AS2 proposed changes by PCAOB
Public Company Accounting Oversight Board (PCAOB) has announced an open meeting via webcast for 9:30 a.m. Tuesday, December 19, to consider proposing for public comment a new auditing standard to supersede the Board’s existing auditing standard (Auditing Standard No. 2, AS2) on internal control over financial reporting (ICoFR), and other related proposals. PCAOB will consider changes to the auditing standard on ICoFR that provide for a much more efficient, risk-based, scalable implementation. The five goals are:
- Focus the Internal Control Audit on the Most Important Matters
- Eliminate Procedures that Are Unnecessary to Achieve the Intended Benefits
- Incorporate Guidance on Efficiency
- Provide Explicit and Practical Guidance on Scaling the Audit to Fit the Size and Complexity of the Company
- A Simplified Standard
These same goals are also relevant and reasonable for quality and environmental auditors using ISO 19011.
