The U.S. Securities and Exchange Commission (SEC) recently approved the Public Company Accounting Oversight Board (PCAOB) 2023 budget and annual accounting support fee.
“The PCAOB plays a critical role to ensure that investors can trust a company’s financial disclosures,” SEC Chair Gary Gensler said. “I’m glad to support this budget, providing the PCAOB the resources to promote its mission under the Sarbanes-Oxley Act, benefiting investors and issuers alike.”
The 2023 PCAOB budget totals $349.5 million, while the accounting support fee totals $329.4 million.
Authorities said $300.3 million of the $329.4 million will be assessed on public company issuers, and $29.1 million will be assessed on SEC-registered broker-dealers.
The Sarbanes-Oxley Act of 2002, established by the PCAOB, provides the SEC with PCAOB oversight responsibility that includes reviewing and annually approving the PCAOB’s budget and accounting support fee.
The SEC Order outlines in accordance with the Budget Rule, in March 2022, the PCAOB provided the SEC with a narrative description of its program issues and outlook for the 2023 budget year, with the SEC, in response, providing the PCAOB with economic assumptions and general budgetary guidance for the 2023 budget year.
The PCAOB subsequently delivered a preliminary budget and budget justification to the SEC, per the Order, with staff from the SEC’s Office of the Chief Accountant and Office of Financial Management dedicating time to review and analyze PCAOB’s programs, projects, and budget estimates while participating in several meetings with PCAOB staff to develop an understanding of the PCAOB’s budget and operations.