CPA Services

CPAs provide services directly to the public, as well as corporations or non-profits. They can work in virtually any area of finance.

Note: Some CPAs are generalists and offer a range of services (especially those in small practices). However, many CPAs specialize in just one area and do not provide all the services listed below.

Tax services

CPAs prepare tax returns. But did you know they also help individuals and business plan short and long-term goals to lower their tax liabilities? CPAs stay up-to-date on tax law changes and other tax issues that can save their clients money. They can also assist with tax problems. Some CPAs represent clients before government agencies like the IRS.

Financial planning and services

A CPA can help you maximize your income and plan for a secure future. CPAs can do everything from helping you make wiser spending decisions to saving for your child's college education to helping you plan for retirement. Here are just some of the ways a CPA can help you:

• Develop a personal budget
• Offer recommendations on ways to save for college
• Plan for retirement
• Choose investment opportunities
• Assist with estate planning
• Create a succession plan for your business

Financial statement reporting

Virtually all entities -- whether they are privately held, publicly owned, governmental or not-for-profit -- must prepare reports. These reports, called financial statements, depict the entities' financial performance and position. Financial statements help owners and management make operating decisions, creditors evaluate loan applications, and investors make investment decisions.

CPAs perform a valuable service by acting as an independent third party in the financial reporting process. To meet each organization's specific need, a CPA offers three distinct services: an audit, review and compilation.

Audit
An audit provides the highest level of assurance that an entity's financial statements are presented fairly in accordance with established standards. CPAs must plan and perform their audits to obtain reasonable assurance that the statements are free of material misstatement. To do this, they must consider:

• Consider the entity's internal controls
• Examine, on a test basis, evidence supporting the amounts and disclosures in the financial statements
• Assess the accounting principles used and significant estimates made by management

Audits are required for all publicly-held companies and all organizations receiving government funding in excess of certain thresholds. Many other organizations have an audit at the mandate of an outside third party, such as a creditor or state agency, or at the request of internal management or an oversight board.

Review
In a review engagement, a CPA provides limited assurance that they are not aware of any material modifications that would be necessary in order for financial statements to be in conformity with established standards. The procedures performed by the CPA are much less extensive than in an audit, and consist primarily of analytical procedures and inquiries.

Compilation
In a compilation engagement, a CPA assembles financial statements from information provided by management, but provides no assurance on them. Compilations are most often performed for small, non-public companies with limited in-house accounting capabilities.

Other assurance services

Public trust in the integrity and objectivity auditors bring to client engagements has led to the development of new services. These newer, value-added assurance services are aimed at improving the quality of information, or its context, for decision-makers. In providing these and other assurance services, CPAs apply their independent professional judgment to meet specific customer needs.

Business valuation, forensic and litigation services

CPAs are considered the foremost authorities on financial and economic issues. CPAs act as expert witnesses and consultants, presenting private advice to attorneys. CPAs also assist clients in business acquisitions, fraud investigations, bankruptcies, alternative dispute resolutions and other legal matters.

Here are some examples:

• Estimate the selling price of a business
• Resolve disputes related to estate and gift taxation
• Divorce litigation
• Allocate business purchase price among the business assets
• Establish a formula for estimating the value of partners' ownership interest for buy-sell agreements
• Settle many other business and legal disputes.

Information technology

Many CPAs work with clients to harness the power of technology. CPAs:

• Provide IT planning and assessments
• Design information systems
• Select and implement software solutions
• Advise on the use of electronic commerce
• Develop information security policies

Find a CPA for your needs

The MNCPA's CPA referral service is a convenient, confidential and proven way to find the accounting professional for you, your business or customers.