SOX 404 Disclosures: A Twelve Year Review

This research identifies an upward trend in the number of SOX 404 auditor attestations that disclosed ineffective internal controls for financial reporting (ICFRs). The upward trend was due in part to activities by the PCAOB (as discussed in this report) and a new framework published by COSO. The lowest annual number of SOX 404 auditor attestations disclosing ineffective ICFRs occurred for fiscal year 2010. Fiscal year 2014 and 2015 were the two highest during the last seven years.

Audit Analytics