PCAOB Issues a Supplemental Request for Comment on its Proposal for the Reorganization of Auditing Standards
Board also releases an online demonstration version of the proposed reorganization
The Public Company Accounting Oversight Board today issued a supplemental request for comment on its proposal for the reorganization of PCAOB auditing standards. The Board also released on its website an online demonstration version that presents the existing auditing standards as they would look if reorganized according to the proposed framework.
"The proposed reorganization is intended to make PCAOB auditing standards more accessible and easier to navigate," said PCAOB Chairman James R. Doty. "This supplemental request and demonstration version provide further opportunity for the public to consider and comment on the proposed reorganization."
The supplemental request details the proposed line-by-line amendments to PCAOB auditing standards and rules that are needed to implement the proposed reorganization. In addition, the supplemental request includes certain minor changes to the original proposal issued in March 2013.
The online demonstration version includes mapping tools to help users understand the difference between the existing organizational structure of the standards and the proposed new organizational structure. It also features an email link that allows individuals to comment on any aspect of the reorganization while reviewing the demonstration version.
The framework the Board proposed in March would reorganize the existing interim and PCAOB-issued auditing standards into a topical structure with a single integrated numbering system. Among the proposed changes, all PCAOB auditing standards would be grouped into the following categories: general auditing standards, audit procedures, auditor reporting, matters relating to filings under federal securities laws, and other matters associated with audits.
"The implementing amendments do not reflect any substantive changes to PCAOB standards nor do they impose new requirements on auditors," said Martin F. Baumann, Chief Auditor and Director of Professional Standards. "Helping auditors better navigate PCAOB standards could, in turn, facilitate better compliance with the standards."
The Board has reopened the comment period for 60 days to seek further comment on the matters discussed in the March 2013 proposing release, as well as the implementing amendments in the supplemental request for comment.
All comments should refer to Rulemaking Docket Matter No. 040 in the subject or reference line and should be received by the PCAOB no later than 5 p.m. EDT on July 8, 2014. All comments will be made public.