Practical application of materiality in a SSARSs review engagement

In February, the AICPA’s Accounting and Review Services Committee (ARSC) issued Statement on Standards for Accounting and Review Services (SSARS) 25, Materiality in a Review of Financial Statements and Adverse Conclusions. Among other things, SSARS 25 adds an explicit requirement in AR-C section 90, Review of Financial Statements, for the practitioner to determine materiality for the financial statements as a whole and to apply this materiality in designing the procedures and evaluating the results obtained from those procedures. The revised