The U.S. Government Accountability Office (GAO) issues the Yellow Book, formally known as Government Auditing Standards or GAGAS (Generally Accepted Government Auditing Standards). The Comptroller General of the United States, who heads the GAO, authorizes these standards for auditing government programs, grants, and entities.
The Generally Accepted Government Auditing Standards (GAGAS), commonly referred to as the "Yellow Book", are produced in the United States by the Government Accountability Office (GAO). The standards apply to both financial and performance audits of government agencies.
Generally Accepted Government Auditing Standards (GAGAS) , also known as the Yellow Book, are the guidelines for audits created by the Comptroller General and the audit agency of the United States Congress, the Government Accountability Office.
Entities required to conduct Yellow Book audits typically include nonprofits, educational institutions, and government entities that receive government funding, grants, or awards.
GAAS serve as the overarching framework for the three main financial auditing standards in the United States: SAS, PCAOB standards and the GAGAS. Auditors use the American Institute of Certified Public Accountants' (AICPA) Statements on Auditing Standards (SAS) to evaluate privately-held companies.
GAAS, as issued by the American Institute of Certified Public Accountants (AICPA)'s Auditing Standards Board (ASB), outlines the minimum standards required for conducting an audit of private company financial statements in the U.S. Think of it as the blueprint for audit integrity, a way to standardize how audits are ...
PCAOB is responsible for setting auditing standards for public companies, while AICPA offers professional standards for CPA members. PCAOB oversees the audits of public companies, while AICPA is a professional organization for CPAs without oversight powers.
Auditors of government entities and entities that receive government awards use our Government Auditing Standards, commonly referred to as generally accepted government auditing standards (GAGAS) or the Yellow Book, to perform their audits and produce their reports.
As independent auditors, Deloitte Audit & Assurance professionals work together using the latest technologies and methods to advance audit quality and enhance trust in capital markets.
The difference between generally accepted auditing standards (GAAS) and generally accepted government auditing standards (GAGAS) is the additional requirements that the auditor must follow when performing an audit in accordance with GAGAS.
in any industry could be subject to the Yellow Book Requirements if the funding agency requests the audit, or if local, state, or federal regulations require the audit based on the level of funding spent (or received) by the entity.
The Governmental Accounting Standards Board (GASB) sets financial accounting and reporting standards, known as Generally Accepted Accounting Principles (GAAP), for state and local government. The Financial Accounting Standards Board (FASB) sets standards for public and private companies and non-profit organizations.
Unlike a standard financial audit, a Yellow Book Audit is conducted under both Generally Accepted Governmental Auditing Standards (GAGAS) and Generally Accepted Auditing Standards (GAAS), ensuring a higher level of scrutiny, particularly for organizations receiving federal funding.
The PCAOB also oversees the audits of broker-dealers, including compliance reports filed pursuant to federal securities laws, to promote investor protection. All PCAOB rules and standards must be approved by the U.S. Securities and Exchange Commission (SEC). Public Company Accounting Oversight Board.
EY serves as Apple's auditor and has done so since 2009, according to Apple's 10-K filing for the fiscal year ended September 27, 2025. In 2024, Apple paid EY $30 million in fees for the year ending September 28, 2024, up from $25 million the year before.
Nvidia is audited by the San Jose branch of PwC.
The primary purpose of the Yellow Book is to promote fairness, uniformity, and efficiency in the valuation of real property for federal acquisitions, ensuring compliance with the constitutional requirement of just compensation under the Fifth Amendment.
CPE Requirements for the Yellow Book
Auditors performing work under GAGAS, including planning, directing, performing field work, or reporting on an audit or attestation engagement under GAGAS, need to maintain their professional competence through continuing professional education (CPE).
Nonprofit or For-Profit Entities Receiving Federal Grants
If your organization receives federal grant money exceeding the audit threshold (currently $750,000 annually), you are likely subject to a Single Audit, which incorporates Yellow Book standards.
The PCAOB has inspected non-U.S. registered firms since 2005. These inspections have generally been carried out in two ways: PCAOB-only inspections, where the PCAOB conducts the inspection on its own in coordination with the home country regulator; or. Inspections conducted jointly with the home country regulator.