Breach of Independence Interpretation Proposal Released
Earlier this week, the American Institute of Certified Public Accountants’ Professional Ethics Executive Committee (“PEEC”) issued an exposure draft for Interpretation No. 101-20, “Breach of an Independence Interpretation” and a revised version of ET Section 91, “Applicability.” Open for public comments, the proposed guidance will assist auditors in reviewing and addressing the effects of breaching an independence interpretation. Per the proposal, the PEEC believes that public interest is not considered when a firm is required to withdraw from an attest engagement caused by an independence interpretation breach if the impact is such that the attest engagement team’s integrity, objectivity, and. Read More.
AICPA Names Top Developments for Nonprofit CPAs
With nonprofit Certified Public Accountants still facing challenges stemming from the 2008 financial crisis, the American Institute of Certified Public Accountants (“AICPA”) has pinpointed significant developments that reflect such obstacles. At its Not-for-Profit Industry Conference last Thursday, the AICPA noted the following current happenings: The Financial Accounting Standards Board’s proposal that enhances financial reporting disclosures will be issued as an exposure draft later this year. Consistent organization policies on gifts and ethics must be implemented. Younger nonprofit donors need more details on where their contributions are being spent. To offer performance information, several nonprofits are testing quarterly earnings calls. The. Read More.
AICPA Issues Updated Code of Professional Conduct
Modified as part of its Professional Ethics Executive Committee’s (“PEEC”) codification project and for easier usage, the American Institute of Certified Public Accountants (“AICPA”) has issued a revision of its Code of Professional Conduct . Released on May 20th, the updated code is split into three sections that separately apply to public accountants, business accountants, and all other accountants, including those who are retired or unemployed. The AICPA recommends accountants with multiple roles to check all applicable parts of the code and utilize the most restrictive requirements. Approved by the PEEC earlier this year, the updated Code of Professional Conduct takes effect December 15th.. Read More.
AICPA Committee to Release Standards Later This Year
At its three-day meeting in Baltimore, Maryland, last month, the American Institute of Certified Public Accountants’ (“AICPA”) Accounting and Review Services Committee (“ARSC”) voted to finalize its proposed Statement on Standards for Accounting and Review Services (SSARS) Review of Financial Statements. Expected to be released later this year, the standard will be released as soon as the ARSC finishes other parts of its Clarity Project. Also at the meeting, the ARSC reviewed comment letters submitted regarding the proposed SSARS Preparation of Financial Statements; Compilation Engagements, and Association with Financial Statements. As a result, the ARSC removed proposed requirements in regards. Read More.
Topics: Accounting and Review Services Committee "ARSC", American Institute of Certified Public Accountants "AICPA", Framework, Statement of Standards for Accounting and Review Services "SSARS"' Clarity Project
Accounting Profession Faces Challenging Future
Speaking at the American Institute of Certified Public Accountants’ (“AICPA”) spring Council meeting last week, AICPA Senior Vice President of Strategy, People & Innovation’s Lawson Carmichael stated that the accounting field, CPAs and businesses they serve will have to adapt to various challenges in the coming years. As part of his remarks, Carmichael shared how the profession will be impacted, and asked Council members to offer insight on the risks and opportunities that could be presented. Trends identified that could affect accounting services include firms focusing more on growth and talent management than cost-cutting, recruiting and retaining talent, globalization, emerging. Read More.
AICPA and NASBA Release New UAA Edition and Model Rules
The Seventh Edition of the Uniform Accountancy Act (“UAA”) and the UAA’s Model Rules were recently issued by the American Institute of Certified Public Accountants (“AICPA”) and National Association of State Boards of Accountancy (“NASBA”). Created by both organizations, the UAA helps deliver an identical approach to the regulation of accounting. Certified Public Accountants (“CPA”) must follow accountancy laws in licensing jurisdictions that oversee the practice of public accounting. The UAA’s Seventh Edition includes: An extended definition of “attest” in UAA Section 3, Definitions. The updated attest meaning states, “any examination, review, or agreed upon procedures engagement to be performed. Read More.
Topics: American Institute of Certified Public Accountants "AICPA", Certified Public Accountants "CPA", Model Rules, National Association of State Boards of Accountancy "NASBA", Statement on Standards for Attestation Engagements "SSAE", Unifform Accountancy Act "UAA", USS Model Rules