Construction Contractors: Critical Accounting, Auditing, and Tax Issues (CONS)

Overview

Accounting and financial reporting for construction contractors may be the most difficult area to be in compliance with the various standards. Construction engagements are, in many instances, more “dangerous” than most lines of business due to the many users of the financial statements. In this course, we will discuss why construction accounting and financial reporting are so complex and discuss the relationship between the contractor and the surety, both from an underwriting and claims perspective. We will also explore what the surety looks for in order to maximize potential bond credit, and we will discuss key areas of tax compliance concentrating on those areas which make construction unique, including the impact of recent tax legislation.

Major Topics:

• Overall landscape of the construction industry
• GAAP and recent changes affecting the construction industry
• The Revenue Recognition Standard and its impact on the construction industry
• Unique audit and review issues with construction contractors
• The unique relationship between the contractor and the surety
• Tax compliance issues facing construction contractors, including CTA reporting
• Ongoing and new tax issues for construction contractors
• Going concern disclosures and their importance to the construction industry
• The lease FASB ASC and its impact on the construction industry 

Learning Objectives:

• Apply accounting and financial reporting standards to construction contractors
• Perform audit and review engagements for construction clients according to the Standards as efficiently and effectively as possible
• Identify tax compliance issues unique to the construction industry and apply the latest changes