Connect with us

Accounting

House unveils Trump-backed bill to avert government shutdown

Published

on

House Republicans announced a spending bill to keep government agencies open through Sept. 30, daring Democrats to vote against it and risk a disruptive March 15 shutdown.

The move tees up a dramatic confrontation on Capitol Hill next week and threatens to further fuel uncertainty for a federal workforce roiled by swift and aggressive cuts made by billionaire Elon Musk. 

Speaker Mike Johnson will attempt to hold the fractious Republican majority together and muscle the 99-page bill through the House on Tuesday, likely without help from Democrats. But the bill would still need the help of moderate Democrats in the Senate, where the legislation would stall without 60 votes. 

Neither party, however, has shown an appetite for a shutdown. If the bill fails in either chamber, Congress is likely to pass a temporary bill to buy additional time to forge a compromise that has eluded lawmakers since the fiscal year began in October.  

President Donald Trump called on Republican lawmakers to pass the bill next week, warning them to allow “NO DISSENT” in their ranks.  

“I am asking you all to give us a few months to get us through to September so we can continue to put the Country’s ‘financial house’ in order,” Trump said on his Truth Social network.

Democrats have tried to leverage the spending bill to put constraints on Musk and his so-called Department of Government Efficiency. Republicans, who hold the majority in both chambers, have resisted. The stopgap bill was crafted in consultation with the White House. 

The stopgap bill would allow the Trump administration “to continue the DOGE efforts finding all these extraordinary levels of savings, and waste, fraud and abuse,” Johnson told Fox News on Friday. “We’ll be able to incorporate that into the budgeting for FY 26 which will start almost immediately after we’re done next week.”

Representative Rosa DeLauro, the top Democrat on the House Appropriations Committee, said she opposed the bill because it would allow Musk to continue making cuts, overriding the will of Congress.

“By essentially closing the book on negotiations for full-year funding bills that help the middle class and protect our national security, my colleagues on the other side of the aisle have handed their power to an unelected billionaire,” she said in a statement.

The bill would slightly decrease overall discretionary spending through the end of the fiscal year on Sept. 30. The bill, Trump signaled in remarks earlier this week, paves the way for his more sweeping legislative priorities: a proposed $4.5 trillion tax cut over the next decade paired with $2 trillion in spending cuts aimed at entitlement programs.

“Conservatives will love this Bill because it sets us up to cut Taxes and Spending in reconciliation, all while effectively FREEZING Spending this year,” Trump said on Truth Social Wednesday as the bill was being drafted. “Let’s get this Bill done.”

South Carolina Republican Senator Lindsey Graham said on Fox News Sunday that while he didn’t want the government to shut down, the bill “is terrible on defense and the border. I want to commit what we’re going to have more money for border and defense before I vote for” it. 

The vote will test whether Johnson and Trump can wrangle GOP conservatives who have never voted for a stopgap funding measure. Conservative hard-liners have pledged to seek deep, permanent cuts to federal agencies in fiscal 2026 once Musk’s cost-cutting crusade is complete. 

The GOP cannot afford much opposition, given the narrow House majority. Already conservative Thomas Massie of Kentucky, who opposes stopgap bills without automatic spending cuts, has said he will vote against it. The bill contains new funding to boost immigration enforcement that the White House requested. 

The bill extends a host of expiring health programs from April 1 to Sept. 30, including Medicare coverage of telehealth consultations with doctors and funding for community health centers.

Republican leaders have already wooed defense hawks in the party worried about a freeze on Pentagon spending. They’re planning to use a separate GOP-only tax cut package to add $100 billion in military spending.  

The stopgap bill would boost defense spending by $6 billion while cutting non-defense spending by $13 billion relative to current levels, resulting in an overall spending cut, according to a House Republican leader’s aide. It contains no lawmaker pet projects known as earmarks. 

Part of the defense boost goes toward a pay increase for military troops authorized by Congress last year. 

The bill goes into detail on which weapons systems account should be newly funded. Top Senate Republican appropriator Susan Collins told reporters she doesn’t support giving the Pentagon a blank check to decide which contracts to initiate.

Armed Services Chairman Mike Rogers and other hawks also secured flexibility for the Pentagon in the bill to boost the military’s ability to make new weapons purchases, which would typically not be allowed under a continuing resolution. 

The bill would grant the Pentagon the ability to transfer money into new accounts. The flexibility could allow for spending on new Virginia-class submarines and ships built by General Dynamics Corp.’s Electric Boat and HII’s Newport News Shipbuilding.

Democrats are lining up to oppose the stopgap measure because it would freeze spending. The bill would also claw back $20.2 billion in spending for the Internal Revenue Service passed as part of President Joe Biden’s signature green-energy Inflation Reduction Act. Democrats say that is a poison pill that they cannot support because it would boost tax cheating by the wealthy. 

Democrats said a spending freeze effectively cuts crucial benefits.

House Democratic leader Hakeem Jeffries said in a letter the Republican measure “threatens to cut funding for health care, nutritional assistance and veterans benefits through the end of the current fiscal year. That is not acceptable.” 

