The AICPA's Professional Ethics Executive Committee recently issued an exposure draft proposing revisions to independence rules concerning private equity investments.
According to a news release, although independence guidelines have addressed alternative practice structures (APSs) for decades, the increased prevalence of private-equity investment in the profession calls for updated interpretations.
The exposure draft identifies relationships and circumstances that could impair independence, addresses factors for evaluating threats and suggests potential safeguards where appropriate.
“These changes aim to uphold the integrity of the profession while offering practical guidance for firms operating in alternative organizational structures,” states the exposure draft.
The exposure draft is scheduled to be published on Monday, Dec. 29, and will be open for public comment until Thursday, April 30. Read more.