Wiley Practitioner's Guide to GAAS 2023, 2nd Edition

55AT-C 206 Direct Examination Engagements

• Technical Alert
• Scope
• Objectives of AT-C 206
• Requirements
  • Acceptance and Continuance of a Direct Examination Engagement
  • Terms of the Engagement
  • Written Representations
  • The Report
• Exhibit—Illustrative Direct Examination Reports (Statement On Standards For Attestation On Engagements)

TECHNICAL ALERT

In September 2020, the AICPA Auditing Standards Board (ASB) issued Statement on Standards for Attestation Engagements (SSAE) No. 21, Direct Examination Engagements. SSAE No. 21 adds a new AT-C section—206, Direct Examination Engagements, to the attestation standards.

This chapter contains the changes from SSAE 21. Please see the preface to this volume for an overview of SSAE 21.

SCOPE

This section contains performance and reporting requirements and application guidance for direct examination engagements. (AT-C 206.01) This section is not applicable to examination engagements related to subject matter for which other AT-C sections require the application of AT-C 205, Assertion-Based Examination Engagements. Sections requiring the application of AT-C 205 are:

• AT-C section 305, Prospective Financial Information
• AT-C section 310, Reporting on Pro Forma Financial Information
• AT-C section 315, Compliance Attestation
• AT-C section 320, Reporting on an Examination of Controls at a Service Organization Relevant to User Entities’ Internal Control Over Financial Reporting
• AT-C section 395, Management's Discussion and Analysis

(AT-C 206.A2) ...