The Barson Group

Volume 12 - Issue 2                                                            

Spring, 2013                                                                                  



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We Have Gone Green.  All issues are e-only!!

In This Edition
Value is as Value Does
What if it's Not Better than Nothing?
Focus on Fun
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Hot Off the Presses!


Our newest mini-book




If you haven't received your complimentary copy, please contact Laura Johnson; 908-203-9800 ext 103




Value is as Value Does



Pretty much unnoticed by those outside of the CPA valuation community, there have been (in theory) some pretty dramatic changes in our doing valuations over the past few years. That's because a few years ago the governing body of our profession, the American Institute of CPAs (AICPA) belatedly came out with its first ever standards specifically addressing business valuations - issuing its proclamation from on high titled Statement on Standards For Valuation Services - 1 (SSVS-1). Note that these standards apply only to the valuation of a business, or an interest in a business; and apply only to CPAs.


For the most part, the essence of SSVS-1 is we need to do a credible and competent job - no surprise there, and hardly radical in the sense of what is expected from professionals. When you drill down a little further, and cut through the obligatory language obfuscation, the new standards basically restrict CPAs to performing one of two types of valuations - either a conclusion of value or a calculation of value. Putting aside the relatively poor choice of titling (to other than a select few, those words at best provide no insight into what is expected, and more likely only confuse the issue), what we are talking about here is whether the job is a "full" valuation (conclusion of value), or is a shortcutted approach to value (calculation of value). It is irrelevant whether the value number we provide you is in the form of a written report or a verbal report - the standards apply to any expression of value.


Click To Read The Entire Article



What if it's Not Better than Nothing?
A standard feature in many divorce settlements is a tax indemnification, typically given by the primary income earner (especially if one is involved in his/her own business) to the lesser earner.  Especially where one of the spouses has a business, it is fairly routine for that spouse to indemnify the other ("non-business" spouse) from any tax complications arising from that person's wrongdoing, lack of doing, or otherwise.  As stated, it's routine, it happens many times, and basically it's also generally reasonable to at least have each spouse indemnify the other for that spouse's transgressions.
Click to read the full article


 Focus on Fun


Accountants & Humor

A Sociological Fable


Not all medical treatments are the same for tax purposes. In fact, in a clearly anti-taxpayer decision, the Tax Court denied a medical expense deduction for the very successful holistic treatment paid for by a taxpayer to a prostitute. Apparently, notwithstanding testimony and some clearly demonstrated benefits received by the taxpayer, the Court held to the hoary dicta that no deductions are permitted for medical expenses that are for illegal operations or treatments



Click Here For More 'Focus on Fun'




The BARSON GROUP  is proud to announce the publication of


"Divorce: The Accountant as Financial Expert" 

 by Kalman A. Barson, CPA/ABV, CFE, CFF 




***We are delighted to announce that the book is in its second printing!***


This is Kal's 6th text focusing on divorce related accounting services, including investigative accounting, business valuations, funds flow tracing and related issues.  While its primary audience is fellow CPAs, as well as attorneys practicing family law and judges sitting in the family section of the court, it is written in such a fashion so that it would be readily understood by the general lay public.  All royalties have been assigned to three charities devoted to helping women and children.


Kal's book can be purchased directly through the AICPA -    



Our Mini-Books: 


Reading & Understanding Tax Returns, Financial Issues in Divorce Practice; Business Valuation - The Basics; The Majesty & Glory of Unreported Income; Divorce, It Can Get Personal - Life Style Analysis & Related Matters - complimentary copies for the asking.  Contact us if you haven't received your copy.