ July 2010 page 30" href="http://viewer.zmags.com/publication/1fadbbed?page=30">result, the acquirer should write off thevalue o</a> result, the acquirer should write off thevalue o<a title="CPAJ July 2010 page 31" href="http://viewer.zmags.com/publication/1fadbbed?page=31">internal research and development costsand acqui</a> internal research and development costsand acqui<a title="CPAJ July 2010 page 32" href="http://viewer.zmags.com/publication/1fadbbed?page=32">A CCOUNTING & AUDITINGinternal controls</a> A CCOUNTING & AUDITINGinternal controls<a title="CPAJ July 2010 page 33" href="http://viewer.zmags.com/publication/1fadbbed?page=33">ber of material weaknesses reported byeach compa</a> ber of material weaknesses reported byeach compa<a title="CPAJ July 2010 page 34" href="http://viewer.zmags.com/publication/1fadbbed?page=34"> Beyond adding more people, profession-al guid</a> Beyond adding more people, profession-al guid<a title="CPAJ July 2010 page 35" href="http://viewer.zmags.com/publication/1fadbbed?page=35">mal shifts in key accounts. Regular use ofhorizo</a> mal shifts in key accounts. Regular use ofhorizo<a title="CPAJ July 2010 page 36" href="http://viewer.zmags.com/publication/1fadbbed?page=36"> in place to address those risks. IT audi- </a> in place to address those risks. IT audi- <a title="CPAJ July 2010 page 37" href="http://viewer.zmags.com/publication/1fadbbed?page=37">Ethics </a> Ethics <a title="CPAJ July 2010 page 38" href="http://viewer.zmags.com/publication/1fadbbed?page=38">A CCOUNTING & AUDITINGinternational accoun</a> A CCOUNTING & AUDITINGinternational accoun<a title="CPAJ July 2010 page 39" href="http://viewer.zmags.com/publication/1fadbbed?page=39"> If the preparer determines that comply-ing wi</a> If the preparer determines that comply-ing wi<a title="CPAJ July 2010 page 40" href="http://viewer.zmags.com/publication/1fadbbed?page=40">instances, footnote disclosures describinghow th</a> instances, footnote disclosures describinghow th<a title="CPAJ July 2010 page 41" href="http://viewer.zmags.com/publication/1fadbbed?page=41">FAETMGet on board with </a> FAETMGet on board with <a title="CPAJ July 2010 page 42" href="http://viewer.zmags.com/publication/1fadbbed?page=42">A CCOUNTING & AUDITINGinternational accoun</a> A CCOUNTING & AUDITINGinternational accoun<a title="CPAJ July 2010 page 43" href="http://viewer.zmags.com/publication/1fadbbed?page=43">SMEs does not differentiate by size of thebusine</a> SMEs does not differentiate by size of thebusine<a title="CPAJ July 2010 page 44" href="http://viewer.zmags.com/publication/1fadbbed?page=44">■ Full IFRS, for publicly accountableentities;</a> ■ Full IFRS, for publicly accountableentities;<a title="CPAJ July 2010 page 45" href="http://viewer.zmags.com/publication/1fadbbed?page=45">IFRS were adopted for use by public com-panies. </a> IFRS were adopted for use by public com-panies. <a title="CPAJ July 2010 page 46" href="http://viewer.zmags.com/publication/1fadbbed?page=46">T AXATIONcompliance & enforcement</a> T AXATIONcompliance & enforcement<a title="CPAJ July 2010 page 47" href="http://viewer.zmags.com/publication/1fadbbed?page=47"> The revised regulations for IRC section7216 a</a> The revised regulations for IRC section7216 a<a title="CPAJ July 2010 page 48" href="http://viewer.zmags.com/publication/1fadbbed?page=48">Third Parties Sometimes, disclosure or use of</a> Third Parties Sometimes, disclosure or use of<a title="CPAJ July 2010 page 49" href="http://viewer.zmags.com/publication/1fadbbed?page=49">taxpayer before disclosing or using infor-mation</a> taxpayer before disclosing or using infor-mation<a title="CPAJ July 2010 page 50" href="http://viewer.zmags.com/publication/1fadbbed?page=50">information in a context other than taxpreparati</a> information in a context other than taxpreparati<a title="CPAJ July 2010 page 51" href="http://viewer.zmags.com/publication/1fadbbed?page=51"> No, the disclosure of taxpayer informa-tion b</a> No, the disclosure of taxpayer informa-tion b<a title="CPAJ July 2010 page 52" href="http://viewer.zmags.com/publication/1fadbbed?page=52">T AXATIONfederal taxation Drinking and D</a> T AXATIONfederal taxation Drinking and D<a title="CPAJ July 2010 page 53" href="http://viewer.zmags.com/publication/1fadbbed?page=53">■ What is the definition of willful negligence?</a> ■ What is the definition of willful negligence?