Sandra A. Abalos began part-time work with David F. Schwarz, CPA in 1978 as an accounting student at Arizona State University. Upon Sandra’s graduation in 1979, David offered her a full-time job with the expectation that they would one day become partners. On Jan. 1, 1981, Sandra became a partner in the firm and the name was changed to Schwarz & Abalos, P.C. In 1987, David Schwarz retired from the practice of public accounting and Sandra became the sole owner of Abalos & Associates, P.C.

After watching the 1986 Tax Reform Act bring devastating consequences to our economy, our country and many of her small business clients, Sandra became interested in public policy. The Tax Reform Act stripped away tax incentives responsible for inflated real-estate values and explosive, even irresponsible, real estate development in the late 1970s and early 1980s. Limited partners defaulted on their capital contributions, general partners turned the properties back to the lending institutions, real property values plummeted, and the savings and loans institutions went under. However, in the midst of all of this, hundreds of innocent small businesses also went under. Many business owners lost not only their means of work, but also their entire life savings--all due to the unintended consequences of tax legislation.

Sandra felt that this was wrong. She realized that Congress did not have a grasp of how tax legislation impacts the small business community. So she became involved in the 1995 White House Conference on Small Business (WHCSB), campaigning on the platform of Holding Washington Accountable. As the Arizona Tax Chair, she kept her campaign promise. Sandra drafted and co-sponsored the number one issue recommendation to come out the conference:  the need for a clear definition and clarification of independent contractor status for small business.

Because of the WHCSB, small business owners now have a voice in Washington. Some of the results of the WHCSB include:

• 100 percent health insurance deduction for the self-employed
• An increase in depreciation expensing to $100,000
• The elimination of the alternative minimum tax for small businesses
• The restoration of the home office deduction

Sandra became nationally acknowledged for her work in the areas of taxation, independent contractor status and estate taxes. She was credited with playing an instrumental part in the passage of the Small Business Tax Bill, known as the Small Business Jobs Protection Act of 1996.

In 1997, Sandra received a Small Business Administration (SBA) loan, which assisted her in purchasing her office building. Since that time, the firm’s sales have grown over 275 percent and staff has more than doubled.  

Sandra was selected as the 2003 Small-Business Person of the Year by the Arizona office of the U. S. Small Business Administration (SBA), chosen because of her dedication to small business concerns and her efforts to educate lawmakers about those issues.

Barry Friefield, CPA was named tax partner of the firm in 2006. Barry leads efforts in providing tax and business planning as well as technology planning for clients, including preparation and review of individual and business tax returns. The following year, Cheryl Folkerth, CPA, who had joined Abalos & Associates, PLLC in 1993, was also named a partner in the firm. Cheryl manages major client engagements and has developed the firm’s knowledge management system and its conversion to a near paperless office, which has enabled staff to work from remote locations and provide expanded services to clients.

Wanting to expand its services and reach, Abalos & Associates, PLLC launched its east coast office in Charlotte, N.C. during the summer of 2008.  Located at 2923 S. Tryon St, Ste. 220, the Abalos Charlotte office is headed by Breonna Paulsen, who serves as N.C. tax manager for the firm. Breonna relocated to Charlotte in a pivotal career move and has expertly handled the firm’s business development strategy in North Carolina. As a testament to her contributions to the area, Breonna was recently named to the N.C. Association of Certified Public Accountants Young CPA Cabinet.