Accounting profession supports new law prohibiting states from taxing nonresident partners' retirement income.A bill supported by the AICPA AICPA See American Institute of Certified Public Accountants (AICPA). and others within the accounting profession was signed into law last month by President Bush. The new law prohibits states from taxing the retirement income of partners who are not residents of that state. "The new law ensures that states' tax rules for retirees are uniform, whether the retiree was an employee or a partner," Tom Ochsenschlager, AICPA Vice President--Taxation, said. "It guarantees equity." Ochsenschlager said enactment of the bill is important to many CPAs who are, or were, partners of accounting and consulting firms Noun 1. consulting firm - a firm of experts providing professional advice to an organization for a fee consulting company business firm, firm, house - the members of a business organization that owns or operates one or more establishments; "he worked for a . The passage and enactment into law of this legislation clarifies the original intent of a 1996 law that prohibits states from taxing nonresident non·res·i·dent adj. 1. Not living in a particular place: nonresident students who commute to classes. 2. employees' retirement income. The new law is retroactive Having reference to things that happened in the past, prior to the occurrence of the act in question. A retroactive or retrospective law is one that takes away or impairs vested rights acquired under existing laws, creates new obligations, imposes new duties, or attaches a to 1996. |
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