The Monday Accrual: December 15, 2025

Profit & Loss Report

$10.6B in Crimes: IRS on Tax Fraud, Cybercrime, Money Laundering

The IRS reported a 15.7% rise in financial crimes for 2025, totaling $10.59 billion, with tax fraud up 111.8% to $4.5 billion. Cybercrime, payroll schemes, and scams drove the increase, while IRS-CI seized 2.35 petabytes of data and over $800 million in assets.

Major convictions included the $250 million Feeding Our Future fraud, the $71 million Bitfinex hack, $62 million laundered for drug traffickers, and TD Bank’s $670 million AML failures, which resulted in approximately $1.8 billion in penalties during the year 2025. 

Source: CPA Practice Advisor

Rare Accounting Oddities

DYK the biggest financial liability comes from the government?

Did you know  the largest balance sheet comes from the U.S. federal government? With tens of trillions in government liabilities, it makes even the biggest corporations look small.

Most comes from federal debt and long-term promises like pensions and veterans’ benefits, while assets only encompass a fraction of what’s really owed by the U.S. government. 

This is a powerful reminder that accrual accounting tells the real story: future obligations matter, liabilities change everything, and U.S. government materiality is measured in trillions.

Earn CPE Credits While Mastering Alteryx

Upgrade your Alteryx skills beyond the next level in Wisdify.

Learn data transformation processes, spatial analysis, macros, and analytic apps using real-world financial datasets.

Format: 5–20 min videos, 6 quizzes, final assessment
Field of Study: Information Technology
Prerequisites: Wisdify’s Alteryx Fundamentals for Financial Analysis

Learn how to:

• Apply advanced data transformation methods

• Optimize workflows for speed and scalability

• Collaborate with spatial data to uncover trends

• Build macros and analytic apps for automation 

Reach for high-value clients and strategic positions in Wisdify. 

Access All Wisdify CPE Courses for $39

Journaling Insider

House Reverses Zuch, IRS Notice Mandates, Excise Taxes Updates

The House Ways and Means Committee advanced three tax bills, including the Taxpayer Due Process Enhancement Act which reverses the Zuch ruling, preserves Tax Court jurisdiction, blocks IRS offsets on disputed payments, and pauses refund deadlines during long cases.

The Taxpayer Notification and Privacy Act requires 45-day notice before third-party IRS requests, while the Innovate Less Lethal to De-Escalate Tax Modernization Act exempts certain less-lethal devices and ammo from excise taxes, though critics warned of potential loopholes.

Source: Thomson Reuters

Making Cents of Accounting

“Coffee: The Real MVP”

Person A: “I love reconciling accounts at 3 AM.”

Person B: “You mean crying over spreadsheets?”

Person A: “Same thing. Just with more coffee.”

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