Alaska Statutes Sec. 08.04.680 - Definitions

In this chapter, unless the context indicates otherwise,

(1) "attest function" means

(A) an audit or other engagement, if the performance of the audit or other engagement is established by the Statements on Auditing Standards;

(B) a review of a financial statement, if the performance of the review is established by the Statements on Standards for Accounting and Review Services;

(C) an examination of prospective financial information, if the performance of the examination is established by the Statements on Standards for Attestation Engagements; or

(D) an engagement, if the performance of the engagement is established by the Auditing Standards of the Public Company Accounting Oversight Board;

(2) "board" means the Board of Public Accountancy;

(3) "certificate" means a certificate granted under AS 08.04.100 ;

(4) "compilation service" means a service that

(A) is performed as established by the Statements on Standards for Accounting and Review Services; and

(B) presents, in the form of financial statements, information that is the representation of management, but does not express an assurance on the statements;

(5) "department" means the Department of Commerce, Community, and Economic Development;

(6) "designated function" means

(A) an audit or other engagement, if the performance of the audit or other engagement is established by the Statements on Auditing Standards;

(B) an examination of prospective financial information, if the performance of the examination is established by the Statements on Standards for Attestation Engagements; or

(C) an engagement, if the performance of the engagement is established by the Auditing Standards of the Public Company Accounting Oversight Board;

(7) "home office" means the location specified by the client as the address to which an attest function service or a compilation service is directed;

(8) "legal entity" means an organization that can organize as a legal person under the laws of this state;

(9) "license" means a license issued under AS 08.04.105 or 08.04.195;

(10) "limited liability company" means an organization organized under AS 10.50 or a foreign limited liability company; in this paragraph, "foreign limited liability company" has the meaning given in AS 10.50.990 ;

(11) "member" means a person who has been admitted to membership in a limited liability company;

(12) "out-of-state exemption" means the exemption provided under AS 08.04.421(b) or (c);

(13) "partnership" means a general partnership, a limited partnership, a limited liability partnership, or another form of partnership;

(14) "permit" means a permit issued under AS 08.04.240 or 08.04.421(a);

(15) "practice of public accounting" means the offering to perform or the performance as a person holding a license, practice privilege, or permit under this chapter of a service involving the use of accounting or auditing skills; in this paragraph, "accounting or auditing skills" includes preparing financial statements, issuing reports on financial statements, furnishing management services, furnishing financial advisory services, providing consulting services, preparing tax returns, advising on tax matters, or consulting on tax matters;

(16) "practice privilege" means a practice privilege authorized under AS 08.04.420 ;

(17) "principal place of business" means the office location designated by an individual for the purposes of substantial equivalency and reciprocity;

(18) "quality review" means a study, appraisal, or review of one or more aspects of the professional work of a person in the practice of public accounting, by a person who holds a certificate and who is not affiliated with the person being reviewed, conducted as prescribed under AS 08.04.426 ;

(19) "report," when used with reference to financial statements, means an opinion, report, or other form of language that states or implies assurance as to the reliability of financial statements and that also includes or is accompanied by a statement or implication that the person issuing it has special knowledge or competency in accounting or auditing; a statement or implication of special knowledge or competence may arise from use by the issuer of the report of names or titles indicating that the issuer is a certified public accountant or auditor, or from the language of the report itself; except as provided in this paragraph, "report" includes any form of language that disclaims an opinion when the form of the language is conventionally understood to imply a positive assurance as to the reliability of the financial statements referred to or special competence on the part of the person issuing the language; and "report" includes any other form of language that is conventionally understood to imply such assurance or such special knowledge or competence; "report" does not include

(A) a compilation of financial statement language that does not express or imply assurance or special knowledge or competence; or

(B) the following disclaimer language when used by a person without a license, a practice privilege, or an out-of-state exemption in connection with financial statements:

(i) "I (we) have prepared the accompanying (financial statements) of (name of entity) as of (time period) for the (period) then ended. This presentation is limited to preparing, in the form of financial statements, information that is the representation of management (owners)."; or

(ii) "I (we) have not audited or reviewed the accompanying financial statements and, accordingly, do not express an opinion or any other form of assurance on them.";

(20) "state" means a state of the United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, the Virgin Islands, and American Samoa.

Section: 08.04.680  08.04.690    Next

Last modified: November 15, 2016