AICPA Tweaks Peer Review Standards

The American Institute of CPAs have revised/updated the standards for performing and reporting on peer reviews. The standards will become effective on New Year's Day 2009 and will go to more principles-based standards and a shorter peer review report. Peer reviews will have two categories: system reviews (quality control for the CPA firm) and engagement review (evaluation of workpaper quality on selected engagements) and participating CPA firms must be reviewed at least every three years.

It is probably a good idea to update standards such as this periodically. One hope that the shorter reports will improve readability and breadth of readership without reducing the quality of the peer review report.