The PCAOB is a nonprofit corporation established by Congress to oversee the audits of public companies in order to protect the interests of investors and further the public interest in the preparation of informative, accurate and independent audit reports. The PCAOB also oversees the audits of broker-dealers, including compliance reports filed pursuant to federal securities laws, to promote investor protection.
PCAOB adopts rules requiring disclosure of the engagement partner and other accounting firms participating in an audit
PCAOB - 12/15/2015
The PCAOB adopted new rules to provide investors with more information about who is participating in public company audits. The new rules and accompanying amendments to auditing standards require audit firms to disclose the names of each audit engagement partner as well as the names of other audit firms that participated in each audit.
PCAOB posts reorganized auditing standards to its website
PCAOB - 11/11/2015
The PCAOB announced that it has posted its reorganized auditing standards and interpretations to its website. On March 31, 2015, the PCAOB adopted amendments that reorganize its auditing standards and interpretations. The amendments were approved by the SEC on September 17, 2015 and are effective as of December 31, 2016. Auditors may begin to use and reference the reorganized PCAOB auditing standards and interpretations prior to December 31, 2016.
PCAOB releases inspection report on risk assessment auditing standards
PCAOB - 10/15/2015
The PCAOB released an inspection report on deficiencies in registered audit firms' implementation of and compliance with certain auditing standards related to the auditor's assessment of and response to risk in an audit as observed during 2012-2014 inspections. Auditing Standards No. 8 through No. 15 — together, the risk assessment standards — were adopted in 2010 and are designed to address the auditor's assessment of and response to risk of material misstatements and the auditor's evaluation of the results of procedures performed in an audit. The report discusses findings under the eight standards for inspections conducted in 2012, 2013, and 2014. It also explores the potential root causes of noncompliance with the risk assessment standards and potential remedial actions firms can take to remain in compliance with the auditing standards.
PCAOB Staff Inspection Brief details objectives and scope of 2015 inspections of registered auditors
PCAOB - 10/1/2015
The PCAOB published a staff inspection brief that highlights the objectives, focus, and scope of its ongoing inspections in 2015 of auditors registered with the PCAOB. This year, Inspections staff is taking a close look at three general areas across firms: (1) auditing internal control over financial reporting, (2) assessing and responding to risks of material misstatement, and (3) auditing accounting estimates, including fair value measurements. These are among the most common areas where inspectors found significant deficiencies in the past several years.
PCAOB updates standard-setting agenda
PCAOB - 10/1/2015
The PCAOB issued an updated standard-setting agenda, which provides an overview of the board's current standard-setting agenda and outlines key milestones on various standard-setting projects.
PCAOB publishes first staff inspection brief on broker-dealer inspection program for 2015
PCAOB - 09/1/2015
The PCAOB published a staff inspection brief that details the objectives, focus, and scope of its ongoing inspections in 2015 of auditors of brokers and dealers, the first full year of these inspections in which all of the audits inspected were governed by PCAOB standards. It is the first edition in a series of staff inspection briefs that will provide additional detail about the PCAOB inspection process, from scope documents to results and summaries of inspection findings.
PwC comments on PCAOB's Audit Quality Indicators concept release
PCAOB - 09/29/15
PwC supports a market-based approach to the communication of audit quality indicators.
PwC comments on the PCAOB's identification of partner and others on new form
PCAOB - 8/31/2015
PwC is supportive of the proposal in the Supplemental Request to disclose the name of the engagement partner and information about certain other audit participants in a newly created PCAOB form (Form AP), rather than the auditor's report.
PwC comments on the PCAOB's use of specialists paper
PCAOB - 8/4/2015
PwC is supportive of the project but offers recommendations to address what we see as potential practical challenges.
All PCAOB rules adopted by the Board and approved by the Securities and Exchange Commission. For the full list of PCAOB bylaws and rules, please visit the PCAOB website.
Improving Transparency Through Disclosure of Engagement Partner and Certain Other Participants in Audits
PCAOB - 12/15/2015
The PCAOB has adopted new rules and related amendments to its auditing standards that will improve transparency regarding the engagement partner and other accounting firms that took part in the audit. The rules will require disclosure of the name of the engagement partner and information about other accounting firms on new PCAOB Form AP, Auditor Reporting of Certain Audit Participants ("Form AP").
Reorganization of PCAOB Auditing Standards and Related Amendments to PCAOB Auditing Standards and Rules
PCAOB - 03/31/2015
The PCAOB has adopted amendments to its rules and standards to implement a topical system that integrates the existing interim and PCAOB-issued auditing standards. Under the reorganization, the individual standards will be grouped into the following topical categories: (1) General Auditing Standards, (2) Audit Procedures, (3) Auditor Reporting, (4) Matters Relating to Filings Under Federal Securities Laws, and (5) Other Matters Associated with Audits.
For the full list of PCAOB dockets open for public comment, please visit the PCAOB website.
Supplemental Request for Comment: Rules to Require Disclosure of Certain Audit Participants on New PCAOB Form
PCAOB - 06/30/2015
The PCAOB is issuing this supplemental request for comment on its 2013 reproposal to require auditors to disclose in the auditor's report the name of the engagement partner and information about certain other participants in the audit. The Board is considering an alternative to disclosure of this information in the auditor's report, whereby the information would be required to be disclosed on a new PCAOB form. This supplemental request for comment seeks commenters' views on disclosure on a new PCAOB form.
For a listing of all speeches visit the PCAOB website.
Remarks by Jeanette Franzel at the American Accounting Association Annual Meeting
PCAOB - 08/08/2015
PCAOB Board Member Jeanette Franzel shared her views on what the PCAOB is seeing in its inspections of internal control over financial reporting (ICFR) and what the data show about ICFR audit opinions. In addition, she discussed the possible effect of ICFR audits and inspections on audit fees and highlighted potential areas for research and inquiry in these areas.
Remarks by James Doty at the 2015 FEE Audit Conference
PCAOB - 06/22/2015
In his remarks at the 2015 FEE Audit Conference in Belgium, PCAOB Chairman James Doty discussed the role of regulators and the PCAOB in ensuring that the audit remains critical to robust capital formation and economic growth. Mr. Doty indicated that the PCAOB plans to seek public comment on a new form that an auditor would file with the PCAOB identifying the engagement partner for a particular audit. In addition, Mr. Doty mentioned that the board plans to consider issuing a concept release on a set of audit quality measures that could be tracked by firms, audit committees or markets.