u/Equivalent-Bed-4508

What do people in audit think about the SEC’s proposed filer-status reforms?

I work in a smaller Big 4 office, and many of our public-company clients are under the proposed $2B public float threshold. If the proposal is adopted, it seems that a number of companies that currently require an external ICFR audit under SOX 404(b) may no longer need one.

For those with more experience, do you think this would have a meaningful impact on assurance practices that primarily serve smaller public companies? Or would the reduction in 404(b) work be relatively minor in the grand scheme of an audit practice?

Curious to hear others’ perspectives.