PEEC Conforming Amendments
The AICPA’s Professional Ethics Executive Committee (PEEC) has proposed changes to a few interpretations to align the verbiage around ownership with previously issued interpretations related to loans. The proposed changes address three sections of the ethics code. Comments are due July 5.
Ethics Interpretation Proposal: Compliance Audits
The AICPA’s Professional Ethics Executive Committee (PEEC) has proposed some new independence rules related to compliance audits. The AICPA is aware that much of the new COVID-19 related funding is causing many entities who have no been subject to audit requirements or single audit requirements historically to now be subject to them. They add 2 definitions and revise the definition of financial statement attest client to help identify which independence rules apply to these engagements. Comments are due September 1, 2022.
FASB ITC: Government Assistance for Business Entities
The FASB has issued an Invitation to Comment to gather feedback about the operability of leveraging IAS 20 for government grants for for-profit entities in the US. The ITC does not include any preliminary views but is to help the FASB staff gather information from stakeholders about any benefits or issues that should be considered in the project. Comments are due September 12, 2022.
Engage 2022
The GLS team had a great time this week in Las Vegas for the ENGAGE conference. The team was able to interact with clients and colleagues both at the exhibit booth and at various evening functions. We also had a wonderful client reception on Monday, which included the cover reveal of Melisa’s new book Money Matters for Nonprofits. This book demystifies financial statements and basic accounting, empowering nonprofit board members and other stakeholders to better advise their organizations and make an even greater difference in the world. At ENGAGE, Melisa enjoyed presenting on Nonprofit Hot Topics and attending some CPE for a change. But all good things come to an end. The team is heading home with ideas to build on this momentum.
AICPA Issues TQA on OI
The AICPA issued a TQA in May addressing reporting and dating issues related to Other Information (OI) received after the date of the auditor’s report. SAS 137 added some additional performance and reporting requirements. The TQA clarifies some common questions the AICPA was receiving with regard to these changes.
FAF Issues Draft Strategic Plan
The FAF has issued a draft strategic plan for the FASB, GASB and FAF for public comment. The draft reviews the vision, mission and values of the FAF and also 6 key goals that they hope to achieve. Comments are due July 22, 2022.
GAO 2022-2027 Strategic Plan
GAO has issued its 2022-2027 Strategic Plan. It includes the identification of 12 trends impacting the United States as well as 4 key efforts which are near-term priorities to provide the Congress with timely and fact-based analysis of the most important issues facing the nation.
OMB Issues 2022 Compliance Supplement
OMB has issued its 2022 Compliance Supplement. While originally promised in April of 2022, OMB issued it on May 12 which is much better than the previous years that were issued in August. The Compliance Supplement includes new ARPA programs that were not addressed in the 2021 Supplement so this can be very helpful to auditors wrapping up some outstanding 2021 audits. The Supplement should be used for 6/30/22 year ends and beyond.
Disclaimer: The information contained within this blog is provided for informational purposes only. Viewing this material does not qualify for CPE credit. Additionally, this general knowledge is not intended to substitute for obtaining accounting, legal, or financial advice from a professional accountant with specific knowledge of your organization. Finally, watching this blog and/or subscribing to the newsletter do not create an accountant-client relationship.
