The American Institute of Certified Public Accountants (AICPA) requires that members engaged in the practice of public accounting be affiliated with a firm that is actively enrolled in an approved Peer Review Program, if they are performing services within the scope of the peer review standards and issuing reports in accordance with AICPA professional standards.
The AICPA requires that a Peer Review take place every three years. The type of review required depends on the type of engagements performed during the Peer Review year.
What is a Peer Review?
A Peer Review provides an independent review of your firm’s system of quality control over its accounting and auditing practice. Participation in the AICPA Peer Review Program provides your firm with valuable insight that can be used to enhance quality control policies and procedures. It also allows you to see exactly how your firm stacks up in comparison to other firms.
Choosing a Qualified Peer Reviewer
It’s important to select a Peer Reviewer with relevant experience in both the types of engagements and industries that your firm serves. This helps ensure your firm gains the greatest benefit from your Peer Review and that the Peer Reviewer is qualified to review engagements performed by your firm.
Burdette Smith & Bish has experience performing both system reviews and engagement reviews. We also offer pre-issuance and post-issuance review services for financial reporting engagements either outside of Peer Review or in response to corrective actions required. Our Peer Review services are available for participating firms in and around the Washington DC Metropolitan Area.
A System Review provides an independent review of your firm’s system of quality control over its accounting and auditing practice. During a System Review, the Peer Reviewer determines whether or not the firm’s system is properly designed to ensure conformity with professional standards and if the firm is complying with their system appropriately. A System Review is required when the firm performs audit or examination engagements.
An Engagement Review is a type of Peer Review in which a Peer Reviewer performs a study and appraisal of the firm’s actual accounting work, but does not look at the system of quality control overall. This process includes reviewing reports issued, documentation prepared, and relevant procedures performed by the firm on a cross-section of the firm’s engagements. An Engagement Review is appropriate for firms where the highest level of service provided by the firm is a review.
AICPA Peer Review
Our team is well prepared to provide an unbiased Peer Review of your firm’s practices and to provide advice on best practices. Our Peer Review services are designed to put you in the best possible position for success.
Although Peer Review is mandatory for AICPA member firms, its value can far exceed the statutory requirement. A Peer Review performed by a qualified firm can provide you with the information needed to improve efficiency, quality control, and your firm’s overall quality of work.
Our team learns something new each time we perform a Peer Review. We are pleased to pass this insight on as part of our service.
Northern Virginia Professional Accountants
Burdette Smith & Bish employs a team of over forty professional accountants. Our team specializes in all areas of tax, financial accounting, and assurance. Our services are available to individuals, businesses, estates, trusts, and not-for-profits in all states throughout the United States, as well as U.S. citizens living abroad.
Please contact us for more information about AICPA Peer Review in Northern Virginia.