PCAOB Issues Proposal Related to Determinations Under the Holding Foreign Companies Accountable Act

The PCAOB has issued a proposed rule, Board Determinations Under the Holding Foreign Companies Accountable Act (the “HFCAA”).

The proposal would establish “a framework for the PCAOB to use when determining, as contemplated under the HFCAA, whether the Board is unable to inspect or investigate completely registered public accounting firms located in a foreign jurisdiction because of a position taken by one or more authorities in that jurisdiction.”

Comments on the proposed rule are due by July 12, 2021. For more information, see the press release as well as statements by PCAOB Chairman William D. Duhnke and board members Duane M. DesParte, Rebekah Goshorn Jurata, and Megan Zietsman on the PCAOB’s Web site.