Accounting firms that perform audits need to be more aware of unclaimed property, held by clients, property that must be handled correctly and properly reported to state governments. But too often, says Thomson Reuters' Valerie Jundt, companies spread the amounts across different accounts and report "This is what this is what the accountants told us to do."

Properly recording unclaimed property during audits was one of the topics that Jundt, director of the unclaimed property group for Thomson Reuters' Tax and Accounting business, is addressing in the 2009 Seattle Roundtable for Unclaimed Property and Property Tax, led by Thomson professionals in Seattle on Sept. 18.Teaching accounting firms the ins and outs of handling unclaimed property is a something that Jundt, a former state audit administrator, had experience in. A few years ago, she reached out to a CPA society and ended up speaking on this topic annually. Among her topics was the information that unclaimed property should be placed in a reserve or protected account.

KANSAS CITY, MO. - H&R Block said it is continuing its negotiations with McGladrey & Pullen in an effort to convince the accounting firm to maintain a 10-year old agreement under which M&P and Block's RSM McGladrey jointly service clients, but noted it is talking to other audit and attest firms as possible replacements.

Legal arbitration is also continuing over certain provisions of the operating agreements that regulate the relationship.
M&P notified RSM McGladrey on July 21 that it intended to end the relationship. Block CEO Russ Smyth said that "We have been quite clear in our communications that we believe the firms are better off together and that this course set in motion by the ten member board of M&P is risky from both a business and a financial perspective and is not in the best interest of our partners, employees and clients."

PARSPPANY, N.J. - Wal-Mart's decision to remodel its smaller stores put a crimp in the plans for tax chain Jackson Hewitt's expansion because the new design can't accommodate the tax business facilities in several Wal-Mart locations during the next filing season, while its revenue could also be impacted by its banking partners considering lowering interest rates on refund anticipation loans.

Meanwhile, the company said it also plans to launch its first online tax preparation program, although it gave no details about when the program would be introduced. These statements came as Jackson Hewitt reported results for the first quarter ended July 31. According to its SEC filings, the tax chain will operate in 1,500 to 1,750 Wal-Mart stores, but did not detal how many locations will be affected by the new design.. The company also stated it had learned of "potential structural changes under consideration with respect to the offering of RAL and Assisted Refund products by certain of our bank partners, including lowering the APR in the RAL program." The agreements, under which the banks pay Jackson Hewitt a fixed fee for offering and administering bank products, expire on Oct. 31, 2010.