PCAOB gets budget increase of nearly 3%

The SEC approves the funding plan in a 2—1 split.

The PCAOB's budget for 2016 will climb 2.7%, to $257.7 million, with the SEC's approval.

The budget largely will be funded with an accounting support fee totaling $253.3 million. Public companies will be assessed $220.9 million and broker-dealers $32.4 million to reach that total.

The accounting support fee will be 12% higher than in 2015, in part because there is less unused funding from 2015 to carry over into 2016 than there was the previous year.

On a three-member SEC panel, Chair Mary Jo White and Kara Stein supported the budget.

Commissioner Michael Piwowar voted against the budget, arguing it was too high. Two SEC seats were unfilled at the time of the vote.

PCAOB Chairman James Doty said the board's plans include:

  • Improving audits through projects on the auditor's reporting model and the auditor's role in validating fair value measurements.
  • Studying the implication of the growth of consulting practices on auditor independence and audit quality.
  • Continuing to monitor the increasing use of audit quality indicators by audit committees and others, testing the indicators that appear to be most promising.

SPONSORED REPORT

How to make the most of a negotiation

Negotiators are made, not born. In this sponsored report, we cover strategies and tactics to help you head into 2017 ready to take on business deals, salary discussions and more.

VIDEO

Will the Affordable Care Act be repealed?

The results of the 2016 presidential election are likely to have a big impact on federal tax policy in the coming years. Eddie Adkins, CPA, a partner in the Washington National Tax Office at Grant Thornton, discusses what parts of the ACA might survive the repeal of most of the law.

QUIZ

News quiz: Scam email plagues tax professionals—again

Even as the IRS reported on success in reducing tax return identity theft in the 2016 season, the Service also warned tax professionals about yet another email phishing scam. See how much you know about recent news with this short quiz.