PCAOB clarifies AI role in auditing standards and firm practices

The PCAOB has not issued specific standards for artificial intelligence, but its 2024 amendments to AS 1105 and AS 2301 cover technology-assisted analysis. A July 2024 staff Spotlight noted that audit firms primarily use generative AI for administrative tasks and research rather than core audit procedures. In the 2023 inspection year, fewer than 7% of tools used by the six largest U.S. firms involved AI, blockchain, or robotic process automation. Meanwhile, 10-K filings mentioning artificial intelligence rose from 836 in 2021 to 3,271 in 2025, indicating growing relevance for auditors.

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