The straight line

We understand that many of you have received letters from legal counsel for the “reorganized debtors” of Verasun Energy Corporation. These letters were regarding preference claims associated with their bankruptcy filing on October 31, 2008.

Enforcement of the rule has now been extended to December 31, 2010, while Congress considers legislation that would affect the scope of the included entities.

Until recently, U.S. generally accepted accounting principles (GAAP) have long been considered universally acceptable for both publicly and privately held companies. However, there have been growing concerns about the specific needs of privately held companies which must report to a narrower range of financial statement users, such as lenders, venture capitalists, and insurers.

Hidden within the 2,409-page document known as the Health Care Reform Law, is a provision intended to close the “tax gap,” the estimated $300 billion difference between tax revenue that is collected by the government and that which is not, presumably because of unreported business income.

The new health care law that president Obama signed into effect this year carries with it several new financial requirements, most of which will significantly effect small business owners.

In March of 2009, the Governmental Accounting Standards Board (GASB) issued Statement No. 54, significantly changing the requirements for reporting governmental funds balances beginning in fiscal year ending June 30, 2011. The new statement clarifies the definitions of individual governmental funds and changes some of the activities reported in certain special revenue funds.