On Monday, the Public Firm Accounting Oversight Board (PCAOB) approved the formation of a new advisory team that will involve stakeholders outside the house of the audit job. The board unanimously permitted creating an 18-individual standards advisory team (SAG) that will involve buyers, audit committee associates or directors, financial reporting oversight personnel, and academics.
“Financial reporting oversight personnel” are “persons who have direct or oblique responsibility for the preparing of financial statements of community corporations, brokers, or sellers,” the SAG charter suggests.
“Such people today could involve a main govt officer, president, main financial officer, main accounting officer, controller, director of financial reporting, or any equivalent place.”
Amongst other issues, the SAG will suggest the PCAOB on:
- Present auditing and similar attestation standards, quality regulate standards, ethics standards, and independence standards
- Proposed standards
- Possible new or amended standards and
- Requested matters other than standards that are of importance to the