The AICPA Accounting and Review Services Committee (ARSC) completed the clarity redrafting of its last pre-clarity compilation and review standard (AR section) in AICPA Professional Standards on Friday with the issuance of a new Statement on Standards for Accounting and Review Services (SSARS).
Newly issued SSARS No. 22, Compilation of Pro Forma Financial Information, clarifies and supersedes SSARS No. 14 of the same title, as amended (AICPA, Professional Standards, AR Section 120), and takes effect for compilation reports on pro forma financial information dated on or after May 1, 2017.
ARSC undertook the clarity project to make the standards easier to read, understand, and apply, as well as to make the conventions used in the AR sections more consistent with the conventions of the AICPA Auditing Standards Board’s clarified standards.
SSARS No. 21, Statements on Standards for Accounting and Review Services: Clarification and Recodification, which was issued in October 2014, represented the bulk of ARSC’s clarity project and superseded all outstanding SSARSs through No. 20, except SSARS No. 14, as amended.
—Ken Tysiac (email@example.com) is a JofA editorial director.