SEC Issues Concept Release Regarding Possible Revisions to Audit Committee Disclosures (Fed. Reg.)

The SEC concept release requesting public comment on current audit committee disclosure requirements was published in the Federal Register.

The SEC is seeking public comment regarding audit committee reporting requirements, with a focus on the audit committee's reporting of its responsibilities with respect to its oversight of the independent auditor. According to the SEC, individuals have expressed a view that the SEC's disclosure rules for this area may not result in disclosures about audit committees and their activities that are sufficient to help investors understand and evaluate audit committee performance, which may in turn inform those investors' investment or voting decisions.

The SEC is requesting comments on, among other things, the following issues:

• the focus on the audit committee's oversight of the auditor;
• potential changes to disclosures;
• whether and how the audit committee assesses, promotes, and reinforces the auditor's objectivity and professional skepticism;
• the audit committee's process for appointing or retaining the auditor; and
• disclosures of certain individuals on the engagement team.

Comments must be submitted by September 8, 2015.

See: 80 FR 38995.Related news: SEC Solicits Public Comment on Audit Committee Disclosures (July 1, 2015).