Recently the SEC proposed granting another reprieve for small public companies by delaying the internal-controls auditor attestation requirement for another year. This year will give the SEC time to complete a cost-benefit analysis of these audits. Small companies will still have to comply with Section 404(a), or management’s review of internal financial-reporting controls.

 

To assist smaller companies comply with Section 404(a), the SEC published an online guide written in plain English. The guide is available at http://www.404.gov.

 

Public comments on the proposal must be submitted within 30 days of publication in the Federal Register.

 

To read the press release announcing the extension, please visit
http://www.sec.gov/news/press/2008/2008-8.htm.

 

To read the full text of the proposed extension, please visit
http://www.sec.gov/rules/proposed/2008/33-8889.pdf.

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