The minority party prefers a short-term bill to avoid a shutdown at the end of next week in order to allow talks to continue on detailed appropriations bills allowing 1% growth to defense and non-defense spending. The stopgap bill is below 1% spending cap increases approved in a bipartisan 2023 bill. 

A House Republican aide said the bill has increases for veterans benefits, housing assistance and fully funds food assistance for women and children. 

Continue Reading

Accounting

The Importance of Backing Up Bookkeeping Data

Published

on

Importance of Backing Up Bookkeeping Data

Protecting Your Business’s Financial Lifeline

In today’s digital business environment, backing up bookkeeping data is not just a good practice—it’s a critical part of financial management. Your financial records are among your company’s most valuable assets. Losing them can lead to serious consequences, from lost revenue and legal penalties to a complete breakdown of operations. Whether you’re a small business owner or a large enterprise, understanding the importance of data backup in bookkeeping can save you from irreversible damage.

Why Financial Data Backup Matters

Financial data backup is essential because data loss can happen at any time. It can come from hardware failures, cyberattacks, software crashes, natural disasters, or even simple human mistakes. One accidental deletion or system crash could wipe out years of financial records, including invoices, receipts, tax filings, payroll data, and customer information. Without a solid backup plan, restoring that information can be impossible, leading to compliance violations and major setbacks.

Business Continuity and Bookkeeping Reliability

One of the main goals of any data backup strategy is business continuity. When your financial information is backed up and easily restorable, your business can continue to function even after an unexpected event. This minimizes downtime and ensures your bookkeeping stays accurate and up to date. Whether you face a cyberattack or a flood, a reliable backup ensures you can access your critical financial records and get back on track quickly.

Follow the 3-2-1 Backup Rule

A best practice for data backup is the 3-2-1 rule, which stands for:

  • 3 copies of your data (one primary and two backups)
  • 2 different types of media (for example, a computer hard drive and an external USB drive)
  • 1 copy stored off-site, such as in a secure cloud-based system

This approach protects your financial data from all types of risks, including physical theft or natural disasters that could destroy all on-site backups.

Use Cloud Backup Solutions

Modern cloud accounting software like QuickBooks Online, Xero, and FreshBooks often include automatic data backup features. These platforms store your information in secure, off-site servers and regularly update your data in real time. While this offers a great layer of protection, businesses should still maintain independent backups—either through cloud storage providers like Google Drive or Dropbox or through physical external drives.

Automate Your Backup Schedule

To avoid the risk of forgetting manual backups, it’s smart to set up automated backup schedules. Most businesses benefit from:

  • Daily incremental backups (to capture changes made each day)
  • Weekly full backups (to maintain a complete and up-to-date copy)

Additionally, consider making extra backups after major financial activities, such as closing the month or completing annual reports. This ensures that your most important financial data is stored securely at critical checkpoints.

Test Your Backup Systems Regularly

Backing up your data is only half the job. The other half is making sure you can successfully restore it when needed. Many businesses make the mistake of assuming their backup systems work, only to discover too late that their files are corrupted or inaccessible. Set a quarterly schedule to test your backup restoration process. Restore files in a test environment and make sure they are complete, accurate, and usable.

Keep Backup Data Secure

Your financial data contains sensitive business information, including banking details, employee records, and customer data. This means your backup system must be just as secure as your main systems. Use strong encryption, require password protection, and enable multi-factor authentication (MFA) on your cloud accounts. Make sure that only authorized personnel have access to backup files, and regularly audit access permissions.

Store Physical Backups Off-Site

If you use external hard drives or USB devices for backup, store at least one copy off-site. Keeping all backups in the same location exposes your data to risks like fires, floods, or theft. Consider storing a copy at a trusted partner’s office, a secure storage facility, or even using a backup vaulting service.

Stay Compliant with Legal and Tax Requirements

In many industries, financial records must be retained for several years to meet legal and tax obligations. Failing to back up your bookkeeping data can result in penalties during audits or investigations. Keeping reliable backups helps you meet these requirements, providing a digital paper trail of your financial activities.

Make Backup Part of Your Financial Strategy

Treat your bookkeeping backup system as an essential part of your business strategy. It’s not just about preventing disaster—it’s about preserving your financial history, supporting compliance, and keeping your business running smoothly. Regular data backups give you peace of mind and a safety net to fall back on when the unexpected happens.

Conclusion: Backup for Long-Term Success

Backing up your bookkeeping data is one of the smartest moves you can make to protect your business. With cyber threats rising and unexpected issues always a possibility, a strong data backup system ensures your financial records are always safe, accessible, and intact. By following best practices like the 3-2-1 rule, automating schedules, securing your data, and regularly testing your system, you build a reliable foundation for your financial operations. Make data backup a non-negotiable part of your bookkeeping routine, and you’ll be well-prepared for whatever challenges come your way.

Continue Reading

Accounting

13 firms combine to form Sorren

Published

on

Thirteen accounting firms have united to form Sorren, a national firm backed by private equity firm DFW Capital Partners that will have over a thousand employees and 20 offices across the country.

