Editor's Corner: More Compliance Guidance

The PCAOB and the SEC say they will soon release more Sarbanes-Oxley compliance guidance, optimized mainly for smaller issuers. The twist: this round of guidance will be in plain-English. At least that's what they say. It will be very interesting to read how they grapple with some terms, such as materiality. The documents will be preceded by versions for public comment. The goal is to provide interpretations and examples that should help issuers control their costs. Of course, for small companies, the auditor's internal control requirement doesn't kick in until 2009. -Jim Kim