The construction industry comes with many advanced accounting issues, audit procedures, and tax issues, which makes construction contractor engagements inherently higher risk than other engagements. As a result, practitioners and financial professionals should be prepared to address difficult issues such as look-back calculations, measuring progress of contracts, overhead allocations, and internal controls for construction contractors. Learn about some of the most pervasive issues in the construction industry and how to identify and manage the risks inherent with construction contractor engagements.
Learning Objectives
Apply accounting and financial reporting standards to complex situations involving construction contractors. Evaluate and perform audit processes to avoid common deficiencies in construction engagements. Identify tax compliance issues unique to the construction industry.
Major Topics
- Contractor internal controls
- Fraud and the contractor
- Joint venture accounting
- Contractor's benchmarks
- Cash management for the contractor
- Construction cost allocations
- Assisting the financially troubled contractor
- Audit risks
- Deferred income taxes
- Tax planning and AMT
- Look-back method
