PCAOB set to limit auditors' tax work
Accountancy firms might soon be forced to curtail their tax work to audit clients if the US watchdog the Public Company Accounting Oversight Board goes ahead with its plans.
The PCAOB is expected to propose a total clampdown on firms providing tax services to their audit clients,The Financial Times has reported.
As part of a worldwide crackdown on tax avoidance, the PCAOB is also trying to ban firms selling certain avoidance packages to audit clients, which the regulator considers to be abusive.
The Big Four firms are understood to be lobbying the PCAOB heavily to limit any reforms given that tax, after audit, is their most lucrative service line.