As adopted January 12, 1988, unless otherwise indicated
.01 The bylaws of the AICPA require that members adhere to the rules of the Code of Professional Conduct. Members must be prepared to justify departures from these rules.
.02 Interpretation Addressing the Applicability of the AICPA Code of Professional Conduct. For purposes of the applicability section of the code, a member is a member, an associated member, or an international associate of the AICPA [sec. 92 par.21].
- The Rules of Conduct that follow apply to all professional services performed except
- when the wording of the rule indicates otherwise
- that a member who is practicing outside the United States will not be considered in violation of a particular rule for departing from any of the rules stated herein as long as the member's conduct is in accord with the rules of the organized accounting profession in the country in which he or she is practicing. However, when a member is associated with financial statements under circumstances that would lead the reader to assume that U.S. practices were followed, the member must comply with the requirements of rules 202, Compliance With Standards [sec. 202 par. 01], and 203, Accounting Principles [sec. 203 par. 01].
- a member who is a member of a group engagement team (see the clarified SAS Special Considerations—Audits of Group Financial Statements [Including the Work of Component Auditors]) will not be considered in violation of a particular rule if a foreign component auditor (accountant) departed from any of the ethics requirements stated herein with respect to the audit or review of group financial statements or other attest engagement, as long as the foreign component auditor’s (accountant’s) conduct, at a minimum, is in accordance with the ethics and independence requirements set forth in the International Ethics Standards Board for Accountants’ (IESBA’s) Code of Ethics for Professional Accountants, and the members of the group engagement team are in compliance with the rules stated herein.
- the independence of the member's firm will not be considered impaired if another firm or entity located outside the United States that is within the member firm's network departed from any of the rules stated herein, as long as the other firm or entity's conduct, at a minimum, is in accordance with the ethics and independence requirements set forth in the IESBA’s Code of Ethics for Professional Accountants.
- A member shall not knowingly permit a person, whom the member has the authority or capacity to control, to carry out on his or her behalf, either with or without compensation, acts that, if carried out by the member, would place the member in violation of the rules. Further, a member may be held responsible for the acts of all persons associated with him or her in public practice whom the member has the authority or capacity to control.
- A member (as defined in paragraph .21 of section 92) or a covered member (as defined in paragraph .07 of section 92) may be considered to have his or her independence impaired, with respect to a client, as the result of the actions or relationships of certain persons or entities, as described in rule 101, [sec. 101 par. 01], and its interpretations and rulings, whom the member or covered member does not have the authority or capacity to control. Therefore, nothing in this section should lead one to conclude that the member’s or covered member's independence is not impaired solely because of his or her inability to control the actions or relationships of such persons or entities.
[Paragraph added, August, 1989, effective November 30, 1989. Revised December, 1998. Revised, July 2002, to reflect conforming changes necessary due to the revision of interpretation 101-1. Revised September 2011, Effective November 30, 2011. Revised March 2013, revisions effective May 31, 2013. Revised August 2014, revision effective September 30, 2014.]