ASB interpretations address GASB pension issues


The AICPA Auditing Standards Board (ASB) issued three auditing interpretations to help address some of the numerous accounting and auditing issues that are facing governmental cost-sharing multiple-employer pension plans and the government employers that participate in them.

The interpretations are intended to help auditors of governmental cost-sharing plans and participating employers in their audits of entities that are implementing the new pension standards created by GASB that will substantially change the accounting and financial reporting of public employee pension plans and the state and local governments that participate in such plans.

Interpretations were issued to the following sections of Statement on Auditing Standards No. 122, Statements on Auditing Standards: Clarification and Recodification, as amended:

  • Section 500, Audit Evidence.
  • Section 600, Special Considerations—Audits of Group Financial Statements (Including the Work of Component Auditors).
  • Section 805, Special Considerations—Audits of Single Financial Statements and Specific Elements, Accounts, or Items of a Financial Statement


The interpretations are available on the GASB Matters section of the AICPA Governmental Audit Quality Center website along with recent white papers issued by the AICPA State and Local Governments Expert Panel related to cost-sharing plans.

SPONSORED REPORT

Implementing a global statutory reporting maturity model

Assess your organization's capabilities and progress toward an ideal state of global statutory reporting. Sponsored by Workiva.

100th ANNIVERSARY

Black CPA Centennial, 1921–2021

With 2021 marking the 100th anniversary of the first Black licensed CPA in the United States, a yearlong campaign kicked off to recognize the nation’s Black CPAs and encourage greater progress in diversity, inclusion, and equity in the CPA profession.