In: Business and Management

Submitted By kitty123
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Violence to AICPA
ET Section 91 Applicability:
Paragraph .01 says the bylaws of the AICPA require members to comply with the Code of Professional Conduct. The introduction reads, "A member who departs from interpretations or rulings shall have the burden of justifying such departure in any disciplinary hearing." Paragraph .01 .2: Requirement: CPAs will not knowingly ask or allow anyone they have authority or control over to carry out on the CPA's behalf, paid or not, any act that would be prohibited if committed by the CPA. Violation No. 1: You can't have someone do your dirty work.
Paragraph .01 .3: A CPA is not to conclude that independence is not violated solely because of his inability to control the other person. Violation No. 2: CPAs cannot justify allowing unethical behavior with, "It's not my job." Or, as Lisa Snyder, the AICPA's professional ethics director, comments, "If a spouse invests in a CPA's client, even though the CPA does not `control' her spouse, she would no longer be independent." ET Section 100-1 Conceptual Framework for AICPA Independence Standards:
Rule .20: Safeguards are defined as controls that eliminate or reduce threats to independence to an acceptable level. Violation No. 3: If anyone can bypass the CPA and order the CPA's subordinate to do something that the CPA will not do, then the CPA has violated the requirement to provide such independence safeguards. Rule 501 Acts Discreditable new interpretation:
ET Section 501 .10 Confidential Information Obtained From Employment or Volunteer Activities CPAs are required to maintain confidentiality of any confidential information obtained from an employer or volunteer position. Further, CPAs are to prohibit the disclosure of confidential information to people who are not subject to the profession's ethics requirements. When a CPA changes employment,…...

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