Bohemia, NY (PRWEB) November 30, 2013
Lawrence Teicher, founder of CFO Consulting Services, responds to an article published by CFO, which explains that business decision-makers need to pay attention to the benefits of tax credits.
According to the CFO article titled “CFOs Need to Learn About Tax Credits,” there is a significant need for CFOs to meet with tax executives in order to learn more about money-saving tax credits and incentives.
The article says that a recent Ernst & Young survey polled 797 tax and finance executives from Fortune 1,000 companies. One of the many findings shows that there is a major gap in knowledge about the numerous tax incentives that are offered to businesses by all levels of federal government. Only 16 percent of those polled said their company is “very aware” of the benefits of tax credits, while 36 percent of respondents marked that their company is “somewhat aware” of tax credits. However, most concerning is that 16 percent of the executives polled are “not at all aware” of tax credits.
Ali Master, the national director in Ernst & Young’s business incentives and tax credits division, says that the low awareness of tax credits at the executive level of Fortune 1,000 companies can be explained by the low status of tax departments in business decisions. Master says that in most companies, “Tax is not the first group to hear about transactions and the strategic decisions being made,” and tax divisions have no say in any of these behaviors.
Lawrence Teicher, founder of CFO Consulting Services, believes CFOs owe it to their companies to learn everything they can about tax incentives and tax reduction opportunities “It is the responsibility of a CFO to reduce their company’s effective tax rate whenever legally possible he says. “Tax credits are an opportunity that can result in huge corporate savings to both businesses and their owners. CFOs, and the rest of the C-Suite, need to be cognizant of the tax ramifications of different transactions and alternatives. Considering the tax impact of a transaction after the fact can create an unnecessary tax burden.”
Teicher believes that smaller companies that want to pursue tax credits should consult a knowledgeable CFO. “Tax benefits are not limited to Fortune 1,000 companies. I would recommend all small business owners consult a well-informed CFO or tax accountant for more information.”
CFO Consulting Services, LLC provides outsourced, part-time CFO services on an as-needed basis to both small and mid-sized businesses located in the NY metropolitan region. Founded by Long Island CPA and financial expert Lawrence Teicher, CFO Consulting Services follows four main principles: independence, objectivity, competence and confidentiality. These core values have led its clients to achieve lasting success in their businesses.