Get up to speed on the latest AICPA code revisions with Alex Romero as she breaks down what’s changed, why it matters, and what you need to know about aligning your quality management framework. This episode makes it clear—these updates streamline language, not practice, so you can focus on what counts.
In this video, we cover:
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The key reasons behind the AICPA’s latest code updates
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How terminology is shifting from “quality control” to “quality management”
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What practical changes (or lack thereof) you can expect in your day-to-day work
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The impact on definitions and language for independence, safeguards, and network firms
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The effective date for these updates and how to stay compliant
Welcome to this week’s Genuine Learning blog, where we’re diving into a particularly timely topic for CPAs: recent revisions to the AICPA Code of Professional Conduct regarding quality management and ethics. With the profession always evolving, it’s essential not just to stay compliant, but to truly understand what these changes mean for your daily work.
Why Was the Code Updated?
The driving force behind these updates was to align terminology within the AICPA Code with the emerging standards around “quality management” instead of the older “system of quality control.” As Alex Romero explained, the Professional Ethical Executive Committee (PEEC) identified the need for conforming language during their August 2025 meeting, and the revisions were issued in September 2025.
So, what’s really changing here? The good news: the practice requirements themselves remain untouched. The objective is modernizing terminology and harmonizing the standards across all guidance and documentation. If you’ve already started implementing your system of quality management, you won’t need to alter your operational processes—just update your vocabulary.
What Are the Main Changes?
Practically, almost every edit in the revised code is about swapping out “quality control” (QC) for “quality management” (QM). This means definitions and references across the code are now consistent and aligned with the new framework. For example, locations in the code that used to reference QC now speak to QM, making the overall system less fragmented and more intuitive.
There are also updates to key definitions—for instance, clarifying what it means to be an “individual in a position of influence,” and revising terminology in areas related to network firms, control activities, and partner equivalents to harmonize with the quality management approach.
Importantly, the safeguard language has been revised, especially within the conceptual framework for members in public practice. From now on, guidance will point to the system of quality management, not quality control. The same goes for independence considerations—firms must comply with SQMS No. 1 (System of Quality Management Standard No. 1).
Key Takeaways for Firms and Professionals
Here’s the bottom line: these changes are all about terminology. There are no new responsibilities or additional work required—just making sure every reference across your guidance, Q&A documents, and non-authoritative literature uses “quality management.” This unified language supports convergence between AICPA and IESBA ethics guidance and eliminates confusion over legacy terms.
For most, this alignment should make compliance more straightforward, eliminating inconsistencies and helping everyone be on the same page as quality management standards become the norm.
Effective Date & Next Steps
These terminology changes become effective December 15, 2025—the same deadline as the requirement to have your system of quality management in place and fully operational. It’s a tight timeline, so be sure to make these updates now to stay ahead of the curve.
