Scottsdale affords hospitable climate for TEI's 61st Annual Conference: first Annual Conference in Arizona.

A massive muggy, heat wave roiled the country in July and early August, with record high temperatures and stultifying humidity from Seattle to Boston to Dallas. By October, the weather will cool, but the steamy issues making tax executives hot under the collar will persist. The dry air and cool nights of the Sonoran desert will afford a hospitable climate for tax executives to convene for TEI's 61st Annual Conference, which will be held October 22-25, 2006, at the Westin Kierland in Scottsdale, Arizona. Even if the topics remain oppressive at one level, the weather will not.

"Although TEI has held seminars in Arizona, this is the Institute's first Annual Conference in this popular destination," TEI President Dave Bernard observed. "More important than its location, however, is the conference's content, and I am pleased that the Institute is continuing its longstanding tradition of providing timely, in-depth education and a wealth of networking opportunities for participants."

Mr. Bernard also announced that the 2006 conference will again feature industry sessions on Wednesday morning. "A year ago, we shifted the industry sessions from Monday to Wednesday afternoon," he said, "and the participants embraced the switch. He explained that, by shifting the industry sessions to the final day of the conference, registrants will have covered recent developments before walking into their choice of 21 industry sessions and having the opportunity to discuss them with their colleagues."

Conference Overview

The biggest challenge facing tax executives this fall may not come from legislative or regulatory developments. "From data collection, entry, and analysis, to documentation of internal control processes under section 404 of the Sarbanes-Oxley Act, to disclosures to investors, the implementation of FIN 48 on Accounting for Uncertainty in Income Taxes will no doubt cause a profound re-examination of companies' tax provision calculation and processes," Mr. Bernard said.

To prepare tax executives for the added scrutiny that adoption of the interpretation may bring, several conference sessions have been developed:

* Working with the Corporate Audit Committee, which will highlight the concerns and issues of the corporate audit committee. Among the participants in the panel discussion will be former IRS Commissioner Charles Rossotti and Gareth Glaser of Alcon Laboratories, a former tax director who is currently Vice President, Finance.

* Accounting for Income Taxes under FIN 48: Uncertainty Continues, which will explore the technical accounting rules and practical aspects of implementing the interpretation.

* The Use of Technology in Tax Provisions.

Adherence to the highest standards of professional competence and integrity has long been part of the Institute's Standards of Conduct. With increasing regulation of the tax profession by the IRS, as well as the growing importance and influence of SEC and PCAOB regulations on tax department activities, tax executives need to stay abreast of the boundaries of professional responsibility. Thus, the conference's first plenary session will feature a distinguished panel of practitioners (and former government officials), who will explore the legal, philosophical, and practical challenges confronting tax executives.

The conference will also feature sessions on recently issued IRS regulations. The new rules under section 409A on deferred compensation arrangements will be addressed by William Schmidt, one of the IRS attorneys principally involved in drafting the regulations. Similarly, George Manousos, a former Treasury Department official who was instrumental in developing the section 199 regulations, will update members on the domestic manufacturing deduction. Other federal tax technical sessions will review current trends and traps in executive compensation techniques and the ambiguities of the treatment of settlement payments under section 162(f).

Former IRS Appeals Chief David Robison will discuss the trends and developments in Appeals. In other sessions on IRS administrative practices, member and practitioner panels will review the hot topics of the day and also discuss the lessons learned from implementation of the IRS efiling mandate.

The state and local tax sessions will include a discussion of the Multistate Tax Commissioner's project to create a "51-state spreadsheet," as well as an update on recent developments, a review of legislative developments in Texas, and a session on the state tax treatment of pass-through entities.

Robert Green, former Director of International Tax Programs for the IRS Large and Mid-Size Business Division, will participate in a session on transfer pricing, including the use of technology to document transfer-pricing methodologies. Other international tax sessions will cover recent international tax developments (including decisions of the European Court of Justice), internal restructuring transactions, foreign currency and hedging transactions, and Canadian commodity tax developments. In addition, there will be a compelling session that compares and contrasts the treatment of selected transactions under the U.S. economic substance doctrine and Canada's general anti-avoidance rules.

In addition to the technical and industry sessions, the popular corporate tax management workshops will return as optional bonus sessions on Wednesday afternoon following the morning's industry sessions. Separate workshops will address the different management challenges faced by large and small tax departments.

The keynote speakers for the conference have not yet been determined, but history teaches that TEI will play host to important Treasury, IRS, and congressional leaders. The conference will also feature exhibit by several professional services firms and other companies whose products and services can make the operation of tax departments more efficient and cost-effective. Finally, at Tuesday's banquet, the entertainment will be Frank Caliendo, a stand-up comic whose performances on MadTV and other shows has made him a household name and whose brand of humor will be precisely the right tonic for tax professionals who--after the conference sessions--may need to be reminded of the importance of laughter and of not taking oneself (or even life) too seriously.

TEI's 61st Annual Conference in Scottsdale will be the place to be in late October. Logon to www.tei.org for more information and to register.