<a title="CPAJ July 2010 page 54" href="http://viewer.zmags.com/publication/1fadbbed?page=54">F INANCEpersonal financial planningTax</a> F INANCEpersonal financial planningTax<a title="CPAJ July 2010 page 55" href="http://viewer.zmags.com/publication/1fadbbed?page=55">al shortage areas. For example, theDepartment of</a> al shortage areas. For example, theDepartment of<a title="CPAJ July 2010 page 56" href="http://viewer.zmags.com/publication/1fadbbed?page=56"> </a> <a title="CPAJ July 2010 page 57" href="http://viewer.zmags.com/publication/1fadbbed?page=57">Revenue Ruling 2008-34 clarifies the defini-tion</a> Revenue Ruling 2008-34 clarifies the defini-tion<a title="CPAJ July 2010 page 58" href="http://viewer.zmags.com/publication/1fadbbed?page=58">M ANAGEMENTethicsHow to Instill a Strong</a> M ANAGEMENTethicsHow to Instill a Strong<a title="CPAJ July 2010 page 59" href="http://viewer.zmags.com/publication/1fadbbed?page=59">long-term success are more important thanshort-t</a> long-term success are more important thanshort-t<a title="CPAJ July 2010 page 60" href="http://viewer.zmags.com/publication/1fadbbed?page=60">ees to report bad corporate behavior by pro-tect</a> ees to report bad corporate behavior by pro-tect<a title="CPAJ July 2010 page 61" href="http://viewer.zmags.com/publication/1fadbbed?page=61">R ESPONSIBILITIES & LEADERSHIPeducation</a> R ESPONSIBILITIES & LEADERSHIPeducation<a title="CPAJ July 2010 page 62" href="http://viewer.zmags.com/publication/1fadbbed?page=62">successful VITA site, “The VITA Program:A Cataly</a> successful VITA site, “The VITA Program:A Cataly<a title="CPAJ July 2010 page 63" href="http://viewer.zmags.com/publication/1fadbbed?page=63">Publication 901, “U.S. Tax Treaties,” is ahelpfu</a> Publication 901, “U.S. Tax Treaties,” is ahelpfu<a title="CPAJ July 2010 page 64" href="http://viewer.zmags.com/publication/1fadbbed?page=64">VITA site in the community does takeappointments</a> VITA site in the community does takeappointments<a title="CPAJ July 2010 page 65" href="http://viewer.zmags.com/publication/1fadbbed?page=65">R ESPONSIBILITIES & LEADERSHIPeducation</a> R ESPONSIBILITIES & LEADERSHIPeducation<a title="CPAJ July 2010 page 66" href="http://viewer.zmags.com/publication/1fadbbed?page=66">Students' Perceptions Several studies have inv</a> Students' Perceptions Several studies have inv<a title="CPAJ July 2010 page 67" href="http://viewer.zmags.com/publication/1fadbbed?page=67">ing the last 25 years. Exhibit 1 presents someex</a> ing the last 25 years. Exhibit 1 presents someex<a title="CPAJ July 2010 page 68" href="http://viewer.zmags.com/publication/1fadbbed?page=68">T ECHNOLOGYelectronic reportingImplemen</a> T ECHNOLOGYelectronic reportingImplemen<a title="CPAJ July 2010 page 69" href="http://viewer.zmags.com/publication/1fadbbed?page=69">more transaction classes relevant for consid-era</a> more transaction classes relevant for consid-era<a title="CPAJ July 2010 page 70" href="http://viewer.zmags.com/publication/1fadbbed?page=70"> EXH</a> EXH<a title="CPAJ July 2010 page 71" href="http://viewer.zmags.com/publication/1fadbbed?page=71"> trol can be placed in operation if it can b</a> trol can be placed in operation if it can b<a title="CPAJ July 2010 page 72" href="http://viewer.zmags.com/publication/1fadbbed?page=72">adequately comply with the technical stan-dards.</a> adequately comply with the technical stan-dards.<a title="CPAJ July 2010 page 73" href="http://viewer.zmags.com/publication/1fadbbed?page=73">of material misstatement to the existenceand val</a> of material misstatement to the existenceand val<a title="CPAJ July 2010 page 74" href="http://viewer.zmags.com/publication/1fadbbed?page=74">T ECHNOLOGYwhat to bookmarkWebsite of </a> T ECHNOLOGYwhat to bookmarkWebsite of <a title="CPAJ July 2010 page 75" href="http://viewer.zmags.com/publication/1fadbbed?page=75">card. Courses are provided in self-studyor webin</a> card. Courses are provided in self-studyor webin<a title="CPAJ July 2010 page 76" href="http://viewer.zmags.com/publication/1fadbbed?page=76">Classified PROFESSIONAL OPPORTUNITY l BUSINESS l</a> Classified PROFESSIONAL OPPORTUNITY l BUSINESS l<a title="CPAJ July 2010 page 77" href="http://viewer.zmags.com/publication/1fadbbed?page=77">CPA FIRMS OR PARTNERSWe represent a number of qu</a> CPA FIRMS OR PARTNERSWe represent a number of qu<a title="CPAJ July 2010 page 78" href="http://viewer.zmags.com/publication/1fadbbed?page=78">CPA OFFICES IN SUFFOLK COUNTYReduce your overhea</a> CPA OFFICES IN SUFFOLK COUNTYReduce your overhea<a title="CPAJ July 2010 page 79" href="http://viewer.zmags.com/publication/1fadbbed?page=79">Sole practitioner seeks per diem accountant.Audi</a> Sole practitioner seeks per diem accountant.Audi<a title="CPAJ July 2010 page 80" href="http://viewer.zmags.com/publication/1fadbbed?page=80"> </a> <a title="CPAJ July 2010 page 81" href="http://viewer.zmags.com/publication/1fadbbed?page=81">E CONOMIC & MARKET D ATAmonthly update</a> E CONOMIC & MARKET D ATAmonthly update<a title="CPAJ July 2010 page 82" href="http://viewer.zmags.com/publication/1fadbbed?page=82">E DITORIALa message from the editor-in-chie</a> E DITORIALa message from the editor-in-chie<a title="CPAJ July 2010 page 83" href="http://viewer.zmags.com/publication/1fadbbed?page=83"></a> <a title="CPAJ July 2010 page 84" href="http://viewer.zmags.com/publication/1fadbbed?page=84"></a>