Peer Review

What is Peer Review?
Peer review is a lengthy process by which an independent evaluator, known as a peer reviewer, reviews the engagements and procedures of another CPA firm to ensure that those procedures meet professional standards. The goal is to enhance the quality of accounting, auditing, and attestation services performed by members in public practice.
2021 Peer Review Flow Chart (2)-01



Important Licensing Requirement
Peer Review is a Michigan licensing requirement for firms and/or sole practitioners who perform services that require peer review. Make sure you are in compliance.

Michigan Occupational Code-license renewal



Are your firm’s employee benefit plan audits and single audits on point?

With an imminent US Department of Labor assessment of the quality of ERISA plan audits, and the release of historic amounts of federal funding as coronavirus relief, your firm’s employee benefit plan (EBP) audits may undergo additional scrutiny and you may be asked to take on a new or more complex single audits of entities receiving government COVID relief money. Find out more!



Important Notices

Firms are required to notify the Department of Licensing and Regulatory Affairs (LARA) directly within 30 days of receipt of a Peer Review Fail report or a second consecutive non-pass report. A fail report or second consecutive non-pass report may result in fines.

Notification can be made

By email at:

Include “Accounting Peer Review” in the subject line.


Or by writing to:

Bureau of Professional Licensing

P O Box 30670

Lansing, MI 48909

Peer Review General Information


  • Michigan firms or sole practitioners that perform audits, reviews and/or compilations. (All attest services are subject to Peer Review).
  • Firms must undergo peer review at least once every 3 years.
  • A Michigan firm needs to undergo a peer review to obtain their firm license if they perform the above noted services (Peer Review is a licensing requirement for firms/or sole practitioners who perform services requiring Peer Review – Michigan Occupational Code-license renewal
  • Peer Review Process
  • Peer Review FAQs

The Peer Review Integrated Management Application (PRIMA) is the primary tool used by firms, reviewers and the entities administering peer review to complete the peer review process. PRIMA is accessible to all AICPA and customers whose records are linked to a public accounting firm in the AICPA Peer Review records. Access the links below for PRIMA instruction and information.

No, if preparation engagements are the firm’s “highest level of service”, a peer review is not required and the firm may resign from the Program. If the firm remains enrolled, a peer review would be required.

  • There are two types of peer reviews: system reviews and engagement reviews.
  • System reviews are for firms that perform audits as their highest level of service.
  • Engagement reviews are for firms who perform reviews and/or compilations as their highest level of service.

According to the AICPA, CPA firms are concerned about Paycheck Protection Program (PPP) loan services and whether they may be subject to peer review. Fortunately, multiple resources are available for you as you assist your clients through the process of PPP forgiveness. Read More.

  • Yes, there are 3 levels: PASS, PASS with DEFICIENCIES, and FAIL.
  • PASS-the firm’s system of quality control is appropriately designed and complied with by the firm.
  • PASS with DEFICIENCIES-the firm’s system is appropriately designed and complied with, except in certain situations that are detailed in the report.
  • FAIL-the firm’s system is not suitably designed or is not being complied with.

A nonconforming engagement is an engagement that was not performed and reported on in conformity with applicable professional standards. The firm must determine if the engagement should be corrected and reissued.

Peer Review Fees

Who administers the peer review program? The Michigan Association of CPAs (MICPA) administers the AICPA Peer Review program for firms and sole practitioners whose main office is located in Michigan.

Being a Reviewer can give your firm access to an entirely new client pool. In addition, current reviewers have indicated that being a reviewer helps to ensure that their firm is providing services that meet high standards of quality.

How to Become a Reviewer

Peer Review Training

AICPA Reviewer Alerts

  • - This is the AICPA ethics landing page.
  • This is where you’ll find the Code of Professional Conduct and many tools and resources, such as the Plain English guide to independence, Ethics Questions and Answers, and more.
  • -  Go here to find exposure drafts and comment letters, final releases of new authoritative guidance, and related content.
  •  Would you like to stay current with AICPA ethics activities and get CPE credits while you’re at it? This link lets you register to attend quarterly PEEC meetings. At the top of that page, you’ll find a link to PEEC meeting agendas and minutes.
  • Have you ever wondered about the details of our investigative process and how we collaborate with state societies to perform joint investigations? Use this link to find the answers to all your questions about Joint Ethics Enforcement Program.
  •  As the URL suggests, this is where people can go to find out how to file a complaint against an AICPA member.



Governmental Spotlight

 AICPA February 2023 Reviewer Alert: this alert contains important information on engagements subject to Government Accounting Standards.


Annual Report on Peer Review Activities
  Attached 2023 Report



MICPA PRIMA Assistance - Monday-Friday, 8:00am-5:00pm EST

  • Karen Guerra, 248.267.3718
  • Bonnie Schmidt, 248.267.3751

AICPA PRIMA Assistance - Monday-Friday, 8:00am-8:00pm EST

  • Firm help using PRIMA, 919.402.4502, press 1
  • Reviewer help using PRIMA, 919.402.4502, press 2
  • Peer Review Assistance Help related to standards, guidance and/or the peer review process (non-PRIMA related questions), 919.402.4502, press 3
  • Help related to whether a firm appropriately applied authoritative guidance, Issue Advisory Hotline 919.402.4502, press 4



Contact the Peer Review Department