Big Four urges for softer line on accountants

Plans by US regulator PCAOB to make individual accountants responsible for
violating securities laws are being fought against by the Big Four.

The firms are pushing the regulator to soften its line regarding proposals to
discipline accountants who, through negligence, cause their firms to breach
securities laws.

In a letter to the regulator, the Big Four argued that the threshold was set
too low to instigate disciplinary procedures against accountants.

The PCAOB’s hard-line approach is in an attempt to stop auditors from
providing tax services to clients.

The Big Four broadly support the plans, but are resisting a blanket ban on
providing tax services to directors of audit clients.

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