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SEC Grants Small Firms Reprieve From Audit Rule
by Judith Burns, The Wall Street Journal (Subscription required for full article)
Small public companies will get an additional year to bring added scrutiny to financial-reporting controls set by Congress in 2002, under a proposal announced by the Securities and Exchange Commission (SEC). The SEC voted 4-0 on Jan. 31 for a one-year extension and will seek comment on it for 30 days. According to The Wall Street Journal, "The delay means the smallest U.S. public companies would not have to comply with the internal-controls audit requirement until fiscal years ending on or after Dec. 15, 2009, which the SEC said will give it time to collect and analyze 'real world' compliance costs associated with such audits."