Operating in an alternative practice structure as Sorren CPAs PC for attest services and Sorren Inc. for business advisory and non-attest services, the combined firms have 85 partners and approximately $170 million in revenue, with plans to add more firms going forwards.

Many of the founding firms met as members of the BDO Alliance, and their leaders had gotten to know one another as attendees at alliance meetings and managing partner roundtables, according to Josh Tyree, the president of Sorren, who was previously president of Harris CPAs, an Idaho-based firm that was the first of the group to go the PE route, signing up with DFW in January 2024.

Sorren's headquarters in Boise, Idaho

Sorren’s headquarters in Boise, Idaho

“Harris had started looking at that process with DFW for a good chunk of 2023,” Tyree recalled, “and I remember we were having a managing partner roundtable meeting in Nashville that year in the fall, and they were all there and I raised my hand after two hours of talking about PE and I said, ‘Hey guys, I think I’m going to jump in feet first and you guys should all come and join us.'”

And they did — with individual firms joining up with DFW over the course of 2024, and a large group in January 2025.

“There was a level of comfort,” he explained. “We knew all of our firms and our people and what we do and how we do it because we’d shared so much information over the years.”

Apart from Harris, the other firms currently comprising Sorren are:

  • Acuity (Georgia);
  • Aycock & Co. (Texas);
  • Capital Nomics Valuations (California);
  • Chigbrow Ryan Murata (Idaho);
  • Hoerber Tillman & Co. (Florida);
  • JRJBF (Illinois);
  • KDP Advisors (Oregon);
  • KMA Advisors (Wisconsin);
  • Pisenti & Brinker (California);
  • Roeser Accountancy (California).
  • SBF Advisors (Florida);
  • Stockman Kast Ryan & Co. (Colorado).

Allan Koltin, CEO of Koltin Consulting Group, said in a statement, “What makes Sorren stand out is the way these firms came together — with intention, shared values, and a commitment to staying deeply connected to their local markets. This group didn’t just merge for size; they united around a common purpose. It’s a blueprint for how innovative firms can grow, while staying true to who they are.”

Tyree-Josh-Sorren

Josh Tyree

The firms all have a strong focus on small and middle-market businesses and nonprofits that want a local firm feel and relationship, even if they need services across the country. As it adds new firms, Sorren will prioritizing those that are a fit with their current culture.

“If we go into another region, we want to start with leadership and good people; we’re not just randomly going out to try and find any firm that meets [a client need],” Tyree explained. “It really has to fit our culture and it has to have a leader in that area for us to go into that services.”

He also made the point that Sorren is still very much a work in progress — relying on current firm expertise to build national practices in tax, assurance, CAS and advisory.

“One goal when we originally started was we wanted to get to enough mass size that we could really start to build this by using leadership from and talent from all the firms that came on board,” Tyree said.

“It’s going to be super fun, but it’s a lot of work,” he added. “If all you’re looking to do is do a rollup or something like that, that’s probably not our style. We’re trying to create this for our type of client and our type of cultures. And we think there’s a little void there where we can do it.”

Continue Reading

Accounting

Trump’s ex-IRS commissioner pushes back on Harvard tax attack

Published

on

Donald Trump’s promise to strip Harvard University of its tax-exempt status prompted criticism Friday from a former Internal Revenue Service commissioner in the president’s first term, who said the process would take years and need a judge’s approval. 

“The IRS will not allow itself to be weaponized,” former IRS Commissioner Charles Rettig said in an emailed statement to Bloomberg News. Rettig, who oversaw the agency from 2018 to 2022, was asked to respond to Trump’s social media post early Friday that said: “We are going to be taking away Harvard’s Tax Exempt Status. It’s what they deserve!” 

Trump made the announcement after weeks of threatening a change to the school’s tax-exempt treatment, stepping up his attack on the Ivy League school.

Federal criminal law bars President Trump or the vice president from ordering the IRS to punish his political opponents or reward his allies. Rettig said the Treasury Department’s Inspector General for Tax Administration “closely monitors and investigates efforts to possibly influence IRS operations.”

The IRS cannot take any action on an organization’s tax-exempt status “without conducting an appropriate examination that would provide relevant information objectively supporting such an action,” Rettig said. “The IRS does not and should not conduct a ‘fishing expedition’ designed to hopefully uncover a relevant issue.” 

Organizations also have administrative and judicial appeal rights that can take years to resolve before a federal judge approves a change in tax-exempt status, he said. “Throughout that process, there are many opportunities for resolution that would not result in the removal of the tax-exempt status of an organization,” he wrote. 

Trump’s fight with Harvard escalated after it rejected his administration’s demands to reform campus policies to combat antisemitism and promote viewpoint diversity. The administration has frozen $2.2 billion in funding that supported projects including ALS and tuberculosis research. 

On April 21, Harvard sued the U.S., claiming the funding freeze violated its free speech rights, and the government cannot dictate what it teaches, who it hires, and which students it admits. 

In Trump’s second term, four people have held the IRS commissioner’s job on an acting basis.

Continue Reading

Trending