PSC Comments on Proposed PCAOB Strategic Priorities

TXCPA’s Professional Standards Committee (PSC) provided recommendations on PCAOB’s Proposed Strategic Priorities (No. 2026-001), offering input across registration, inspections, enforcement, standard-setting, and transparency.

The PSC encourages the PCAOB to promote more firm participation in public company audits while strengthening upfront registration screening and implementing phased quality control oversight for new firms. For inspections, the PSC calls for clearer differentiation between severe and less severe deficiencies, greater consideration of risk and materiality, and enhanced scrutiny of firms with private equity influence.

On enforcement, the PSC recommends clarifying roles between the PCAOB and SEC to reduce duplication and inefficiencies. The committee also advocates for more detailed, actionable inspection reports and a deliberate approach to shifting toward a quality-control-focused inspection model.

For standard-setting, key priorities include defining audit quality, aligning attestation standards with the AICPA, updating substantive analytics guidance, and addressing risks related to service organizations.

Additionally, the PSC supports greater alignment with international standards, thoughtful use of AI in both audit execution and oversight, and improved transparency.

Read the Proposed Strategic Priorities here. View TXCPA PSC comment letter here.