AICPA Issues New Interpretations of Attestation Standards
The American Institute of Certified Public Accountants (“AICPA”) recently issued new interpretations for the following attestation standards: AT-C section 105, “Concepts Common to All Attestation Engagements” Interpretation No. 1, “Responding to Requests for Reports on Matters Relating to Solvency” Interpretation No. 2, “Applicability of Attestation Standards to Litigation Services” Interpretation No. 3, “Providing Access to or Copies of Engagement Documentation to a Regulator” The new interpretations of AT-C section 105 offer guidance to practitioners with respect to providing assurance and expert testimony on matters related to solvency. Additionally, the guidance discusses how a practitioner should respond to a regulator’s request. Read More.
DoD Inspector General Issues Two Reports on DCAA Quality Control
On August 27, 2014, the Defense Contract Audit Agency (“DCAA”) issued Memorandum for Regional Directors (MRD) 14-PAS-014(R) , captioned ”Audit Guidance on Removal of Modified GAGAS Statement in Audit Reports”. As background for this MRD, Generally Accepted Government Auditing Standards (GAGAS) require audit organizations to obtain an external peer review at least once every three years. For DCAA, the external reviews are performed by the Department of Defense’s (“DoD”) Inspector General. In August 2009, the Inspector General revoked its previous approval of DCAA’s quality control program. As a consequence, since August 2009, DCAA has been unable to state that it performed its audits in accordance with. Read More.