The American Institute of Certified Public Accountants (AICPA) recently issued two related exposure drafts proposing updates to the U.S. attestation standards with a focus on sustainability assurance engagements:
- Exposure Draft, Proposed Statement on Standards for Attestation Engagements Common Concepts, Examination Engagements, Review Engagements, and Engagements to Report on Sustainability Information
- Exposure Draft, Proposed Statement on Standards for Attestation Engagements Amendments to SSAE Nos. 18–19 and 21 to Reflect Proposed SSAE Common Concepts, Examination Engagements, Review Engagements, and Engagements to Report on Sustainability Information
The proposed Statements on Standards for Attestation Engagements (SSAE) add two new subject-matter-specific sections to the attestation standards for attestation engagements on sustainability information and significantly revise the extant sections of the attestation standards. The AICPA is requesting comments from stakeholders about these proposed standards.
Proposed SSAE Common Concepts, Examination Engagements, Review Engagements, and Engagements to Report on Sustainability Information
This exposure draft would be a significant revision of the attestation standards. It would introduce two new subject-matter-specific sections for attestation engagements on sustainability information:
- Proposed AT-C section 325, Reporting on an Examination of Sustainability Information
- Proposed AT-C section 330, Reporting on a Review of Sustainability Information
The exposure draft would also significantly update the level-of-service (i.e., the “baseline”) attestation sections:
- AT-C section 105, Concepts Common to All Engagements
- AT-C section 205, Assertion-Based Examination Engagements
- AT-C section 210, Review Engagements
These new subject-matter-specific sections and the revisions to the baseline sections reflect the growing importance of sustainability information and attestation engagements on subject matters other than audits or reviews of financial statements and generally aligns U.S. attestation standards with International Standard on Sustainability Assurance 5000, General Requirements for Sustainability Assurance Engagements issued by the International Auditing and Assurance Standards Board in November 2024.
If approved as a final standard, the proposed SSAE would become effective for engagements beginning on or after June 15, 2029, with early implementation permitted.
Comments on the proposed SSAE are due by June 30, 2026.
Proposed SSAE Amendments to SSAE Nos. 18–19 and 21 to Reflect Proposed SSAE Common Concepts, Examination Engagements, Review Engagements, and Engagements to Report on Sustainability Information
This exposure draft is a companion document that provides conforming amendments to the sections of the U.S. attestation standards from SSAE No. 18, 19 and 21 that were not amended by the proposed SSAE above (referred to in this section as the primary proposed SSAE) to ensure consistency with the new framework proposed above so that if the revisions to the baseline sections and new sections on sustainability information are adopted, all attestation guidance remains aligned. The conforming amendments in this proposed SSAE amend the following sections of the U.S. attestation standards:
- Level-of-service sections:
o AT-C section 206, Direct Examination Engagements
o AT-C section 215, Agreed-Upon Procedures Engagements
- Subject-matter sections:
o AT-C section 305, Prospective Financial Information
o AT-C section 310, Reporting on Pro Forma Financial Information
o AT-C section 315, Compliance Attestation
o AT-C section 320, Reporting on an Examination of Controls at a Service Organization Relevant to User Entities’ Internal Control Over Financial Reporting
If approved as a final standard, the proposed SSAE would become effective for engagements beginning on or after June 15, 2029, with early implementation permitted, in conjunction with the primary proposed SSAE above. These conforming amendments are intended to take effect concurrently with the primary proposed SSAE above.
Comments on this proposed SSAE are also due by June 30, 2026.
