Quality Assurance Review (QAR) Program

Quality Assurance Review (QAR) Program

The purpose of the QAR program is to monitor licensees’ compliance with audit, compilation, review, and other attestation standards.

Participation

The Board of Accountancy recently changed its Quality Assurance Review (QAR) program.  Effective September 10, 2012, a peer review requirement replaces the Board’s QAR desk review.  

Does your CPA firm currently issue attest or compilation reports?

  • Yes:  Your firm must participate in a Board-approved peer review program.  If you aren’t already participating in peer review, enroll in a Board-approved peer review program before you renew your current CPA firm license.  During renewal you’ll provide the name of the peer review program and certify the result of the firm’s most recent peer review or provide the Board with the established schedule.  The peer review program will determine your firm’s schedule.  Work closely with the peer review program administrator.
  • No:  Your firm is exempt from the peer review requirement.  But, if that changes, you must enroll in a peer review before you issue a report:  compilation, review, audit, or other attestation reports.

Please note: Out-of-state firms otherwise qualified for practice privileges under RCW 18.04.195 (1)(b) are not required to participate in the board's program if the out-of-state firm participates in a board-approved peer review program or similar program approved or sponsored by another state's board of accountancy.

Process

Every firm will provide information regarding performance of attest and compilation services, along with the appropriate fees during every renewal of a firm license.  The firm must choose one of the following exemptions:

  • “Limited Scope Exemption” for firms who have not issued any attestation or compilation reports.
  • “Peer Review Exemption” for firms who participate in a board-approved peer review program. The firm is required to submit a copy of the peer review report, response to the peer review report, if applicable, and the letter of acceptance from the reviewing organization (unless the firm has opted to post the peer review report on the state board’s limited access website provided by AICPA).