THOMAS D. PRATT CPA, ABV, CFF, CVA

Tom has more than 35 years of experience in public accounting and business consulting providing forensic accounting, litigation support, business valuation and financial reorganization services to a diverse client base. His clients have ranged from large publicly-traded companies to middle market and small, closely-held businesses. His clients also have included numerous governmental entities and not-for-profit organizations. Tom works with clients from a wide variety of industries including construction, manufacturing, retail, energy, professional services, healthcare, technology and financial services.

Tom has led hundreds of consulting engagements during his career, including internal investigations of allegations of fraud and misconduct, analysis of Ponzi and other fraud schemes, business and fraud risk evaluation, shareholder and partner disputes, commercial damages, economic losses and business interruption claims. He has also performed business and intellectual property valuations for litigation, financial reporting and other purposes such as estate, gift tax and ESOPs.

Tom has extensive experience in the presentation of complex financial and accounting analyses to business executives, boards of directors and government officials. He has testified as an expert in both federal and state courts and arbitration proceedings on accounting and valuation matters, and has served as a neutral mediator in financial disputes.

Education

B.A. – Accounting, Westminster College

Professional and Community Involvement

Member – American and Pennsylvania Institutes of Certified Public Accountants

Board Member – Presbyterian SeniorCare, Chair of Budget and Finance Committee, Member of Executive Committee

Member – National Association of Certified Valuation Analysts

Member – Licensing Executives Society

Member – FBI Citizens Academy Alumni Association, Class of 2017-XVIII

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Do you have a hobby or personal passion?
I play the bass in the band at my church every Sunday.

What was the best advice you’ve ever received?
My Dad encouraged me to study accounting when I wanted to switch majors in college. He said that if I understood accounting, I would be prepared for anything because accounting is the foundation of all business.

Who was your role model?
My father-in-law, Dean English. He set an excellent example for setting priorities and balance among Church, Family and Business.

What was your childhood dream?
My childhood dream was to play shortstop for the Pittsburgh Pirates – whose wasn’t?

People would be surprised to know that I…….
…was originally a music major until I switched to accounting.

Do you have a “motto?”
Whatever you do, work at it with all your heart, as working for the Lord, not for men – Colossians 3:23

Our Thoughts On

FEATURED

Big Problem: Pandemic-fueled Tax Liabilities For Dealerships


Big Thinking: Change Accounting Methods To Achieve $600,000 In Deferred Tax Savings.

Shareholder STEVE BARBER has been with Schneider Downs since 2003 and has over 20 years of experience in all areas of tax advisory services including tax planning, research and compliance, accounting, acquiring, selling and operational and financial reporting matters for closely held businesses. Steve serves clients in several diversified industries, including automobile, construction, real estate and manufacturing. As leader of the Automotive Services Group, Steve learned from most, if not all clients that they were struggling with COVID-19’s impact on their ability to maintain an inventory of new vehicles. For dealers using the last-in, first-out (LIFO) method of inventory accounting, when inventories dip, normally the LIFO reserve is recaptured, and more federal income taxes are due. Therefore, because of the pandemic-fueled shortage, many of Steve’s clients were faced with potential significant tax liabilities. Steve and his team took a two-pronged approach to helping their clients avoid the LIFO reserve recapture. “We suggested a different accounting method to calculate LIFO reserve to avoid the recognition of income prematurely,” he said. In addition, the group devised a way to bolster their clients’ inventory calculations. “We combine the dealer’s used vehicles and parts with their new vehicles to create a larger pool of inventory and to capitalize on the very large used vehicle inflation,” said Steve. This made the LIFO reserve recapture not as drastic and, in some cases, increased the reserve. Working with Steve, one client experienced a 25% increase to their LIFO reserve, rather than what would have been a 60% drop caused by the pandemic. Implementing Steve’s team’s suggestions, the dealer changed their income by approximately $2 million and achieved over $600,000 in deferred tax savings. Schneider Downs provides Big Thinking and Personal Focus in delivering a variety of services for large and small businesses, both publicly and privately held, as well as nonprofit organizations, government entities and more. Through our commitment to thought leadership and knowledge management, we deliver the solutions our clients need with a personal commitment to service.

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