Proposed Changes to Yellow Book
GAO has issued a proposed update to GAGAS. The main changes include, similar to the AICPA, a movement to quality management and a more risk based approach to quality and quality reviews. They also provide application guidance around key audit matters. Comments are due by April 28, 2023.
2024 CPA Exam Blueprints
The AICPA has issued the final blueprints for the new CPA exam which will launch in 2024. Based on the comments received in the exposure draft phase, the AICPA made updates and tweaks to the proposal and has issued the final blueprints.
New Ethics Interpretation: Compliance Audits
The AICPA’s Professional Ethics Executive Committee (PEEC) has issued a new ethics interpretation around Compliance Audits. The interpretation adds two new definitions and revises a third definition. In addition, several Q&As were added to provide context for the application of the independence rules for these engagements.
FAF Strategic Plan
The FAF has released its strategic plan which includes the mission, vision and values of the FAF which is the parent entity to the FASB and GASB. The plan lists out the goals that FAF has set for itself.
2022 in Review
We kick off 2023 with a look at the final standards that were issued by the FASB, GASB and AICPA throughout 2022. We’ll give an executive overview of what was issued and how it may impact financial reporting, auditing and ethics.
Proposed Changes to Peer Review Standards
The AICPA has issued proposed changes to the peer review standards. The proposal is filled with several technical corrections and wording changes with the intent to improve clarity of existing standards. Comments are due January 31, 2023.
GASB Proposal – Implementation Guide 2023
GASB has issued 9 questions for public comment that relate to leases, SBITA and accounting changes. The implementation guidance which would be issued in 2023 would be authoritative interpretations of the related standards. Comments are due January 20, 2023.
Proposed Changes to Lease Accounting (Topic 842)
FASB has proposed changes to Topic 842, Leases for related parties under common control. The proposal would change the evaluation of the lease term for private entities under common control to allow the use of what was in writing. The proposal would also change the amortization of leasehold improvements for all common control entities including public entities. Comments are due January 16, 2023.
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