Keeping condo associations afloat
As foreclosures mount, condominium and homeowner associations have been reeling from sharp decreases in revenue due to the delinquency of unit owners in the payment of their association fees. This has created a tremendous burden for the paying unit owners to shoulder the shortfall so the association will have sufficient income to continue operating.
However, many homeowner and condominium associations in Florida are taking advantage of an equitable remedy known as the “Blanket Receivership” to increase the association’s revenue stream. To effectuate a Blanket Receivership, the association engages an attorney to petition the court to appoint a Receiver over the delinquent units. Once appointed, the Receiver is authorized to collect rent directly from the tenants residing in the delinquent units to pay the association fees. It’s called a “Blanket Receivership” because it eliminates the need to appoint a Receiver over each delinquent unit individually, which is a costly and time-consuming endeavor. Although there is some cost involved in implementing the legal remedy, it allows the association to collect funds it otherwise would not see at all. The “Blanket Receivership,” approved by Florida courts, is a cost effective and efficient remedy that enables the association to stay afloat.
Read the whole article
Amir Isaiah is the Director of Receivership & Fiduciary Services for Kaufman, Rossin & Co., one of the top CPA firms in the Southeast. He has been appointed numerous times as Receiver for residential and mixed-use community associations and was the first Receiver to obtain authorization to lease abandoned units under the Blanket Receivership structure. Mr. Isaiah has extensive experience serving as a guest speaker and panelist on the topic of receiverships, and is co-author of “The Receivership Manual for the Florida Juiciary” revised 2009. He can be reached at aisaiah@kaufmanrossin.com.
Category Value For Your Business, Value For Yourself, Value for our community | Tags: association fees,community association,condo,delinquency
(1 votes, average: 5.00 out of 5)
Loading ...Health care companies: are you prepared for 2/17/2010?
If you’re in the health care business, you needn’t wait for the House and Senate to reconcile their bills to find your world has changed. There’s a regulatory change you need to comply with, right around the corner. And you’d best take notice, because there are expensive penalties for non-compliance.
The federal government has recognized the immediate need for a transition in the way health records are managed. Effective February 17, 2010, covered entities (health plans, healthcare providers and/or healthcare clearing houses) must comply with new rules regarding electronic health records. Subcontractors are affected too.
With the Health Information Technology for Economic and Clinical Health Act (HITECH or “The Act”), a bill that was passed as part of the American Recovery and Reinvestment Act of 2009, a number of incentives have been created to encourage the adoption of health information technology such as electronic health records systems. The Act expects considerable exchange of electronic protected health information among health care providers and has increased the reach of privacy and security regulations under the Health Insurance Portability and Accountability Act (HIPAA), penalties for non-compliance and enforcement provisions.
To give it some teeth and ensure that patients are protected, there are increased civil monetary penalties for HIPAA violations. The state attorney general now has authority to enforce the rules. Penalties for HIPAA violations range from $100 to $50,000 per incident. The maximum civil penalties, on an annual basis for multiple violations, range from $25,000 to $1.5 million.
To learn more about how you should prepare, read the full story or contact me at jrey@kaufmanrossin.com.
Category Value For Your Business | Tags: electronic records,healthcare,HIPAA,penalties
(1 votes, average: 4.00 out of 5) Loading ...Quick! Don’t miss out on tax breaks!
If you run a small business, you’ve probably noticed it’s almost year-end! Now is the time to focus on last-minute moves you can make to save taxes on your 2009 business return. These moves could be especially productive before year-end because there are tax breaks that are not likely to continue much longer unless Congress acts to extend them. Read more
Category Value For Your Business | Tags: 2009,small business,Tax breaks,year-end
(No Ratings Yet) Loading ...Teach more, learn more, add more value.
Just read Bill Taylor’s HBR blog post The Rise of the Teaching Organization and I couldn’t agree more.
He writes:
“Executives have come to understand that for their companies to stay ahead of the competition, their people, at every level, have to learn more (and more quickly) than the competition: new skills, new takes on emerging technologies, new ways to do old things, from manufacturing to marketing to R&D….
But one thing I’ve learned over the last few years, as I’ve traveled the world in search of organizations unleashing big change in difficult circumstances, is that the most determined innovators — the organizations with the most original ideas about how to compete and win — aren’t just committed to learning. They are just as committed to teaching.”
Organizations that look beyond their own walls to find new ideas, or venture out to share the innovations they have created, can benefit in so many ways! Building awareness of their business is an obvious one — but sharing ideas that help others comes back in so many more valuable ways.
Don’t miss this post! I’d love to hear what you think.
Category Value For Your Business, Value For Your Clients, Value For Your Employees, Value For Yourself | Tags: learning organization,teaching organization
(No Ratings Yet) Loading ...New Tax Act can benefit individuals and businesses
Congress passed the Worker, Homeownership, and Business Assistance Act of 2009 on November 5, 2009. The President signed the Act into law on November 6. The Act extended unemployment compensation an extra 14 weeks and includes numerous tax law changes. Here are some of the tax highlights.
Are you looking to buy a home? Even if it isn’t your first you may now be eligible for a tax credit!
