The American Institute of CPAs’ Accounting and Review Services Committee has issued an exposure draft proposing three new and revised standards that would make significant changes in how accountants perform compilation engagements.

The exposure draft includes a revised compilation standard that would apply when an accountant is engaged to perform a compilation engagement on historical financial statements. The document also contains a new preparation standard that would apply when the accountant is engaged to prepare financial statements for a client but not engaged to perform a compilation, review or audit with respect to those financial statements.

Finally, the exposure draft contains a new association standard that would apply when the accountant agrees to permit the use of the accountant’s name in a report, document or written communication that also includes financial statements that the accountant may or may not have prepared and for which the accountant did not issue a compilation, review or audit report.

The AICPA is requesting comments on the exposure draft by May 2, 2014.

Register or login for access to this item and much more

All Accounting Today content is archived after seven days.

Community members receive:
  • All recent and archived articles
  • Conference offers and updates
  • A full menu of enewsletter options
  • Web seminars, white papers, ebooks

Don't have an account? Register for Free Unlimited Access