PCAOB adopts rules for succeeding to registration status of predecessor firm.
Position | CHANGING GUARD |
The PCAOB has adopted rules and a corresponding form that govern when a firm would be allowed to succeed to the registration status of a predecessor firm following a merger or other change in the registered firm's legal form.
[ILLUSTRATION OMITTED]
Under SOX Sec. 102(a) and PCAOB rules, a public accounting firm must be registered with the PCAOB to prepare or issue audit reports for public companies or to play a substantial role in the preparation or furnishing of such audit reports. To become registered, a public accounting firm files an application for registration on PCAOB Form 1, which the board may approve or disapprove.
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