Maritime

Services for Maritime Companies

Audit & Attestation

  • Audit, Review, and Compilation of Financial Statements
  • Agreed-Upon Procedures
  • Employee Benefit Plan (401k) Audits

Tax Planning & Compliance

  • Corporate Tax Planning and Preparation
  • International Tax Planning and Preparation
  • Sales & Use Tax Analysis
  • State and Federal Economic Incentives
  • Business Structure & Entity Planning

Business Advisory

Forensic Accounting

  • Economic Damages/Lost Profits Calculations
  • Expert Testimony
  • Fraud Investigations
  • Asset Tracing

How We Can Assist with Current Maritime Accounting & Tax Issues

Revenue Recognition

Accounting rules now present a five-step analysis in determining when and how revenue is recognized. The new model will require revenue recognition to depict the transfer of promised goods or services to customers in an amount that reflects the consideration a company expects to receive in exchange for those goods and services.

How to prepare: Briggs & Veselka is working with companies to advise them on the possible implications of these new accounting regulations and to help suggest possible revisions to corporate policies, borrowing base calculations, financial coverage ratios, and contract structures. Contact Jamie Sylvester at jsylvester@bvccpa.com for more details.

 

New Lease Accounting Regulations

No longer will there be operating and capital leases. New accounting rules will now require all leases to be reflected as a company asset as well as an offsetting liability on your balance sheet. This will primarily have an impact on borrowing base calculations and lending capabilities. For companies with many lease arrangements, it may also create a staffing burden to manage the required supporting documentation.

How to prepare: Briggs & Veselka is already working with companies (and their lenders) to advise them on the possible implications of these new accounting regulations and to help prepare possible revisions to existing covenants or suggest potential modifications to future loan agreements. Contact Jamie Sylvester at jsylvester@bvccpa.com for more details

 

 

State & Local Tax

States, counties, and parishes often have complex and varying statutes about tax liabilities, which could have impact on local operations and your federal return.

How to prepare: Our maritime practice is attuned to the various taxing regimes along the Gulf Coast and can help companies plan appropriately as operations expand beyond their original nexus. Pre-planning is an effective way to assure the right tax structures to result in only the fair share of taxes being paid. Contact Jason Sanders at jsanders@bvccpa.com for more details.

Special Vessel Registration Benefits for Maritime Operations

Depending on where ships are flagged (US or foreign), regulatory benefits are triggered, including more favorable tax treatments.

How to prepare: Briggs & Veselka tax and audit professionals can advise shipping companies by providing a side-by-side comparison of operations, reporting, accounting, and tax implications of where ships are flagged, allowing management to make more informed decisions. Contact Jamie Sylvester at jsylvester@bvccpa.com for more details.

Asset Depreciation

The maritime industry has very specific depreciation schedules with direct impact on tax liabilities. Depending on the asset class (transportation barges, for example, are classified differently than offshore drilling barges), the depreciation schedules might change even under the standard method of depreciating assets known as the Modified Accelerated Cost Recovery System (MACRS).

How to prepare: Briggs & Veselka maritime professionals can complete an independent assessment of your fleet and its current tax depreciation schedules and calculate potential tax savings imbedded within your current depreciation structure. Contact Jamie Sylvester at jsylvester@bvccpa.com for more details.

Recovery from Vendors

Oftentimes actual contract delivery and performance varies from the terms of a supplier contract, causing hidden losses. Few shipping or related companies even attempt to reconcile contract non-delivery or underperformance.

How to prepare: Briggs & Veselka professionals can perform audits of actual vs. contracted performance and, depending on the terms of the contract, find cash recoveries for your company. We can proactively examine current contract structures from a performance standpoint to advise you on how to create opportunities for recovery in future contracts. Contact Adam Dimmick at adimmick@bvccpa.com for more details.

 

Client Testimonial

We rely on Briggs & Veselka for business advice. We don’t make a move to buy new equipment until we talk to them. When it’s a $4 million investment in a barge, Briggs knows the questions to ask us. They’re very candid with us, and that’s what we pay them for.

 

–Pat Studdert, President
Buffalo Marine, client since the 1980s

Jason_Sanders

Jason Sanders

Tax Department Chair, CPA 
jsanders@bvccpa.com
713-667-9147

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Jamie_Sylvester

Jamie Sylvester

Audit Shareholder, CPA
jsylvester@bvccpa.com
713-353-1931

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TERRY_SHERILL

Terry Sherrill

Business Advisory Shareholder, CPA 
tsherrill@bvccpa.com
713-353-1998

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Employee Benefits Plan Audits Overview with Meresa Morgan

Fast Facts

  • One of the few accounting firms on the Gulf Coast with a dedicated maritime practice, offering integrated audit, tax, and consulting services
  • Attuned to the unique cultural, business, and financial reporting needs of the industry
  • Provides services for many U.S. subsidiaries of foreign-owned Parent Companies
  • Active involvement in the Greater Houston Port Bureau, West Gulf Maritime Association, Propeller Club, and the East End Chamber of Commerce