The $8,000 home buyer tax credit for first-time buyers is extended through April 2010. The Act also provides for a $6,500 “first-time homebuyer” credit for individuals that have lived in a principal residence for 5 consecutive years out of the last 8 years prior to purchasing a new principal residence. The Act increased the Adjusted Gross Income level of qualifying purchasers to $245,000 for joint return taxpayers ($125,000 for single taxpayers). Finally, the maximum purchase price of a qualifying residence has been increased to $800,000.
Do you own a business? These changes may have a sizeable impact on your company.
The .2% FUTA (Federal Unemployment Tax Act) surtax has been extended into 2011. This surtax was scheduled to expire in 2009.
The extended net operating loss carryback period of 5 years has been expanded to include NOLs of all businesses (not just “small businesses”) from either 2008 or 2009. Losses from “Small Businesses” may use the extended carryback period for both 2008 and 2009. The amount of loss available for the 5th preceding tax year is limited to 50% of the taxable income of that preceding year.
Additionally, the penalties for failure to timely file a partnership or S corporation tax return will be $195 per K-1 beginning with the 2010 tax year.
How do you prepare for these changes?
With Congress taking additional measures to help provide relief, this new legislation may have a significant effect on your business’s operations along with your personal finances. As always, consult with your accountant to organize a customized strategy based on your own unique circumstances to take advantage or help offset these recent changes.
Learn more about the legislation from one of our trusted sources, CCH.
Category Value For Your Business, Value For Yourself | Tags: home buyers credit,tax benefits
(1 votes, average: 5.00 out of 5) Loading ...What’s your game plan?
Join Marcus & Millichap and Kaufman, Rossin & Co. for a lively roundtable discussion about your game plan for commercial real estate now and into the future.
- We’ll discuss defensive plays related to foreclosures, short sales and loan modifications, including tax implications you may not know about.
- We’ll share some ideas for offensive strategies you may not have considered, including tax credits you might be eligible for.
Most valuable will be the coaching you get from your peers as you share a cup of coffee and participate in the discussion.
Get your game plan in order!
October 29
7:30 – 9:15 a.m.
Kaufman, Rossin & Co.
2699 South Bayshore Drive, 3rd Floor
Coconut Grove
Space is limited, so please RSVP here.
Category Value For Your Business | Tags: commercial real estate,tax strategies
(1 votes, average: 5.00 out of 5) Loading ...The world has changed. Do you still need the Big Four brand?
I began my career at a Big Eight accounting firm (yes, I know I’m dating myself), and so did many of my partners. We each decided, a number of years ago, that we didn’t need the Big Firm name anymore. Since then, many Big Four clients have decided they no longer need the Big Brand either.
Do you still need the Big Four brand on your audit?
Some things have changed.
We used to think that companies with global reach needed a Big Four firm. That’s not so true anymore. Unless you have extensive, ongoing operations all over the globe, you can be well-served by a strong regional firm that’s close to your headquarters. Many firms belong to international networks, and have affiliates worldwide.
We used to think that complex organizations or those subject to substantial regulation needed a Big Four firm. But top-tier regional firms are just as likely to stay on top of the newest standards and the more obscure regulations. There’s more data at our fingertips than ever before, and firms that commit to their people and invest in training and development are just as capable as the Big firms today.
We used to think that companies with big institutional investors, or in the process of raising capital needed the prestige of the Big Four brand. Today, 100% clean PCAOB inspections and decades of clean peer reviews may be just as compelling.
Think your funds are safe? Think again.
If you’re in business, there’s an increasing chance that you’re being defrauded. It stands to reason: in tough times, people become desperate. And in times like these any loss can cripple a small business.
In fact, a recent report by the Association of Certified Fraud Examiners revealed that more than half of the experts surveyed believe fraud has increased during the recession — and, the report notes, there are always the unreported or not-yet-uncovered incidents.
The average fraud-related loss in the U.S. comes to about 7% of revenues — and small businesses suffer more. Can your business afford a loss?
There are some basic steps that every business should take to protect against employee embezzlement and other types of fraud. Read more
Your personal resources: the attention economy
Turn on the television, open a newspaper or a magazine, and the leading story will likely be about the state of our 
economy. It’s on everyone’s mind, and for good reason, but I learned of a new type of economy recently, and its one that’s all too frequently overlooked.
The “attention economy” deals in two of our most valuable and limited resources: our own time and attention. Herb Simon, a Nobel prize winning economist, explained “in an information-rich world, the wealth of information means a dearth of something else: a scarcity of whatever it is that information consumes.” Read more
Category Value For Yourself | Tags: time management,time-savers
(5 votes, average: 4.60 out of 5) Loading ...Law firms: Are your trust accounts secure?
Many law firms, large and small, hold funds in trust (or escrow) for their clients. These funds can be entrusted to you for a very short term, or for quite a long time and the amounts can be substantial. But whatever the circumstance, make no mistake, you are responsible for the security of those funds.
Are you sure that your trust accounts are secure?
Making sure those funds are properly safeguarded requires adequate internal controls. Internal controls are a process by which those charged with governance promote operational efficiency, help ensure the reliability of financial statements and compliance with laws and regulations, and (perhaps most important to a law firm’s reputation and profitability) reduce the risk of asset loss. Read more
Category Value For Your Business, Value For Your Clients | Tags: internal controls,law firms,risk,trust accounts
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