The AICPA Professional Ethics Executive Committee (PEEC) held a virtual open meeting on February 9th, 2021. The following are highlights of the meeting:
- PEEC approved issuance of a second Exposure Draft (ED) on "NOCLAR" (noncompliance with laws and regulations) that would apply to all members. The ED is expected to be issued later this month or in early March, and the comment period is expected to last until June 30, 2021. The expected effective date for the proposed rules would be 12/15/22. The Auditing Standards Board (ASB) plans to issue an ED concurrent with the PEEC ED that would clarify/expand the professional responsibilities of predecessor and successor auditors when NOCLAR is present.
- PEEC approved a final independence interpretation entitled, Staff Augmentation Arrangements. The new interpretation is expected to be announced in the May 2021 Journal of Accountancy and will be effective six months later (end of November 2021).
- PEEC approved final revisions to the Records Requests interpretation in the Code, which will become effective 60 days post publication in the Journal of Accountancy.
Click here to read the Agenda for this meeting.