Peer Review Services
Salmon Sims Thomas welcomes the opportunity to perform peer review services for your CPA firm.Edward E. Gray, CPA, partner, heads our Peer Review Practice. He has over 40 years’ professional practice experience and has performed over 500 peer reviews of other CPA firms ranging in size from sole practitioners to multi-office regional firms.
What is Peer Review?
Peer Review is the validation from an unrelated accounting firm that testifies to your quality control and integrity. The need and benefit of a system of quality control in a CPA firm is widely recognized and emphasized by our profession, and is required for membership in the American Institute of Certified Public Accountants (AICPA). For licensing, peer review has become accepted as a measure of quality of a CPA firm’s accounting and auditing practice.
For many years, Salmon Sims Thomas has been successfully peer reviewed by other independent CPA firms. We also offer our experience and expertise in performing peer reviews of other CPA firms.
Two Types of Peer Reviews
A System Review is an evaluation of the design of a CPA firm’s system of quality control over its attestation practice (audit, reviews, compilations, agreed-upon procedures) and testing of compliance with such system. Firms that perform engagements under the Statements on Auditing Standards (SASs), Government Auditing Standards (“Yellow Book”), or examinations under Statements of Standards for Attestation Engagements (SSAEs) must undergo a System Review. Such reviews are generally performed onsite at the reviewed firm’s offices, and include testing of all six elements of the AICPA Statement of Quality Control Standards (SQCS).
Firms performing accounting services that do not include the above types of engagements may elect to undergo an Engagement Review. Such a review evaluates a limited sample of a firm’s end work product: compiled or reviewed financial statements, the firm’s report thereon, and any documentation required by AICPA professional standards. Due to this limited scope, the reviewer does not comment on the firm’s design of and conformity to quality control standards, but does report on the conformity of the sampled engagements to applicable professional standards and accounting principles.
Our Peer Review Services
The selection of your Peer Reviewer is critical to receiving the full benefit of your quality measurement. Ideally, you want to match your Peer Reviewer’s experience to your firm’s practice areas for maximum efficiency and insight. Our goal is to provide our peer review clients with an efficient and cost-effective Peer Review that enhances the reviewed firm’s quality control and overall accounting and audit practice success.