AICPA Releases Guidance on Financial Statement Reviews

The American Institute of CPAs’ Accounting and Review Services Committee has issued an interpretation on reviews of financial statements.

Accounting and Review Services Interpretation No. 1 to AR-C section 90, Review of Financial Statements (AICPA, Professional Standards), states that although AR-C section 90 requires that the written review report include a statement that the accountant’s responsibility is to conduct the review engagement in accordance with the AICPA’s Statements on Standards for Accounting and Review Services, a practitioner can also indicate that the review was conducted in accordance with another set of review standards—such as International Standard on Review Engagements 2400 (Revised), Engagements to Review Historical Financial Statements—provided that the review was conducted in accordance with both sets of standards in their entirety. The interpretation also provides an illustrative report.

The AICPA plans to present a special webcast on Statements on Standards for Accounting and Review Services, “SSARS 21 in the First Year of Implementation,” on Thursday, February 25 from 2:00 to 4:00 p.m. Eastern Time.

Presenters will include immediate past Accounting and Review Services Committee chair Mike Brand and Mike Glynn, the AICPA’s staff liaison to the ARSC. The webcast will be replayed at the same time on March 15, March 30, April 21 and May 11.